What are the main issues in deciding the Media Budgets?


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MAIN ISSUES IN DECIDING THE MEDIA BUDGETS

As 85% of the client’s money go into media planning, the ad-agency must see that the client’s money is spent in the most useful and effective manner. The advertising agency takes the following issues into consideration when arriving at the media budget. Many a times even the client (company) fixes the media budget and accordingly the agent and the client sit together and finalize the deal. The marketing mix or 4p’s can effect the media decisions very strongly.

 

1.   Interaction of  the  media  with  the  product:  – the very nature of the product may  suggest  one media  over  the other..  A  product  like a  perfume  needs  a distinct image and would advertise in a women’s magazine.

Eg:-  mercedes  benz  India  ltd  (MBIL)  used  only  print  medium  (  magazines and newspapers) to highlight its safety features in their models like c-class, s- class, and e-class (RK swamy bbdo is their ad-agency.

 

2.   Interaction  of  media   with   the  price:   –  price  is  also  a  key  factor  to  be considered in choosing the topic of media. A “premium priced” product will require the use of prestigious or class media to support its market image.

Eg:  –  Shaw  Wallace  launched  “antiquity  rare  premium  whisky”  to  create  a new  segment in Indian whisky market—-that of a super premium whisky. It was  targeted to the upscale premium whisky consumers.  It used “below the line”   media   and   banked   on   direct   marketing   campaign.   It   distribute miniature  bottle samples  and also sponsored the amateur golf tournament in india.

 

3.   Interaction of media  with  the place  decision:  – the product is the channel of distribution also  important in  media  planning. If the product is  available in the local areas, localized media should be used.

Eg: – O & M designed ads for the orange mobile only for the Mumbai market.

Hence,  they compared airtime along with vada pav and cutting chai, which are famous  in  Mumbai  in their outdoor         media.

 

4.    Interaction of media  with promotion  mix: – the effort devoted to advertising, personally  selling  and sales  promotion techniques can  also  affect  the  media plan.   The   use   of  sales   promotion   device   like   coupon   may   use   the   of newspaper as the medium to distribute the coupons.

Eg: – holiday companies like Thomas cook, Cox & kings prefer print ads in

newspaper like to to generate leads by giving sales promotion schemes.

Thus, media decisions have to be taken carefully by even taking into preview in which stage of PLC the brand is.

 


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