tmku 2013: ooh planning and buying

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OOH Planning and Buying The Basics Prepared by The Media Kitchen

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A guide to the OOH landscape.

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Page 1: TMKu 2013: OOH Planning and Buying

OOH Planning and Buying

The Basics

Prepared by The Media Kitchen

Page 2: TMKu 2013: OOH Planning and Buying

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Agenda

What is OOH?Different types of OOHThe ProcessEvaluating OpportunitiesPlacement TypesCross-Platform

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Print Strategy Development

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A Strategy is Important for Effective Print Planning

• Prioritizes target audiences• Narrows consideration set to specific

categories• Guides the evaluation of print properties

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Print Strategy Framework

Audience Mindsets, Lifestyles

Print Strateg

y

Overall Communication Strategy

Audience Print

Compsumption

Editorial Environme

nts

Print Categories

& Types

Tone of the

Brand

Campaign

Message

Campaign

Objectives

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Certain campaign elements must already be in place

Print Strateg

y

Tone of the

Brand

Campaign

Message

Campaign

Objectives

Overall Communication Strategy

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Campaign ElementsBrand Tone

Typically remains consistent from

campaign to campaign

Campaign Message

Consistent from prior campaigns, an evolution of a past

message, or a brand new effort

Campaign Objectives

For example, build awareness, drive sales, drive to a promotion, etc.

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Choose print environments that…

Match or amplify the brand tone

Are relevant to and synergistic with the

brand message

Will help to accomplish the

campaign objectives

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An understanding of the audience is essential to developing a print strategy

Audience Mindsets, Lifestyles

Print Strateg

y

Overall Communication Strategy

Audience Print

Compsumption

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Audience Research Tools

• Syndicated research: MRI, Simmons, etc.

• Qualitative research: Focus groups, interviews

• Publisher-provided: Often, publishers do their own audience research (be careful to distinguish the sales pitch from the facts!)

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Audience CharacteristicsMindset

sLifestyle

sInterest

s

• Important when developing the communication strategy

• Some audiences provide the greatest opportunity for growth (if multiple targets, they should be prioritized)

• Some audience segments will be most receptive to the brand message in a print environment

• These factors often coincide with how they consume print

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Audience Print Consumption

WhatWhereWhenWhy

• What they read – be where the audience is• Where they read affects their state of mind

and perception of the message (work, home, traveling, etc.)

• When would they be most likely to respond to a call-to-action (i.e. relaxing with the Sunday paper)

• Why do they read (seeking information vs. entertainment vs. emotional support)

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Editorial Environments

Print Types

These factors help determine the editorial environments and types

of print in which to place the brand message

Print Strateg

y

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Editorial Environments

Print Categorie

s

• Look for print categories that have:• High audience composition (% of readers

who fall within the target) and/or• Wide audience coverage (% of target who

reads a print category)• Exceptions can be made based on campaign

objectives (i.e. need high impact at the expense of efficiency)

Business Parenting

NewsWomen’s Service

GamingSports

FitnessTrade Niche

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Importance of Editorial Environments

Receptivity

• Allows you to reach the audience when they will be more receptive to the brand message• i.e. Someone reading about the financial

climate might be more receptive to an ad for a financial planning company

Targeting

• Increases the possibility that you’re reaching people who care about the brand category• i.e. If someone reads health magazines,

there’s a better chance they will ne interested in a health food product

Element of Surprise

• Unexpected environments can help the message resonate• i.e. An ad for a weight loss program in

Cooking with Paula Deen

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Types of Print

Monthlies

Longer shelf-life; kept longer by

reader; easier to align with planned

content

Weeklies

Shorter lead-time to be in an issue; more current

content; fewer pages can mean

less clutter

Dailies

Typically newspapers; very short lead time to

place time-sensitive creative; can aligh with appropriate

sections

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Types of Print

Alternative

Distribution

methods

• Can impact the credibility of an advertiser (i.e. a publication distributed in a doctor’s office)

• Can more precisely target• Distributed where the audience is (i.e. at

a festival, reastaurant, or on an airline)• Can be a regular publication mailed to a

specifically targeted audience for a more effient buy (i.e. a Family or a Women’s edition)

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Strategy determines which publications are within the consideration set

Budget determines how many of those publications make the plan

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Evaluating Print Properties

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Much of the information you’ll need to evaluate publications can be pulled from online data sources

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• Impressions and coverage are proportionate, as are composition and index

• Utilize all numbers to tell a story about the readership– Just looking at one number can sometimes be misleading

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• Median age: the middle age in the range of ages reading the publication– Clients often ask for this information during

presentations, so it’s important to have it handy

• Find the optimal balance of Reach/Frequency to evaluate full print schedules:– Reach: the % of the target audience who will see the

ad– Frequency: the number of times they will see the ad

• The right balance is based on an understanding of the audience and client priorities

• Should be included when recommending a plan to the client

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• Use the FASFAX report to calculate the Circulation Vitality of a magazine

• You will find:– The % of circulation that is subscription vs. newsstand– The total circulation for the year– The change in circulation from year to year

• It’s an indication of the health of the publication

• Can be leveraged during negotiations

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• Ad Vitality: the change in the number of ad pages and revenue from year to year

• An indication of the health of a publication

• Can be leveraged during negotiatoins

• Found on Magazine.org

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Use to:• Learn about publications within specific categories

• Look up sales contact info

• Find publication details:– Gross Open Rates– Current Ratebase– Current Circulation– Closing Dates: Date by which the publication needs to receive

an IO in order to place an ad in an issue– On-sale Dates: Date the issue is released onto newsstands

(subscriptions are usually mailed prior to this date)

Page 26: TMKu 2013: OOH Planning and Buying

To further evaluate publications, planners request information from sales representatives

via a request for proposal (RFP)

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Information Needed from Publisher

Request for Proposal

Ratebase: Guaranteed circulation per issueGross Open Rate: The publicly listed cost for an ad

Proposed Rate: The cost at which the publication is willing to sell an ad (Often fluctuates based on number of pages bought)

Discount: The percent difference between the Gross Open Rate and the Proposed Rate

Total Audience: The number of people who read an issue; calculated as the total circulation x readers per copy

Target Audience: The number of people within a specific demographic and/or psychographic who read an issue

Editorial Calendar: Description of planned editorial for each issue. Although this may change throughout the year, it gives an idea of

the kind of content plannedFrequency: Number of issues per year

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There are numerous factors to consider when reviewing

proposals

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Efficiency is reaching the most people with the least amount of money

Ratebase CPM

Measures the cost of an insertion against the publication’s guaranteed circulation per issue

Audience CPM

Measures the cost of an insertion against the number of audience impressions per issue

Effective CPM

Measures the total cost of the print schedule against the total circulation or number of impressions (factors in bonus pages)

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Positioning• The publication should provide guarantees of where the

ads will be placed within each issue• Better positions often mean higher visibility

Cover 4:Back cover

Cover 3:Inside the

back cover

Far Forward:Within 1st 33% of issue

TOC:Opposite table of contentsCover 2:

Inside front cover

Editorial Adjacency:

Next to content that is relevant with the brand

Opener:Opposite the beginning of

an article

Masthead:Opposite the list of publishers and

editorial board

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Bonus pages• A great way to bring down the effective CPM

• If counted into the Effective CPM:– Should not be considered added value (they become

part of the effective page rate)

– Should abide by the same positioning and other requirements, just like paid pages

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Added Value• Partnership elements beyond the brand ad negotiated

into the cost of the schedule• Can expand on the brand ad’s message, either for

general brand awareness or to help drive to a promotion or website

E-blast

Fractional unit

In-book or online

promotional listing

Newspetter Sponsorship

Front cover strip

Advertorial

Vista/Starch research inclusion

(measures ad effectiveness)

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Ability to Meet Requirements• Clients often have specific requirements

publications must be able to accommodate, for example:– Separation from a competitive advertiser

– Flexible with closing dates

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Year Over Year Comparison

• Provides a benchmark or starting point for negotiations

• Year over year changes are a good indication of a publication’s health

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Negotiating

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Rarely is a proposal perfect when first submitted, so

it’s important to negotiate

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Negotiations

The planner’s job is to try to get the best

value for their client

The sales rep’s job is try

to get the most money

for their product

Strive to reach the right balance between efficiency, positioning, and added value

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Negotiating TipsKnow what you

need and ask

for it

• If a certain page rate will allow you to reach the desired number of pages within the budget, ask for it

• Request specific positions or added value based on the client’s priorities (i.e. if e-blasts are part of the campaign, the publication can probably execute them for free to their opt-in email list)

Keep lines of

communication open

• Explain why you need what you need, for example:• Budgets are down• Aggressive competition• The client is skeptical

• Provides leverage to request a better deal, and gives the sales rep leverage to fight for your request internally

Maintain a

mutual respect

• Be professional and appreciative, as sales reps represent you within their organization to have your request approved

• Acknowledge that you’re both doing your job, but ultimately, you’re partners working for the client

• Remember, you represent your agency and your client, and the media business is all about building relationships – build good ones!

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Corporate Deals

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Corporate proposals are structured differently from single-book proposals

They vary by publishing house, but they all leverage incentives

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Corporate Proposals• Work with one contact who represents all

publications under a publisher’s umbrella to negotiate each partnership

• Positioning and added value negotiations vary by publisher– Some are negotiated by the corporate rep, while

others are negotiated with each individual publication

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Corporate Incentives

Proposals are typically structured on a tiered system based

on spendHigher tiers offer better incentives, which can come in the form of:• Lower out-of-pocket page rates• Greater discount across all titles (% saved off of the Open Rate)• Greater CPM reduction across all titles (i.e. Tier 1 = 2% CPM

decrease, Tier 2 = 1.5% CPM decrease)

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Corporate Concessions

Proposals are typically structured on a tiered

systemAlso reach higherTiers by making

concessions• Adding a new publication to the plan• Share of budget: one publisher is guaranteed the most spend• Share of market within category: one publications is

guaranteed more pages than a competitor• Exclusivity: A publication is guaranteed to be the only one

chosen in the category or vs. a specific competitor

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Corporate Proposals – Things to Note

Monitor adherence to

corporate

stipulations

throughout the

length of the

schedule to ensure

that any changes or

opportunistic spend

will not interfere with

contract terms

Corporate contracts

are only worthwhile if

the incentive is

strong enough to

warrant increased

spend and concessions

Page 45: TMKu 2013: OOH Planning and Buying

Placement Types

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Print buys are not limited to brand ads

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Beyond the Brand Ad

Advertorial: a branded page with custom content relevant to the brand message

• Typically created by the vendor with the client’s assets and talking points and client/agency direction and approval

• Must say “Advertorial”

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Beyond the Brand AdContent Partnership/Sponsored Editorial: editorial

content relevant to the brand message

Created by the publisher with client/agency guidance, but

typically cannot name the brand

for an overt endorsement

Often has a brand ad adjacency

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Beyond the Brand Ad

Impact units: Can be traditional impact units like a gatefold, or more unique (i.e. functional

units)

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Beyond the Brand Ad

Insert: Typically more than one page on different stock paper with a brand ad and custom content

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Custom Programs

• A custom program can enhance the value of a partnership:– Custom content– Blown-out promotion– Content integration– Can showcase the vendor’s

talent in creative– Co-branded content

• Custom programs can incorporate the editorial voice, so it’s tailored to the audience and blended with content

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Leveraging Cross-Platform

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It can be smart to leverage a media partner’s multiple

outlets, if it makes sense for the brand

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Cross-Platform Buys• Many media companies own television, print,

online, and/or radio properties• Opportunity to develop an extensive custom

program that will run across media platforms for maximum exposure

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Benefits of Cross-Platform Buys

• Leverage in negotiations– Bundled for a more efficient buy

– Increased added value to support the initiative

– Better positioning

• Greater Impact– The messaging is reinforced via numerous outlets

– Allows for unique and creative custom executions or promotions

– Each medium can reference or drive to other platforms

Page 56: TMKu 2013: OOH Planning and Buying

Questions?