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Media Basics and Print Media Part 3: Practice: Where are Media Heading? Chapter 8 Media Basics and Print Media Part 3: Practice: Where are Media Heading? Chapter 8 Prentice Hall, © 2009

CHAPTER KEY POINTS Questions We’ll Answer • Why is the media landscape changing and CHAPTER KEY POINTS Questions We’ll Answer • Why is the media landscape changing and how does that affect the key media planning concepts? • What are the key points that advertisers should know to make effective decisions about advertising in newspapers and magazines? • What factors do advertisers consider in making out-of-home advertising and packaging decisions? Prentice Hall, © 2009 2

MEDIA BASICS The Changing Media Landscape • Consumer Media Usage – Recent generations spend MEDIA BASICS The Changing Media Landscape • Consumer Media Usage – Recent generations spend more time with media. – Media focused lives—we spend 9 hours a day with media (including mass media, i. Pods, cell phones, books, email). – Media multitasking — about 68% of people use other media with TV; 30% use more than one media at at time. • Advertising Media Use – Online newspaper, cable, outdoor, and the Internet is increasing; newspaper and network TV is declining. • The Media Plan – Identifies the best media to efficiently deliver an advertising message to a targeted audience. – A subsection within an advertising plan with its own objectives, strategies, and tactics. Prentice Hall, © 2009 3

MEDIA BASICS Key Media Players • Media sales people work for a magazine or MEDIA BASICS Key Media Players • Media sales people work for a magazine or TV station; provide sales kits with information about audience and medium. • Media reps or brokers are people/companies who sell space and time for a variety of media, allowing the media buyer to place the buy with one order. • Media researchers compile audience measurement data, media costs, and availability data for the various media options. • Media planners develop the strategic decisions outlined in the media plan, such as where and when to advertise and which type of media to use. • Media buyers implement the media plan by contracting for specific amounts of time or space, based on the plan developed by the media planner. • Media buying companies specialize in media research, planning, and buying. They may be a spin off from an advertising agency and now work for a variety of clients. Prentice Hall, © 2009 4

MEDIA BASICS Key Media Concepts • Media Mix – The way various types of MEDIA BASICS Key Media Concepts • Media Mix – The way various types of media are strategically combined to create a certain kind of impact. • Media Vehicle – A specific TV program (60 Minutes), newspaper (Chicago Tribune, El Neuvo Herald), magazine (Woman’s Day, GQ), radio station or program (NPR’s All Things Considered, Rush Limbaugh’s talk show). Prentice Hall, © 2009 5

MEDIA BASICS Key Media Concepts • Targets and Audiences – The goal of the MEDIA BASICS Key Media Concepts • Targets and Audiences – The goal of the media plan is to match the advertiser’s target audience with the audience of a particular medium. • Measuring Print Audiences – Impressions—one person’s opportunity to be exposed one time to an ad – Circulation — number of copies sold, not actual readership – Gross impressions—estimate of total impressions; if an ad runs in three issues, the gross impressions are impressions times three Prentice Hall, © 2009 6

MEDIA BASICS Key Media Concepts • Reach – The percentage of the media audience MEDIA BASICS Key Media Concepts • Reach – The percentage of the media audience exposed at least once to the advertiser’s message during a specific time frame. • Frequency – The number of times a person is exposed to an advertisement – You have to hear/see an ad three times for it to make an impact. • The goal of a media plan is to reach as many people in the target audience as often as the budget allows. Prentice Hall, © 2009 7

PRINT MEDIA CHARACTERISTICS What is print advertising? • Ads in newspapers, magazines, brochures, posters, PRINT MEDIA CHARACTERISTICS What is print advertising? • Ads in newspapers, magazines, brochures, posters, outdoor • More information, richer imagery, and longer messages than broadcast • Often used to generate cognitive responses • More flexible, less fleeting, and more engaging when targeted to special interest audiences • Can engage the senses of sight, touch, and smell Prentice Hall, © 2009 8

NEWSPAPER BASICS What is newspaper advertising? • Newspaper’s primary function is news, making it NEWSPAPER BASICS What is newspaper advertising? • Newspaper’s primary function is news, making it appropriate for ads that announce sales, events, or other news. • People read newspapers as much for the ads as they do for the news stories. • Readership is declining, especially among younger people. • Newspapers are a local, mass medium. • Market selectivity allows newspapers to target specific consumer groups. Prentice Hall, © 2009 9

NEWSPAPER BASICS Types of Circulation • Subscription – Individuals and companies sign up to NEWSPAPER BASICS Types of Circulation • Subscription – Individuals and companies sign up to receive a publication over a specified time for a certain fee. • Single Copy sales – Copies sold at newsstands • Third Party – Copies bought by hotels, restaurants, airlines that are distributed to guests Prentice Hall, © 2009 10

NEWSPAPER BASICS Frequency of Publication • Dailies – About 1, 500 dailies in the NEWSPAPER BASICS Frequency of Publication • Dailies – About 1, 500 dailies in the United States, usually published in cities and larger towns • Weeklies – About 6, 700 serving towns, suburbs, and smaller cities; • Sunday Editions – Approximately 30% of dailies and a few weeklies also publish Sunday editions • Business or Organization Newspapers – May be published weekly, monthly, quarterly, bimonthly (every other month), or semimonthly (twice a month) Prentice Hall, © 2009 11

NEWSPAPER BASICS Newspaper Editions • Morning – Yesterday’s events, advance coverage of today’s events NEWSPAPER BASICS Newspaper Editions • Morning – Yesterday’s events, advance coverage of today’s events • Evening – Today’s events (up till mid-day) and advance stories for tomorrow • All-Day – Frequent updates with different editions published during the day • Special Interest – Ethnic such as Spanish language, Asian, and African American; also upscale neighborhoods by zip code Prentice Hall, © 2009 12

NEWSPAPER BASICS Newspaper Format and Size • Broadsheet – Standard size generally 22 inches NEWSPAPER BASICS Newspaper Format and Size • Broadsheet – Standard size generally 22 inches deep and 14 inches wide with eight columns • Tabloid – Half the size of a broadsheet with five or six 2 -inch columns Prentice Hall, © 2009 13

NEWSPAPER BASICS Newspaper Ad Sales • Ads are sold based on size of the NEWSPAPER BASICS Newspaper Ad Sales • Ads are sold based on size of the space. – Local advertisers and volume buyers get discounts; national advertisers pay a premium • Ads are sold by local sales staff or brokers (oneorder, one-bill). • The introduction of SAU (Standard Ad Units) in the 80 s made national buying much easier. • Some newspapers offer large advertisers hybrid rates (between local and national). • Coop advertising—a local retailer places an ad and the manufacturer pays for part of the ad. Prentice Hall, © 2009 14

NEWSPAPER BASICS Types of Newspaper Advertising • National vs. Local • Classified – Advertising NEWSPAPER BASICS Types of Newspaper Advertising • National vs. Local • Classified – Advertising by individuals to sell their personal goods and advertising by local businesses. • Display – Any size, placed anywhere except editorial section. – Run-of-paper (can run anywhere) or preferredposition (select sections where ad runs). • Supplements – Independent, magazine-style publications sold to newspapers. – Free-standing inserts are preprinted ads (like grocery ads) inserted for a fee. Prentice Hall, © 2009 15

NEWSPAPER BASICS Readership Measurement • About half of American adults read the newspaper daily. NEWSPAPER BASICS Readership Measurement • About half of American adults read the newspaper daily. • Newspaper readers are older with higher incomes and education levels. • Newspapers measure their audiences to attract advertisers who want to reach their readers. – Audit Bureau of Circulation—independently verifies statements about newspaper circulation statistics – Simmons — annually measures readership profiles in approximately 70 of the nation’s largest cities Prentice Hall, © 2009 16

NEWSPAPER BASICS Newspaper Industry Trends • Readership is declining, particularly among young people. • NEWSPAPER BASICS Newspaper Industry Trends • Readership is declining, particularly among young people. • Newspaper production costs are increasing. • Internet delivery is becoming a growth area for the industry. – Stories are delivered through Web phones, pagers, emails, Palm Pilots, Blackberries. Prentice Hall, © 2009 17

MAGAZINE BASICS What is magazine advertising? • Over 92% of all U. S. adults MAGAZINE BASICS What is magazine advertising? • Over 92% of all U. S. adults read one magazine per month, spending 44 minutes per issue. • Quality of reproduction is their greatest strength. • Over half of all new magazines fail. • Most magazines focus on niche markets related to hobbies, sports, business, and professions. • Zines, online versions of traditional magazines, represent the greatest growth area. Prentice Hall, © 2009 18

MAGAZINE BASICS Types of Magazines • Consumer Magazines – Aimed at consumers who buy MAGAZINE BASICS Types of Magazines • Consumer Magazines – Aimed at consumers who buy products for personal use • Business Magazines – Trade papers are aimed at retailers, wholesalers, and other distributors; e. g. Chain Store Age – Industrial magazines are aimed at manufacturers; e. g. Concrete Construction. – Professional magazines are aimed at physicians, lawyers, and other professionals; e. g. National Law Review, Media. Week. – Farm magazines are aimed at those working in agriculture; e. g. Farm Journal and Feed and Grain. Prentice Hall, © 2009 19

MAGAZINE BASICS Classifications of Magazines • Vertical vs. Horizontal Publications – Vertical: contains stories MAGAZINE BASICS Classifications of Magazines • Vertical vs. Horizontal Publications – Vertical: contains stories about and info regarding an industry – Horizontal: deals with business functions across industries • Geography – National, regional editions (e. g. Los Angeles Magazine, Southern Living’s southwestern edition zoned editions of national magazines) • Demographics – Age, income, occupation, etc. (e. g. Newsweek’s college edition and Time’s editions for business executives and doctors) • Editorial Content – General (Reader’s Digest), women’s (Family Circle), shelter (House Beautiful), business (Forbes), special interest Prentice Hall, © 2009 (Ski). 20

MAGAZINE BASICS Classifications of Magazines • Physical Characteristics – The most common sizes are MAGAZINE BASICS Classifications of Magazines • Physical Characteristics – The most common sizes are 8½ x 11 inches and 6 x 9 inches, which allows for fewer visuals and less copy. • Ownership – Some are owned by publishing companies (Conde Nast owns Glamour, Gourmet, Vanity Fair) and others by organizations (AARP). • Distribution and Circulation – Traditional delivery—through newsstand purchases or home delivery via the U. S. Postal Service – Nontraditional delivery or controlled circulation — hanging bagged copies on doorknobs, inserting in newspapers (such as Parade delivering through professionals’ offices (doctors and dentists), direct delivery (company or airplane), and electronic delivery Prentice Hall, © 2009 21

MAGAZINE BASICS Magazine Advertising: Format • Premium positions – Back cover, inside covers • MAGAZINE BASICS Magazine Advertising: Format • Premium positions – Back cover, inside covers • Double-page spread – Two ad pages facing each other • Bleed page – Color goes to edge of the page • Gatefold – More than two connected pages that fold in on themselves • Special ad page or section that looks like editorial • Multiple-page photo essay • Fractional page space – Vertical or horizontal half-page, half-page double spread Prentice Hall, © 2009 22

MAGAZINE BASICS Readership Measurement • Magazine rates are based on guaranteed circulation a publisher MAGAZINE BASICS Readership Measurement • Magazine rates are based on guaranteed circulation a publisher promises to provide. • Readership represents total audience which includes pass-along readers. • Objective, outside measurement companies: – Audit Bureau of Circulation verifies circulation statistics. – Media Mark—MRI measures readership for many popular national and regional magazines. – Simmons Market Research Bureau provides psychographic data on readers plus what products they buy. – Companies like Starch, Gallup & Robinson provide audience size and behavior information. Prentice Hall, © 2009 23

MAGAZINE BASICS Magazine Advertising Trends • Product placement, although opposed by the The Magazine MAGAZINE BASICS Magazine Advertising Trends • Product placement, although opposed by the The Magazine Editors Association, will happen. • Online technology has led to online magazines. • Traditional formats provide interesting writing that’s portable. • The questions is: What works best for the media strategy for a particular target audience? Prentice Hall, © 2009 24

DIRECTORY ADVERTISING What is directory advertising? • Directories list people or companies, phone numbers, DIRECTORY ADVERTISING What is directory advertising? • Directories list people or companies, phone numbers, and addresses. • It’s directional—it tells people who already are in the target market where to go to get the product or service they want. • About 90% of the people who consult the Yellow Pages follow up with action. • Retailers can buy display space for larger ads, but directories can be cluttered. • 7, 500 directories for professional and interest groups. Prentice Hall, © 2009 25

OUT-OF-HOME ADVERTISING What is out-of-home advertising? • OOH includes billboards, hot-air balloons, buses, posters OUT-OF-HOME ADVERTISING What is out-of-home advertising? • OOH includes billboards, hot-air balloons, buses, posters on walls, kiosks, blimps, airport displays. • Ranks second to the Internet in terms of growth. • It’s situational: can target specific people at a specific time when they’re most interested. Prentice Hall, © 2009 26

OUT-OF-HOME ADVERTISING Outdoor Advertising • Includes street and highway advertising, plus posters in public OUT-OF-HOME ADVERTISING Outdoor Advertising • Includes street and highway advertising, plus posters in public locations • Two primary uses of outdoor: – As reminder advertising (e. g. Mc. Donald’s) – As a directional (e. g. hotels, gas stations) • Size and Format – Printed poster vs. painted bulletin – Extensions/cutouts—go beyond border of rectangle – Digital displays—use wireless technology to change message – Message is about 8 to 10 words • Buying Outdoor – Sold in “showings, ” based on traffic counts – Boards are rented for 30 days Prentice Hall, © 2009 27

OUT-OF-HOME ADVERTISING Other Types of Out-of-Home • On-Premise Signs – Identify a store – OUT-OF-HOME ADVERTISING Other Types of Out-of-Home • On-Premise Signs – Identify a store – Directional and informational – Help locate businesses • Posters – Used on buildings, kiosks, vehicles, and bulletin boards – Usually have few words – Kiosks are designed for posters • Transit Advertising – Ads on buses, taxis, and moving billboards – Interior and exterior Prentice Hall, © 2009 28

PACKAGING What is packaging? • Both a container and a communication vehicle • A PACKAGING What is packaging? • Both a container and a communication vehicle • A package is the last ad a customer sees before making a decision on which brand to buy. • Constant brand reminder once at home or office • Presents brand image and communicates critical benefits information • Can deliver benefits like recipes Prentice Hall, © 2009 29

USING PRINT AND OUT-OF-HOME Which Media to Use and When • Use newspaper for USING PRINT AND OUT-OF-HOME Which Media to Use and When • Use newspaper for announcements of something new, or for targeting local markets. • Use magazines for targeting people with special interests; they’re also good for brand image or longer explanations. • Use outdoor for people on the move to provide directional information; also good for brand reminders. • Use directories to catch people when they’re shopping. Prentice Hall, © 2009 30

All rights reserved. No part of this publication may be reproduced, stored in a All rights reserved. No part of this publication may be reproduced, stored in a retrieval system, or transmitted, in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without the prior written permission of the publisher. Printed in the United States of America. Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall, © 2009