Marketing Ganga

Author: Shabbir Chunawalla

  • Scheduling Patterns For Ads

    There are three types of scheduling patterns.

    Continuity Here the media weights are spread evenly and continuously across the years. This is the preferred pattern of scheduling for most FNCG brands which do not show much seasonality. These are shopped throughout the year. It is sensible to put the message across throughout. This pattern is conducive for media deals. We can negotiate preferred positions. We can negotiate better rates. Brands with budget constraints find this option of limited use. There could be below threshold visibility.

    Flighting Here we advertise in bursts, with gaps in-between, when no activity happens. There is concentration when bursts happen. It is good for brands with budget constraints. Flighting allows these brands to compete effectively. It suits us more if the competitor uses continuous scheduling.

    We can scream at chosen time. Flighting enables better handling of a multi-media campaign. We can chose a primary medium to complement the campaign. The minus point of flighting is that as in the burst period we compress all advertising activity, the frequency is built up at the cost of reach. In case the time lag between two bursts is long, the ad may be forgotten. Competition can take advantage of the gap.

    Pulsing Pulsing combines the best of both the worlds — continuity and flighting, and minimizes the drawbacks of both the worlds. Here the base is made up of a continuous evenly spaced activity, together with heavier weights in the key-time periods. It is better for round-the-year sale brands which have enhanced sale in some months. Consumer durables  by and large fall in this category. There is a surge in their sales in the festive season. Generally, a low-priced medium is used to provide continuity, and a high-priced medium is used for flighting.

  • CEO Compensation

    The thumb rule is 5 billion of USD in revenue or valuation demands a price of a million to million and a half ( Rs 100 million or RS 10 crore) to be paid to the CEO.

    Fixed pay is 50-60 per cent. The balance is variable pay. It accrues on achievement of 100 per cent performance related to goals of finance and other qualitative measures such as innovation, implementation of the best practices, grooming leadership, environmental conservation and so on.

    Variable pay has two components — cash component paid at the end of the year and stock component paid as stock or deferred cash with at least three years vesting or deferment respectively.

  • E-Tailing Sites as Advertising Media

    E-tailing sites attract traffic in very large numbers of the shoppers. These shoppers are either in the purchase mode or the search mode. This traffic could be monetised. Brands can be promoted by properly targeted and relevant ads on these sites. App-based taxi operators put ads on e-commerce sites. Apart from Facebook and Google, this is another medium to reach out to people. The brand advertiser and the site both gain in terms of awareness and business. In future, the e-tailing sites will form an important component of the media mix for the brand marketers.This media will grow bigger. It is akin to point-of-sale advertising in a modern retail outlet. Flipkart and Snapdeal have already started accepting online ads, and others may follow suit.

  • Average Frequency

    Average frequency gives the average number of times people / households in our target audience are exposed to a media vehicle.

    Average frequency = Total Number of Exposures / Total Audience Reach

    If 1500 people in the target audience tune in to FM radio programme 3 times during a week and 1500 people 6 times, the calculation would be :-

    Total Number of Exposures = ( 1500 x 3 ) + ( 1500 x 6 )

    =  13500

    Total Audience                        =  1500 + 1500

    =3000

    Average Frequency           = 13500/300

    =  4.5

    In this example, we reach 3000 people 4 1/2 times on average. It does not necessarily mean each one has 4.5 exposures. It is just an average.

    Generally a single exposure may not work either in creating awareness or provoking someone to buy. The more the exposures, the better the impact. Besides, more exposures make us rise above the competitive noise. It is good to plan how many times we would like our audiences to see the message in a given medium. While introducing a new product, we need more frequency. When the ad size is small, we need more frequency. When the message is complex we need more frequency. Higher frequency helps us stand out in the clutter.

     

  • Effective Frequency and Reach

    There is proliferation of media. ‘ Just once seen’ may not suffice for the message to sink in. The brand connect may not happen. That brings us to the concept of Effective  Frequency. It is the minimum number of times the target audience is required to be exposed to the message so as to have the desired effect. If the target audience should see our compaign 5 times, it means those who see it lesser number of times have not been reached effectively. Thus 5 is our effective frequency. We shall aim at 5 plus reach which is effective reach. Effective Reach is thus the reach at the effective level of frequency.

    Ideally, the effective frequency was set at 3, but these days it has been arrived at through research. One such estimated effective frequency is obtained by using FCB power grid. Here there are ratings on three factors –marketing, message and media.These are put on FCB-grid — consisting of high-low involvement and emotional-rational product. That leads to effective frequency.

    There can be a minimum frequency and maximum frequency to be effective. Lesser frequency makes the communication ineffective. Higher frequency may be a waste of resources. There can be ad fatigue also if there are too many repetitions. Effective frequency adds the dimension of repetition to the concept of reach and frequency. The balancing is difficult, especially when two or more ads are being employed and two or more media are being used. We have, therefore, to consider the message weight of the entire media plan.

    The frequency of ad exposure of the target audience depends on the amount of reinforcement of the image required or the amount of reminding required to have sustaining patronage from the target customers. The greater the frequency, the greater the probability of the ad message making a deep or lasting impression.

  • Concept Development — Development of New Product Ideas

    Screened ideas are then developed into product concepts. Concepts describe in detail the product idea so that it becomes meaningful for the consumer. An example will make their clear.

    An additive powder for milk can make milk nutritious and palatable. This is just a product idea. Product ideas are not sold. These should be converted into product concepts. One product idea can generate several product concepts.

    The exercise of concept development begings by first deciding the target audience of the product — infants, children, teenagers, youngsters, middle-aged or senior citizens. Later, the benefit to be drawn is decided — taste, nutrition, energy, refreshment etc. Later,the occasions to use the product are thought of — breakfast, mid-morning, lunch, evening, supper, late night.

    These queries lead us to three different concepts —

    • A palatable midday snack drink for children
    • A nutritious breakfast drink for youngsters
    • An energy supplement for elderly people at night

    These concepts are tested by by elaborating these concepts further , and sampling them on consumers.

    A tasty powder which is added to milk to make an instant flavoured breakfast that gives youngster all the nutrition that their growth needs. The drink is presented in four flavours — vanilla,pchocolate, mango and strawberry. It comes in a jar of 250 gms and 500 gms.

    The consumers can be questioned

    • whether the benefits are clear
    • whether the benefits are credible
    • whether there is a need for such a product.
    • which other products are used to satisfy the need .
    • how the concept fares with the other products
    • is the price justified
    • do you intend to buy the product.

    These questions indicate whether the concept is well-communicated, believable, need-satisfying. It also shows its perceived value and buying intention. It shows whether the concept is strong enough. It tells the product planner about the competition and target audience.

  • CinePlays of Nandita Das

    Daughter of a painter father and a writer mother, Nandita Das is also an actor who has enacted various roles in meaningful cinema. After marriage she shifted to Mumbai. She also directed a movie. She does not consider acting to be the be all and end all of her career. She wants to make a difference in the society around her.

    She wanted to bring the power of theatre and the magic of cinema together. She thought of a hybrid version of vehicle called CinePlay where a drama being stages is shot on video, and later screened in the cinema halls, malls, in-flight and on Internet.That gives the play a wide audience. It brings realism of the live theatre in the presentation.As it is still in the nascent stage, Nandita is waiting for the day when one cineplay will become successful so as to establish this as a new genre.

  • Advertising Spends on Different Media

    According to CI-KPMG Indian Media & Entertaiment Report, 2014, marketers in India are spending more on print than on TV. This was so in 2013 as well. This is likely to continue till 2018.

    In 2013, the total advertising spend across all media was Rs 36,250 crore. The share of the print was Rs 16,260 crore. It was the highest. TV stood at Rs 13,590 crore.

    In 2014, the projected spend was Rs 41,000 crore, of which Rs 17, 900 crore was the print’s share. The political advertising boosted print’s share. Besides, there was sports advertising on account of FIFA Football World Cup. Even vernacular print media attracted good ads.

    Print overtook TV in 2010, and its lead widened in 2014.

    Print has four to five times more advertisers than TV.Print is expected to grow at 17 per cent and TV at 15 per cent.

    In future, advertising is likely to move to digital platforms. Both print and TV will lose out to digital platforms.

    In 2018, the projected ad revenue is Rs 70000 crore of which print will account for Rs 28000 crore, while TV will account for Rs 25000 crore.

  • LinkedIn

    LinkedIn is the professional networking site. It is a tool where Indians executives and employers register their presence. Executives are using it more to build their networks and seek jobs. Employers are using it as an online enployee contact source, a publishing platform and as an avenue to look at passive candidates. Globally, LinkedIn has 332 million users. LinkedIn, can well become a hangout, for companies to check out for talent, provide the talent with useful content. It makes finding people easier. The right candidate may not  be looking for a change  — this is the USP of LinkedIn, helping employers to scout for candidates who may not be actively looking for a job. The site makes the passive candidates visible.The site has more content than the jobs. People share ideas and read the ‘ influencers’. It has 500 influencers on its panel. LinkedIn builds an economic graph of its users. It maps the candidates from their student days and then through different stages of their career. LinkedIn is monetized by hiring or talent solutions, marketing solutions and subscriptions. LinkedIn users in India get it free, but it does not want it to be a freemium. HR heads finds that some profiles remain un-updated and do require background checks. India still has a large unorganised workforce.

  • Biosimilars

    In the field of pharmaceuticals, biosimilars are biological products that are similar or highly similar to the original products and have the same level of efficacy and safety.

    The The Drug Controller of India has approved a biosimilar drug for the treatment of auto immune diseases. It is being made by Zydus under the brand name Exemptia. It is similar to the innovative product Humira by AbbVie Chemicals. The drug is Adalimubab. It is indicated in four areas — rheumatoid  arthritis, juvenile idiopathic arthritis, psoriatric arthritis and ankylosing arthritis.The approval is sought for three large indications — Crohn’s disease. ulcerative colitis and plaque psoriasis.Its global sales is estimated to be $12 billion.