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Media Terminology Who is easier to understand? Media person or Martian 2 Target group and universe Target group: The demographic group that has been identified as the key consumer group for the brand. All marketing/advertising activities are concentrated on reaching/appealing to this group In practice: Target group could be Female 20-55 years old Universe: The actual number of individuals within the defined target group In practice: The F 20-55 y.o. universe is 1 825 462 Rating Point The percentage (%) of the target universe exposed to a TV or Radio Spot at a given moment 1 rating point Channel 1 = 1 % of the target audience Channel 2 Sunday , March 8, 2002, 7:30 pm The Universe = 10 Women 18-34 Rating Channel 1 = 40% Rating Channel 2 = 20% 4 GRP & TRP Both terms, GRP (Gross Rating Point) and TRP (Target Rating Point) represent rating and they are calculated in exactly the same way as rating. The only difference being that GRP : The number of ratings expressed against All Individuals TRP : The number of ratings achieved against the actual target audience Note: Although GRP and TRP is measured in terms of percentage, nobody treat with GRP as with a percentage number. The percentage sign (%) is not used also. 5 Affinity Affinity index is an index of campaign weight or rating performance against a particular target audience versus total individuals Formula: Affinity = TRP / GRP Programme “JA IMAM TALENAT” 15% of Target Audience Affinity of Programme A for Target Affinity = 15% 14% x 100 = 107 Programme “JA IMAM TALENAT” 14% of Total Individuals If Affinity is > than 100 the programme is skewed to the target Note: affinity index is usually measured in % but can be expressed as absolute number, too 6 There is another definition of GRP GRP is the sum of ratings of each individual spot Formula: GRP=Rating1+Rating2+…+Rating Viewers Rating 1st spot 381 605 5.4 2nd spot 1 738 422 24.6 3rd spot 197 869 2.8 GRP ? Sum of the ratings 32.7 Can the Rating be higher then 100? No, maximum 100% of the target audience can watch a program. And the GRP? Yes, as a cummulative figure, easily go above 100. 7 AMR (Average Minute Rating) AGB Nielsen provides us with minute by minute TV rating based on the peoplemeter’s data. The average of these ratings represents AMR. AMR can be calculate for one channel, program, break, day part… on a daily, monthly, yearly…level Source: AGB, week 14-22 Dec 2009 8 Reach (Coverage) Percentage of our target universe that was exposed at least once to an advertising schedule. Usually measured over 1 or 4 week period Example: Target Universe = 1,000,000 A campaign achieves 80% reach in 1 week 80% of the target have seen the commercial at least once 800,000 of the target have seen the commercial at least once 9 Frequency (also called Average Frequency or OTS) The average number of times that each person is exposed to a brand’s advertising campaign or schedule. Level of the frequency 1 exactly once 2 exactly two times 3 exactly three times 1+ 2+ 3+ at least once at least two times at least three times Example: Average Frequency of 4.0 means that, as an average, every person reached has seen the commercial 4 times. This is an average, which means that some people have seen the commercial more times, and some less. The average gives us a general idea of the campaign frequency performance. 10 Reach & Frequency One of the most crucial tasks a media planner needs to face is to set the Media Goals • How many people to reach • How many times those people should be exposed to the advertising frequency • Reach and Frequency are the 2 main Media Goals we need to establish 11 Can the number of GRPs or TRPs be a media goal? • GRPs or TRPs are results of the reach and frequency goals we set • GRPs or TRPs are not goals by themselves • GRPs or TRPs alone don’t tell us what we really achieve 12 C/GRP (cost per GRP) or C/TRP (cost per TRP) CPP (cost per point) Definition : The cost of buying one rating point/reaching 1% of a specific target audience via certain media type (one GRP or one TRP) Formula: Cost ÷ Total TRPs = Cost per TRP (CPP per TRP) In Practice: EUR 220,000 ÷ 1000 TRPs = EUR 220 cost per TRP 13 Cost Per Thousand (CPT) Definition: The cost of reaching 1000 target audience individuals within the campaign. Formula: Cost TRPs (÷ 100) x Universe In Practice : x 1000 = CPT EUR 24,750 cost; 110 TRPs; 5,000,000 Universe 24,750 1.1 x 5,000,000 x 1000 = EUR 4.50 CPT 14 Audience Share Channel or Audience Share It is the percentage of audience’s viewing of a particular TV channel using TV across all channels within a given time period. The total Audience share is always 100% even though the number of viewers varies 15 Source: AGB Natural Delivery, Day Part Viewership • Natural delivery of viewership across TV channels average audience share of TV channels across a specific period • Day Part – specific time frame within the day E.g • Natural delivery of day parts’ viewership – average audience share of TV channels’ across day parts 16 Source: AGB Share of Spending, Share of Voice Share of Spending ( Share of Voice (SOV) SOS) The brand’s or advertiser’s advertising weight expressed as a percentage of a defined total market or market segment in a given time period. The brand’s or advertiser’s advertising weight expressed as a percentage of a defined total market or market segment in a given time period. The weight is defined in terms of expenditures. The weight is defined in terms of ratings (GRP). 17 Seasonality, Advertising weights, Channel Mix, Day part Mix Seasonality – depending on the type of the product, its purchase cycle, consumption, it is defined in which months or weather continuously we need to support our brand TRP level 300 250 200 150 100 50 0 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Advertising weights – the level of TRPs needed on the monthly / weekly level dependant on the type of product, category, media environment, advertising goals Channel Mix – TRP distribution across channels in our media strategy Daypart Mix – distribution of TRPs across day parts 18 Some other terms Technical coverage (penetration) – percentage of people that can technically receive signal of a particular TV station Circulation: The total number of copies distributed through all channels such as subscriptions and newsstand Faces / sites – outdoor media surfaces UC – (User Clicks) – shows the number of cookie visitors who performed a first click CTR – (Click Through Rate) – a coefficient showing the share of cookie visitors who were shown the ad and clicked on it 19 Thank you! 20