ALPHABET SOUP TV PLANNING TERMINOLOGY FOR ALL CLIENTS

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ALPHABET SOUP TV PLANNING TERMINOLOGYFOR ALL
CLIENTS
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TV PLANNING TERMINOLOGY

• REACH
• The number of people within the defined target
  market who are potentially exposed to the message
  at least once. This is usually reflected as a
  or 000s and is often referred to as coverage,
  cover or penetration.
• EFFECTIVE REACH
• The number of persons, within your target
  market, who are exposed to the advertisers
  message sufficient times to ensure meaningful and
  lasting retention of that message. Usually
  measured at 3 frequency.
• FREQUENCY
• The number of times, on average that a person
  within the target market is supposed to have been
  exposed to the advertisers message.
• AWARENESS
• Acknowledgement that a product or brand has been
  advertised but without specific recall of the
  advertising message.

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TV PLANNING TERMINOLOGY

• AMPS RATINGS (ARS)
• ARs are a time weighted measurement which look
  at the potential reach of a programme against a
  specified target audience.
• 4ARs Means that 4 of the target audience will
  be reached (of the total TV viewing population).
• However this is a duplicated figure and
  therefore if you have a number of spots, some
  people within the defined target market may be
  counted more than once, which makes ARs a
  combination of reach and frequency.

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TV PLANNING TERMINOLOGY

• IMPACT
• The relative degree of assumed awareness, or
  measured ad noting, achieved by a particular
  creative execution in any given medium.
• LSM Living Standard Measures
• A series of groupings that segment the South
  African Adult population based on living
  standards rather than any single demographic
  discriminator. Essentially a wealth measure
  ranging from LSM 1 to LSM 10.
• LOADING
• A premium added to the normal advertising rate
  to either secure a position or recognise a high
  demand period.
• COST PER THOUSAND
• The cost of reaching 1000 members of the defined
  target market.
• This is often reflected as CPM or CPT, but R/000
  is the most widely utilized notation.
• CPP
• This is the average cost of one AR/GRP.
• The investment required to buy one rating point
  (1 AR)
• Spot Rate R 12 500
• ARs 8
• CPP R1 562.50 (R12 500/ 8)

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TV PLANNING TERMINOLOGY

• GROSS RATING POINTS
• GRPs represent the duplicated reach of a
  campaign, therefore combining both the reach and
  frequency variables.
• UNIVERSE
• The number of people within the defined target
  audience.
• ADTRACK
• A survey conducted on request by Impact
  Information which tracks verified notings and
  liking scores for a television commercial. Based
  on three results, a computer model is constructed
  which allows the performance of future burst
  strategies to be determined in advance. It is not
  a measure of commercial creativity, but a
  valuable media planning tool in determining
  optimum exposure and burst frequency levels.
• ADVERTISING WEIGHT
• The amount of advertising being planned for, or
  used by a brand. While it is not limited to a
  particular measurement, it is most frequently
  stated in terms of the number of messages or
  impressions delivered or broadcasts/ insertions
  placed over a period of time.
• AMPS
• The All Media and Products Survey is conducted
  annually by Market Research Africa for SAARF. The
  survey examines the readership, listnership,
  television and cinema viewing levels, as well as
  product and service consumption usage and
  purchase habits.

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TV PLANNING TERMINOLOGY

• The relationship between ARs, Reach and Ave.
  Frequency
• ARs Reach x Ave Freq
• Reach ARs div. by Ave Freq
• Ave Freq ARs div. by Reach

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Definition of TV Viewing

• Television viewing is being in a position where
  you are able to see the screen of a television
  set which is switched on to a television station
  or video tape playback.

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How is Viewership Measured?

• SAARF AMPS Main Report and Diaries.
• SAARF TAMS.
• Methods are different therefore results do differ.

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Viewership According to AMPS

• Past Seven Day Viewership.
• Here is a list of TV services. Which of these
  services, if any, have you watched in the past
  seven days? By watching TV, we mean that you
  personally have watched all or part of a
  programme - it doesnt matter where you watched
  it.
• Yesterday Viewership.
• Now I would like you to think about yesterday.
  Which, if any, of these TV services did you
  personally watch yesterday?
• AMPS DIARIES
• At this point the respondent completes a diary
  page which breaks down a 24 hour period in 15
  minute segments.
• This data then provides the basis for the average
  quarter hour viewership.
• Despite the fact that the information is not
  published, the collection of TV viewing data is
  still collected via the diary method in parallel
  to TAMS.

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Station Coverage of Total Population
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SAARF TAMS

• In 1990 SAARF introduced a peoplemeter device
  into the WCI market. This device is also known as
  an AMPS Meter.
• By 1993 the panel of peoplemeter households had
  been extended to include urban black households.
• Diaries ceased to provide the basic day-by-day
  planning data used by agencies.

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Why Meters?

• The SAARF technical report lists a number of key
  benefits
• Reports available more frequently. Weekly reports
  contain daily details, with information being
  available on individual events, programme
  episodes, commercial breaks or even actual spots
  broadcast.
• More detailed information can be provided, which
  is linked to extensive information about
  households and individuals within the panel.
• Given that there is good co-operation from panel
  members, data should be more reliable and
  accurate than the diary method.

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What is a Peoplemeter?

• Simply put, the peoplemeter is a microcomputer
  that continuously records the following data in a
  sampled household
• The status of the TV set/s, M-Net decoders and
  VCRs in the home.
• The channel and programme being watched.
• Who in the household is watching.
• The time and duration of viewership.
• Viewers in the measured household log in by means
  of a remote control.
• Visitors in the home are also measured, however
  not taken into account in the calculation of
  reach and frequency data.

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In The Interest of Long-Term Patterns

• The panelists are not forcibly rotated.
• However, approximately 10 change every year
• Move residential address
• Become tired of pushing buttons
• Removal of panelists who co-operation levels
  prove consistently poor

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What Does it Measure?

• Measures specific TV audiences, by demographic
  and provides planners with second-by-second data.
  It is not limited to quarter hours like the old
  diaries.
• Consequently, it can measure audiences of
• Programmes
• Breaks
• Spots
• Campaigns
• Makes post-broadcast campaign analysis possible.

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How is the Data Collected?

• Data is transferred by telephone to central
  collection point, where data is analysed and
  collated.
• In non-telephone homes data is transferred to
  nearby telephone home by two way radio signals.

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Current Situation

• The number of metered homes will be increased to
  1200 by April 2001, which should address the
  current under-representation of black households.
• Now there are some 1330 meters able to report. In
  the latest week 1250 reported.
• Currently two kinds of meters are used, the Mark
  1 and Mark 2. The former can only be used in
  households with electricity and a telephone,
  serviced by an automatic exchange. The latter
  also requires electricity but has the ability to
  relay information from a non-telephone household
  to a base meter that is in-turn connected to a
  telephone.
• The new Euro-Meter has been introduced into the
  market, and has the ability to measure the
  viewership of satellite TV.

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Are Meters Infallible?
The real problem lies not with the data
generation, so much as with the management of the
data and the use thereof namely sampling error!
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AMPS Ratings

• Never before in the field of media planning, has
  something so small confused so many!!

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Audience Measure

• Audience (AMPS) Rating.
• This is in essence a measure of how many people
  you reach on TV when you advertise.
• On a simple level, 1 AR represents 1 of the
  target market.
• AR ? Time Viewed x 100
• ? Available Time 1

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Calculating an AR

• AR 60 minutes x 100
• 120 minutes
• AR 50 ARs

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Difference Between ARs and GRPs
An AMPS Rating is the proportion of viewers,
averaged across a time period i.e. single
commercial, ad break, quarter hour or programme,
and then reflected as a percentage of the total
number of individual panel members in the
relevant group, for example, Men Age 25-49.
A GRP is simply the product of reach and
frequency.
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An Example

• Let us assume that we have a sample of four
  viewers and each of them watches a variable
  amount of a 15 minute TV programme.
• What is the difference between calculating
  viewership on Diaries and Meters?

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Based on the Diary

• Considers all viewers to the 15 minute segment to
  be full viewers, regardless of the actual amount
  of time spent viewing.

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Based on the Meters

• Weights viewers in proportion to the actual
  amount of time spent viewing, producing a reduced
  overall viewership or reach of 50.

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How Does Buying Lots of ARs Work?
Spot 1 8 ARs

• If we buy one TV spot of 8 ARs we will speak to
  approximately 8 of our target market.
• In other words, 8 of the target market will see
  the ad once.
• The circle on the right represents one TV advert.

8 ARs
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Buying a Further Spot of 10 ARs
Spot 1 8 ARs

• Total ARs will be 18. (Spot 1 at 8 ARs plus
  Spot 2 at 10 ARs)
• This will reach 8 of our target market ONCE. (3
  from Spot 1 plus 5 from Spot 2)
• And it will reach 5 of our target market
  TWICE.(5 overlap from Spot 1 and Spot 2)
• In total we will reach 13 of our target market.
  (8 once and 5 twice)

Spot 2 10 ARs
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Buying a Third and Final Spot of 7 ARs

• Total ARs will be 25. (Spot 1 at 8 ARs plus
  Spot 2 at 10 ARs plus Spot 3 at 7 ARs)
• 5 of the market will see the ad once. (2 Spot
  1, 2 Spot 2 and 1 Spot 3)
• 7 will see the ad twice, and 2 will see the ad
  three times.
• A total of 14 of our market will be exposed to
  the ad. (5 once, 7 twice and 2 three times)

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Terminology
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TV Planning Terminology

• ARs (Audience / AMPS Ratings)
• The standard measurement for TV viewing. On a
  simple level, 1 AR represents approximately 1 of
  the TV target market
• Reach or Coverage
• The percentage of viewers within the target
  market who potentially saw the ad at least once
  i.e. one or more times.
• Average Frequency
• The AVERAGE number of times the target market is
  potentially exposed to the commercial

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Reach

• Using the previous example
• A total of 14 of our market will be exposed to
  the ad regardless of how many times.
• 5 saw it once, 7 saw it twice and 2 saw it
  three times.

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Average Frequency

• From the previous diagram it is apparent that in
  this example 14 of the target market saw the
  commercial.
• The next question is how many times on average
  did they see it?
• Some saw it once (5), some saw it twice (7) and
  some saw it three times (2).
• To calculate frequency the simple formula is
• Number of ARs Reach x Frequency

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So Lets Work it Out
The average of how many times people see your ad
is what we call the average frequency!

• So in this example
• 25 ARs 14 Reach x Frequency
• Therefore Frequency is 1.8
• So, even though some people see the ad once, some
  twice and some three times, on average people
  will see the ad 1.8 times.

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Relationship Between Reach and Frequency

• As we saw in the previous example, any TV
  campaign consisting of a number of ARs, is made
  up of a mix of reach and frequency.
• For the same number of ARs you may have a
  different breakdown

For a campaign of 100 ARs 100 ARs 50 Reach
x 2 Frequency or 100 ARs 75 Reach x 1.25
Frequency
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What Does This Mean?

• TV advertising using higher reach means that more
  people in your target market will see the ad, but
  fewer times.
• TV advertising using higher frequency means that
  less people in your market will exposed to the
  ad, but more times.
• This concept has major implications for the TV
  strategies that you use. This will be discussed
  in more detail next time!

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A Simple Guide
Ratings

• The Calculation Model
• If an AR is the product of reach times frequency,
  then
• Reach ARs / Frequency
• Frequency ARs / Reach

Frequency
Reach
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Cost Per Point

• The investment required to buy one rating point
  (1 AR)
• Spot Rate R 12 500
• ARs 8
• CPP R12 500 / 8 ARs R 1 562.50
• For every rating bought you pay R1 562.50

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How to use CPP

• Indicates cost effectiveness of a programme
  against a specific market, it cannot replace all
  other variables.
• Programme content and environment.
• Reach and frequency contribution of the
  programme.
• Programmes might demand a premium - good quality
  and consistent audiences.

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Using CPPs

• When planning and buying TV spots, CPPs help us
  to establish how cost effective a TV programme is

Dont always look at capital cost!!
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Calculating TV Budgets

• A TV budget is calculated by multiplying the
  number of ARs that you want to achieve for the
  campaign, by the cost to buy one AR i.e. the cost
  per point.
• Rating Objective x CPP Budget
• 300 (AR Target) x R 2 500 (CPP Target) R 750
  000 Budget
• 180 (AR Target) x R 4 000 (CPP Target) R 720
  000 Budget

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CPP and Media Inflation

• The All Adult CPP for a 30 commercial in the
  peak time period i.e. between 18h00 and 22h00 can
  vary from
• R2,400 in January
• R4,700 in November

A 100 Variance!!
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TV Planning Tools

• The Programmes we utilise to plan TV are provided
  by TELMAR, an international company that develops
  and markets media planning software.
• The data is supplied on a weekly basis from the
  SAARF Peoplemeter panels (AMPS meter weekly
  reports).
• These tools enable us to
• Develop TV plans against Reach and Frequency
  objectives
• Do post campaign evaluations
• Do Channel Programme Analyses

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This is a typical slide (with bold title)

• And this is what the text looks like. It can
  either build point by point as it does here, or
  you can adjust the animation to suit your
  specific requirements (difficult to fuck up too
  much).
• You can do bullet points...
• We prefer them simple in style, like this.
• Or, as with any of this, adjust as you see fit.
• All very simple really, the rest I am sure you
  can figure out for yourself.