Market Prioritisation and Product distribution
“Media Planning is the closest discipline to marketing”
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- The markets addressed in the media plan must closely replicate the product distribution
- This will maximize Return on Investment (ROI) for the brand
- The most common cause of friction between the media agency and the client is on the market prioritisation
- Clients invariably provide a market prioritization in the brief rather than the data used for such prioritisation
- Resulting in the media agency not fully understanding the logic behind the market prioritisation
- Clients often state that the reasons for the improvisation of the data is that of lack of confidentiality (owning to frequent changes in jobs by ‘our’ generation)
- Thus could very will copy/use the data of their older client in order aid it’s competition
“Understanding the logic of market prioritization is the
appreciation of using the right data”
Common issues whilst handling data:
- Accessing the right data
- Using the right amount of data
- Understanding and interrupting the data correctly
This has even lead to the term “Paralysis by Analysis”
Brands Market
- - Is it a big one?
- - What is its evolution?
- - Which markets are similar?
- - Who are the competitors?
- - How is the product distributed, what role does the retailer play?
How do the different market perform in terms of:
- - Pricing
- - Distribution
- - Promotion
- - Packaging
- - Range
- - Communication
- - Sales
- - Market Share
- - Image
- - Awareness
“Ideally clients should provide the data for market
prioritization”
- Retail Audits
- Internal client data (or published industry data)
- Adex (ad expenditure) data (the media agency has access to this data)
- Usage and Attitude
- Consumer Panel Data
- Tracking and Barometer studies
- Image data
Retail Audits
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Scanning of product codes and store visit by
professional auditor
- - Tracks sales, volume, maximum retail price, any promotion if the brand is running one, merchandising etc
- - To help management to gauge overall product preference, distribution, promotional activities and sensitivity (wrt price)
S Scope of Retail Audits
- - Supermarkets
- - Gas/Petrol stations
- - Convenience Stores/Kirana
- - Pharmacies
- - Independent Food Stores
Retail Audits happen either monthly or weekly, in FMCG and
some durable goods market, and the main institutes that conduct this are AC
Neielsen, IRI and Gfk.
Key Measures
- - Sales – Volume and Value, unit sale
- - Price – Retail selling price, regular price and promotional price
- - Distribution – percentage of stores selling the brand
- - Promotional activity –Percentage of Stores:
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Displaying the brand
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In-store materials
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Price reductions
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Special Packs
There is no retail audit date for Leisure and cultural
activities, Service markets like; Banks, Insurance, Catering etc…
Reasons as to why Retail Audits is not necessary:
- - Structural (Monopoly)
- - Cultural (No share of information)
- - Economic (Too expensive)
- - Free syndicate or legal data exists.
Use Internal Client Data
- - Issued from trade and sales forces checks marketing and financial services
- - The main problem is to have competitor’s market information
- - Any syndicate or legal battle unavailable
- - How does the management keep up with the business?
Communication Data (Adex)
- - Examine how competitors are fighting the battles in terms of their communication
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Media Mix
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Media Spend
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Share of Voice
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Weight
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Timing
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Geographic Spread
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Scheduling
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Key Creative Message
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Target Group
Split data by media and type of communication:
- - Spend
- - GRPs
- - Share of voice
Consumer Data
- - How many are there, who are they?
- - Are they regular purchasers of my competitive brands?
- - How important is my product category to them?
- - What is the frequency of purchase of consumption of store visit?
- - What are their motivations?
“Empty Box Syndrome – Whenever something goes empty, you go
out and buy it”
Consumer Panels
- - On a daily basis a representative sample of the national population, equipped with how scanners indicate their product purchasers.
- - In addition to the information provided by the bar code the panel member indicates the price, the quantity purchased, the purchase date and the total amount spent.
Key Measures
- - Options consumer purchases, volume and value
- - Penetration (percentage of households buying)
- - Brand weight of the purchase (average bought per household)
- - Weight of purchase
- - Average spend per household
- - Frequency of purchase
- - Loyalty/ repeat purchases (No. Of buyers purchasing twice or more)
- - Buyers purchasing on offer and by offer type
Tracking and Barometers
- - A continuous basis quantitative survey to measure a range attitudinal variables
- - Taking into account all the competitive brands of the market to allow comparisons
- - Barometer is a lighter version of tracking
Key
Measures
- - Brand Awareness – Spontaneous, Prompted, Top of Mind (summation of all these is Total Awareness)
- - Purchase Behavior – Regular, Occasional, Purchase initiators
- - Advertising – Spontaneous, Prompted, Proven recall
Usage and Attitude
- - Quantitative survey based on face to face interview
- - A basic and heavy study conducted generally every two years
- - Aim is to understand consumer market
Key Measures
- - Perception
- - Segmentation
- - Expectations
- - Evocation, tenacity of communication
- - Who in the household is buying and what for?
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