CHAPTER 2

1. CHAPTER 2 Media in the Marketing Concept

2. Media planning decisions are directly affected by marketing decisions. • Situation analysis, marketing mix and marketing strategies • Marketing objectives, advertising objectives, media planning objectives The relationship between marketing and media planning

3. The relationship between marketing and media planning • 1- Situation Analysis • History of the market • Distribution channels • Consumer profile • Product • Advertising and media analysis • 2- Marketing Strategy Plan • Marketing Problem and Objectives • Marketing Mix and Strategy • Budget • Dealers and Distributors • Overall Sales Strategy • Test Marketing • 3- Advertising Plan • Advertising objectives • Target Audience • Creative strategy • Competitive advertising and media analysis • Advertising media Product quality, product uses, pricing, distribution methods, packaging, sales promotion use, personal selling activities, public relations, advertising... If we generalize these in titles:

4. Marketing Problem Advertising Plan The relationship between marketing and media planning Situation Analysis Marketing Strategy Plan Media Objectives Media Strategy Media Selection Media Implementations

5. 1- Situation Analysis Background informationfor a mediaplannertoprepare a plan. Essentials: History of the market Distribution channels Consumer profile Product Advertising and media analysis

6. 1- Situation Analysis Example for Market Shares History of the market: How long has the brand been available, how successful has it been, how was it positioned, company history, geographic sales distribution, market size, market shares, seasonal effects, price effects... 2010 Market Shares 2011 Market Shares

7. 1- Situation Analysis Distribution channels: Where is the brand sold, shelf facings, out of stock situations, methods of selling, display and advertising allowances, promotions... Ex: Bizim’s distribution channels can be stronger than Sana.

8. 1- Situation Analysis Consumer profile: Demographics, psychographics and buying habits of existing consumers. Demographics is thestatistical, personal, social, and economic characteristics that describe a population. (Age, gender, sexual orientation, race and ethnicity, education, occupation, income, geography) Psychographics is the description of people’s lifestyle characteristics.

9. Demographic analyses are important for media planners to choose the right media for the right audience at the right time. • Who should be addressed? • To what extent different media deliver specific audiences? • How many people of a particular population group consume that media? Why is demographic analysis important for media planners?

10. Why is psychographic analysis important for media planners? • Do they play tennis? • How old is their house? • Are they opinion leaders? • What are their attitudes? • What kind of aspirations do they have? • What are their habits including media & product consumption • …

11. Each cluster uniquely describes demographics, attitudes, and purchase behavior. • How many people are there in each cluster? • What are their demographic and psychographic characteristics? Clustering

12. Socioeconomic Status Groups (S.E.S Groups) in Turkey Clustering

13. 2012 HouseholdSocioeconomic Status Meslek Occupation ? Meslek + AGG’nin EŞİ SPOUSE OF THE HOUSEHOLDER Eğitim Education ASIL GELİRİ GETİREN KİŞİ HOUSEHOLDER (THE PERSON WHO EARNS THE MONEY IN THE HOUSE)

14. A SES Group • Almost all of them are university graduates, 30% are post-graduates... • Half of them are working as qualified speacilists, i.e. lawyers, doctors, engineers… with monthly salaries • Approximately 10% are white collars who have more than 20 employees; ¼ have small or medium enterprises (app. half of them do not have employees.) • 40% of the householders’ spouses are working. • 20% of the houses are saving money. • 30 % are spending their holidays by at the hotels. • Almost half of the houses have bookcases/libraries

15. B SES Group • 60% of them are university graduates or post-graduates. 35% are vocational school graduates or high school graduates. • 60% are working as officers, technical staff or specialists who are not managers. • 15% have small or medium enterprises which have 1-5 employees. • 30% of the householders’ spouses are working. • 13% of the houses are saving money. • 20% are spending their holidays by at the hotels. • 30% of the houses have bookcases/libraries.

16. C1 SES Group • 60% are high school graduates (20% are vocational school); 10% are university graduates or higher. • 40% are shopkeepers, own shops; 30% are qualified workers who are high school graduates. • Approximately 15% are working as officers or technical staff. • Approximately 15% are retired. • 13% of the householders’ spouses are working. • 5% of the houses are saving money. • 20% are spending their holidays at the hotels, 40% spend their holidays by visiting their relatives. • Approximately 20% of the houses have bookcases/libraries.

17. C2 SES Group • App. 20% are high school graduates, secondary and primary school graduates are 80%. • Most of them are primary school graduates who are regular workers (%60). • 10% are working as individual costermongers or barrowmen. • 20% are retired, they are not working. • The rate of working householders’ spouses is 10%. • 70% do not go on holidays, 25% visit their families or relatives. • 10% of the houses have bookcases/libraries.

18. D SES Group • The rate of primary school graduates and primary school drop-outs is above 70%. The rest are secondary school graduates. • 30% are retired, they are not working. • 20% are working as laborers (they are not affiliated to any factory or company) • 30% are small-sized farmers. • 10% are housewives. • 80% do not go on a holiday, the rest are going to their hometowns.

19. E SES Group • 95% primary school graduates or primary school drop-outs. • 30% are unemployed. (Most of them are depending on help to survive) • 40% are retired, not working; 30% are retired adn working as laborers • The other 20% of the houses’ householders are housewives who do not have a mothly salary and depend on help.

20. Definitions of target audiences in TV measurement system: HW: Females who are responsible for the shopping of the house (working+non-working) Females, Males Adults: 20+ Females and males Children: 5-11 years old Teenagers: 12-19 years old Total individuals: 5-11 12-19 20+ Females and males (A, B, C1C2, D) Clustering

21. Ex: Sana’s consumer profile: Housewife, married, C1C2, works, middle aged, 2-3 kids, meets friends and relatives, shops at bazaars.

22. Ex: Tariş’s consumer profile: The marketing aim of the campaign is to expand olive oil market. For this reason, Tariş’s primary consumer profile is consumers who don’t have olive oil usage habit from A, B, C1 SES groups. The main competitor of Tariş is Komili, Komili users are also in this consumer profile. 22-60 year old housewives and single men are also in this group. Middle and high income consumers who live in metropols and west regions, consumers who have olive oil usage habit and choose some olive oil which are cheaper than Tariş, or sometimes more expensive than Tariş are also included in the consumer profile of Tariş.

23. Important things to know about theConsumer/Target Audience NOT ONLY: – Demographic – Psychographic BUT ALSO: – How do they interact with the brand (what do they think about the brand, how& when do they use it, are they usingcompetitors’ brands? – What is their relationship with the media?

24. 1- Situation Analysis Product: A history of the product, how it was developed, product changes, effects of such changes, competitors... Advertising and media analysis: Media vehicles, number of ads, spending for each medium, media weights, total ratings, spending in different seasons, percentages... Should we use the same media? Is there any change in the media strategy Are we going to use similar media tactics?

25. Marketing Problem and Objectives • Marketing Mix and Strategy • Budget • Dealers and Distributors • Overall Sales Strategy • Test Marketing 2- Marketing Strategy Plan

26. 2- Marketing Strategy Plan The planner needs to know the marketing strategy plan Marketing problem or objective Ex: The sales of Sana is declining.Why? The new trend shows that consumers are using liquid oils rather than margarines. Or The main competitor’s price is lower than Sana. Or Consumers who use Sana switch to Bizim.

27. Marketingobjectives are very important for media planners because these objectives lead the media planners’ work... Ex: Marketing Obj: To maintain national coverage => Media Planning Obj: To continue advertising with same levels Or Marketing Obj: 5% increase in share => Media Planning Obj: To increase the number of messages Or Marketing Comm. Obj: To increase the image of authority among adults => Media Planning Obj: To show the advertisements to the adults who have not seen before Or Marketing Comm. Obj: Increase brand awareness from 60% to 80% => Media Planning Obj: To show the advertisements to the 90% of the target audience Or Marketing Obj: To expand the market => Media Planning Obj: To have high reach (95%). Read “The Media Handbook” p.33-49 “Developing Optimal Media Objectives” part

28. Media Strategy How will be the media used in order to achieve media objectives EX. Tv and Cinema Strategy Media campaign will be for 2 months, there will be high visibility for the first two weeks, after two weeks the visibility and frequency will decrease and in the last weeks, ads will be shown only in some certain channells and programs. ATV, Kanal D, Star Tv, Show Tv, Cnbc-e, Ntv, Cnn Türk, Trt1 and Trt2 will be used in prime time. Program typologies include serials, films, news programs, talk-shows, cultural and art programs, fashion and magazine programs which address to the target audience. Programs which refer to housewives and the people who are interested in cooking will be used during off prime time. Cinema will be used in the first month of the campaign. Movie theaters in big cities where target audience prefers to watch movies and premiers will be chosen.

29. Media Strategy How will be the media used in order to achieve media objectives EX. Newspaper, Magazine and Outdoor Strategy Newspaper: National newspapers which are preferred by the target audience (Hürriyet, Milliyet, Sabah, Radikal, Akşam, Türkiye) will be used. Their health pages, supplements or life-style and women supplements will be used. Magazine: National magazines which reach to target audience such as women, life-style, gourmet, fashion and city guide magazines will be used. Outdoor: Billboards in İstanbul, Ankara, İzmir, Antalya, Adana, Bursa and west regions where olive oil usage is high will be used for two weeks.

30. Marketing Strategy and Marketing Mix General marketing decisions depend on marketing strategy plan... Product: Quality, attributes, alternatives, style, brand name, package Price: Ratecard price, discounts, retailer discounts, payment plans, credit terms

31. Marketing Strategy and Marketing Mix Place: Channels of distribution, coverage, location, stocks, transportation, logistics Promotion: Advetising, PR, Media, Sales promotion, personal selling, direct marketing, event marketing, local marketing…

32. Budget Media costs (competitors, objectives, media rates...) Production costs $$$$$$$$

33. Dealers and Distributors They help for local advertising. They are the best people who can understand the local needs Ex: Tefal

34. Overall Sales Strategy Pricing, Sales promotion =>announcing the new price to the consumer

35. Test Marketing Different weights of advertising in each market => comparison of the results Ex: Test marketing situation might use 3 markets to test whether the following objectives can be attained: To gain a substantial share of each market’s sales To determine whether the total market for the product can be expanded To determine how many repeat purchases will be made To accomplish the first three objectives within a reasonable length of time at a reasonable profit

36. 3- Advertising Plan Advertising objectives Target Audience Creative strategy Competitive advertising and media analysis Advertising media

37. Creative Strategy • Size of the ad!!!! • ? Seconds • ? Clm*cm’s • ? Pages • ? Meters • ? pixels Color=>magazines Cartoon characters, demonstration =>tv Announcer or a spokesperson to give the feeling of warmth and sincerity, music =>tv, radio Large illustrations =>outdoor, two page spread in newspapers

38. 3- Competitive Media Expenditure Analysis The competitors? To what extent the competitors affect sales? How much money is spent in the industry? How much money is spent by the competitors in each media? Competitors’ media tactics according to their media expenditure, media concentration, advertising weight…?

39. 3- Competitive Media Expenditure Analysis Media vehicles, number of ads, spending for each medium, media weights of competing brands, total ratings, spending in different seasons, percentages... Should we use the same media with our competitors? How much adv. should we put into a market to counter competitor’s advertising? Assesing weaknesses of competitors’ media tactics.

40. Example for Media Analysis Media Usage $ 4,200,000 $ 5,000,000

41. Example for Media Analysis Bizim Press Usage NEWSPAPER clm*cm MAGAZINE pages Source: Bilesim; Jan-Dec 2002

42. Example for Media Analysis Top 20 Advertiser for June 2007 in Cinema

43. Finance Sector Magazine Usage in 2007 Example for Media Analysis Source: Bileşim

44. GarantiBankası – DoğuşGroup Magazines (2007) Example for Media Analysis Source: Bileşim

45. Automotive Sector Magazine Usage (2007) Example for Media Analysis Source: Bileşim

46. The most important uses and values of competitive analysis Regionality and seasonality Ad budget size and media mix Track new products and new brands Target audiences, how they profile their brands, positioning Media placements