Page 236 - DMGT507_SALES AND PROMOTIONS MANAGEMENT
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Sales and Promotions Management




                    Notes          such as product users among adults (males and females), teenagers, heavy users, or light users
                                   etc. Media planners are usually more concerned with the percentage figures and index numbers
                                   rather than with raw numbers. The index number is considered a fairly good indicator of the
                                   market potential.

                                                       Percentage of users in a demographic segment
                                                 Index                                        100
                                                       Percentage of population in the same segment
                                   An index number of more than 100 would indicate that the product use is proportionately more
                                   in that segment compared to the one where the number is 100 (average) or less than 100. The
                                   planners, depending on their overall strategy, may decide to focus on groups where the usage
                                   index is less than average, average, or more than average.
                                   Use of index number is helpful but it should be combined with percentages and product usage
                                   figures to  get a clearer and  more accurate  picture of the market. Index alone may in some
                                   instances be deceptive as the figure  may be  the outcome  of a very small population in the
                                   segment.

                                   Internal and external factors influence the media strategies. Important internal factors that may
                                   influence the decisions  are media budget, managerial  and administrative  capabilities of  the
                                   agency personnel, and the pattern of agency organisation.


                                          Example: An agency may organise its media buying department on the basis of product
                                   expertise, market expertise, or media expertise.
                                   Other factors, external in nature, include rising costs of media, changes in technology, and the
                                   competitive environment, etc.

                                              Figure 13.1:  Four Important  Steps in  the Development  of Media  Plan

                                                                             Media strategy
                                         Market         Set the media                           Evaluation and
                                         analysis         objectives        development and       follow-up  .
                                                                             implementation

                                   The next issue concerns where and when to advertise. Generally, the sales are not uniform in all
                                   markets, and market potential also varies across markets. The big question is where would it be
                                   wise to spend the advertising money. Obviously, those markets should be the priority areas that
                                   are most likely to meet the desired objectives.


                                   13.4.2 Establishing Media Objectives

                                   Media objectives are formulated to help accomplish the advertising communications task and
                                   marketing objectives. Media objectives are translated into specific goals for the media programme
                                   and are limited to those that can be achieved through media strategies.


                                          Example: The media objectives can be stated as:
                                   1.  Use print media to provide coverage of 80% of the target market over a six-month period,
                                       starting July.

                                   2.  Reach 60% of the target audience at least three times (frequency) over the same six-month
                                       period.
                                   3.  Concentrate heaviest advertising between October and December, with lighter emphasis
                                       in earlier months.



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