Selecting the right mix
August 25, 2010 § Leave a comment
Whenever your are about to create and launch a campaign you should understand the environment you want to compete in. Whether your product is a FMCG (massive) or a niche, it’s for-women-only or for-men-only; if it may only be purchased at certain retail (such as pharmaceutical or fashion) or has a lot of the legal restrictions to do advertising.
This definition enables you to select the correct media mix for your campaign.
- If your product is FMCG and you have a lot of budget, you’ll probably want to: IMPROVE THE REACH AT LAUNCH AND THE FREQUENCY AT A LATTER STAGE.
In countries such as Venezuela, open TV allows companies to reach as much as 65% of the population. Adding some radio, press (or magazines) or billboards will sum to the equation, but with little increments.
This is why in Venezuela there is a “PREPAID EVENT” where all major announcers meet with the 2 major TV suppliers (networks) to negotiate the rates and “inventory” that the announcers will use in the year to come. This is a great deal for networks as they are able to project very nicely the overall income of the year to come. This actually is also a great deal for big announcers as they obtain high discounts for PREPAYING or signing a contract (payable monthly) for a fixed rate, a certain amount of TRP’s or a fixed number of SPOTS.
On the other hand, if (as announcer) you are unwilling or unable to meet the increase demand of the networks (in terms of investment – increases greater than inflation) then you may only buy AIR TIME at normal rates (that’s double). This is a problem for brands that aren’t increasing value sales, or in a period of launching (as you’re probably uncertain of the brand’s needs). finally if competing in FMCG, staying away from open TV is usually not an option.
- If your product is niche or premium, you should include cable TV. In Venezuela, cable TV is 20 times cheaper than open TV. That is because the reach of this media is significantly lower (as much as 35% of the population – mostly reached by open TV). However, if you’re targeting a specific group, cable TV allows you to reach some of them (segmentation) with little waste.
The other advantage is that because of the drop in the costs, you’re able to increase the frequency of airings. Improving the chances for the viewers to watch the ad. This is why most FMCG brands also use cable TV in their campaigns.
- Another media to announce your campaign is printed magazines, press or billboards. The last one is very effective when a large amount of units are available for publish. Billboards aren’t expensive (hand-picked) but when trying to acquire a significant amount of units you may spend as much as 1500 trp’s worth of open TV. Press usually is very regional. There are only 3 national press (in Venezuela). Daily news abound and is difficult to reach or segment the audience (other than region). Some of them only offer black and white printing. Magazines aren’t as massive as the above; but they allow to reach a more specific target (through segmentation). Also, this media is of higher impact than TV or press because the consumers spend more time reading it.
- Internet enables you to reach both massive or segmented audience. The first, if advertising in a traditional intrusive campaign; the second, if using direct-mailing, two-way communication approaches. Some companies think of this as a “new media” and senior executives are afraid of it (as they don’t really understand it).
Developing a website (where people may access your brand on demand) is the basis. The cost of doing this is only development and maintaining (a later post on benefits and how-to’s will increase the information about this media). Advertising a message (and a link) through banners in high demand web sites (such as newspapers, news channels, entertainment, sports) is the second approach. Later you may think of including social networks, real-time conversations (such as twitter). The third most important approach is to develop (using other offline or online resources) a data base of consumers or potential consumers that you have the permission to send information and deliver relevant, custom information to generate a feeling / desire (a later post on how to do this will be written).
- Remember To Connect With Your Brand Loyalists (searchengineland.com)
- Kantar Media Reports U.S. Advertising Expenditures Increased 5.1% in the First Quarter of 2010 (eon.businesswire.com)
- Canada’s online ad revenue growing like a bat out of hell, swiftly gaining on print ad revenue (techvibes.com)