1. Audience concepts
CHAPTER 5
Media Planning & Buying in the 21st Century

2. Agenda
WHAT IS AUDIENCE?
MULTI-MEDIA AUDIENCE CONCEPTS
BROADCAST AUDIENCES
PRINT AUDIENCES
AUDIENCE MEASUREMENT
Media Planning & Buying in the 21st Century

3. What is Audience?
 Audience is the number of pairs of eyeballs or ears




that is exposed to a media vehicle: broadcast,
print, or digital
Audience may be exposed to vehicle for seconds,
minutes, or hours
Audience may be paying attention or not
Audience may or may not be exposed to any
advertising in the media vehicle
Audience may or may not be involved with the
content of the media vehicle.
Media Planning & Buying in the 21st Century

4. Audience = People Exposed to Media
Media Planning & Buying in the 21st Century

5. Audience = Key Criterion for Media Selection
Media Selection Criteria
Cost
Audience
Impact
Media Planning & Buying in the 21st Century

6. How Media Generate Audiences
Coverage
Circulation
Vehicle Audience
Advertising
Audience
Media Planning & Buying in the 21st Century

7. Coverage
 “Coverage” is potential audience, not actual audience
 The definition of coverage varies by medium:

In broadcast media, coverage is the geographic area covered by
the station’s signals or distribution; coverage has nothing to do with
whether anyone is watching or listening in the coverage area

For newspapers, coverage is the number of copies distributed by
the newspaper in a defined geographic, divided by the number of
households in that area

For magazines, coverage is the percentage of a demographic group
in the average issue audience of the magazine.
Media Planning & Buying in the 21st Century

8. Circulation
Print Media
 Number of copies printed/distributed by print media


Paid or free
Audited or unaudited
Outdoor
 In outdoor, traffic passing by a location (# vehicles/foot
traffic)

Circulation is necessary to generate an audience, but is not itself real
audience

9. Vehicle Audience
 Vehicle audience is a measure of the number of people (ideally
in target group) which is exposed to a media vehicle, however
briefly or intently
 In television (as measured by a Nielsen meter hooked up to
the TV), vehicle audience is the number of sets tuned in
during the average minute
 In magazines, vehicle audience is the number of people who
claim to have picked up and looked into an issue of a
magazine
 In newspapers, the number of people who claim they read the
newspaper
 In outdoor, an estimate of exposure based on circulation and
research projections (Eyes On)
Media Planning & Buying in the 21st Century

10. Advertising Audience
 Advertising audience is the number of persons (total or by
demographic group) who were in the average vehicle
audience and were exposed to the ad or commercial
 There are many reasons why advertising audience is always
lower than vehicle audience. TV viewers may channel surf,
leave the room, or look at a magazine when a commercial
comes on. A magazine reader may spend only five minutes
looking through a 150 page magazine
Media Planning & Buying in the 21st Century

11. Gross Impressions
 Gross Impressions are the total number of potential
eye ball contacts with one or more media vehicles
carrying an ad(s)
 Impressions are a gross measure of total exposure
because they include duplicated audience
 Impressions represent a count of the number of
exposures or contacts with media vehicles, regardless
of the number of times the individuals were exposed to
the vehicles


10 individuals exposed once = 10 impressions
1 individual exposed 10 times = 10 impressions
Media Planning & Buying in the 21st Century

12. Reach & Frequency
 Purpose
 Media planners and clients usually want to know whether a
campaign has had a good opportunity to be seen– by enough
different people and often enough to have an impact
 Reach
 Reach is the net percentage of the target universe reached one
or more times by a media schedule.
 Frequency
 Frequency is the average number of times those persons are
“reached” by media vehicles in media schedule
Media Planning & Buying in the 21st Century

13. Net Reach
Net Reach = Vehicle A + Vehicle B – Duplication (C)
Media Vehicle A
C = Duplicated
Audience
Media Vehicle B
Target
Universe
Media Planning & Buying in the 21st Century

14. What’s the Reach & Frequency?
# Homes
GRPS
Universe
1000
Program A
200
20
Program B
300
30
Program C
100
10
GRPS
60
Reach
Frequency
40%
1.5

15. Reach & Frequency
 GRPS = Reach x Frequency
 Frequency = GRPS/Reach
 Reach = GRPS/Frequency
Media Planning & Buying in the 21st Century

16. Reach & Frequency Example
Media Planning & Buying in the 21st Century

17. GRPS = Reach x Frequency
TRPS = Reach x Frequency
Media Planning & Buying in the 21st Century

18. Broadcast Audience Concepts
 Rating
-
Average Rating (AA) - % of universe (HH,
people) in defined area viewing/listening to TV
program/station during an average time
 Super Bowl: 44 average HH rating, 34.0 A25-54 rating
 Radio: 1.5 A18-34 Average Quarter Hour rating
-
Total Audience Rating (TA) – cumulative % who
watched some of the program


Super Bowl: 60+ TA rating
Radio station: A18-34 cume rating during 6-10 AM
drive period = 7.7

19. Broadcast Ratings
 Average Audience Rating (AA)
 The percentage of a universe tuned, viewing or listening to a
station or program during an average time.
 If 10 million of 100 million households are tuned to Media 101
on the Smart Channel, the program’s rating would be 10.
10,000,000/100,000,000 = 10 %
 Total Audience Rating (TA)
 The percentage of a program’s audience which is tuned for five
minutes or more
 This explains why the Super Bowl may have a 44 average
audience rating and a 60 total audience rating
Media Planning & Buying in the 21st Century

20. Ratings
HHI
< $30M
$30-40M
Super Bowl Audience
(40 rating)
$41-50M
Over $50M
Media Planning & Buying in the 21st Century

21. Share of Audience
 Share of audience is each viewing/listening alternative’s
share of the total available viewing or listening audience at
a given time.
 Unlike Ratings, which are based on the total
viewing/listening universe, share measures how the
viewing or listening pie is divided up among the various
options
 Network/station people have to try to figure out why their
share is bad or what could be done to improve it


Run program on different day/time
Run program against vulnerable competition
Media Planning & Buying in the 21st Century

22. Share of Audience
Share by Program
10%
10%
30%
Media Planning & Buying in the 21st Century
As the
Universe
Turns
60%

23. Share of Audience
 Share


Share of available viewing/listening audience (HUTS/PUTS) tuned to a
particular program at a particular time:
Example:
Rating
Share
A
5.0
28.6
B
10.0
57.1
C
2.5
14.3
17.5%
100.0%
Total

24. HUTS & PUTS
HHI
< $30M
$30-40M
9PM Saturday
March Dates
$41-50M
Over $50M
Media Planning & Buying in the 21st Century

25. Gross Rating Points (GRPS)
 Gross Rating Points (GRPS) = Sum of Ratings

The universe for GRPS is households with television sets (99%)

If you purchased 10 spots with an average household rating of
5, GRPS = 50 (10 spots x 5 rating)

Of the five media vehicles, some people may see a vehicle once,
twice, three times or more.

So, like gross impressions, gross rating points include
duplicated audience.
Media Planning & Buying in the 21st Century

26. Rating = HUTS/PUTS x Share
 Example: HUTS at 9 PM on Friday night average 55% (of TV
households)
 You are trying to decide whether to buy into a new show, Student
Scene, which you believe, given the weak competition, should get
at least a 10% share of audience
 The question is, how much commercial audience would Student
Scene likely generate for the money spent?
 If HUTS are 55% and the estimated share is 10%, the projected
rating would be 5.5 in your geographic area.
 If there are 100,000 households in your area and 5.5% watch
Student Scene, it would reach, on average, 5,500 households
Media Planning & Buying in the 21st Century

27. Target Rating Points (TRPS)
 TRPS = Sum of Target Audience Ratings
 The population universe is based on target audience
definition, e.g.,
Demographics: men, women, adults 18-24,
 Product Users, e.g., Ford owners,
 Generational: Boomers
 Or other



TRPS are the preferred measure (people buy stuff, not
households)
Must calculate target rating for each media vehicle
 The math is the same:
 If you purchased 10 spots with an average target rating of
4, GRPS = 40 (10 spots x 4 rating)
Media Planning & Buying in the 21st Century

28. GRPS vs. TRPS
Program A
Program B
Program C
Total
HH
Rating
10.0
11.0
10.0
31.0
Media Planning & Buying in the 21st Century
Target
Rating
7.0
6.6
12.0
25.6
Index
70
60
120
83

29. Frequency Distribution
 Beware of Average Frequency
 Some people are reached with more than the average
frequency, while others are reached with below
average frequency
Reach
Avg. Frequency
TRPS
90%
10.0
900
10
35.0
350
20
15.0
300
30
6.0
180
20
3.0
60
10
1.0
10
Media Planning & Buying in the 21st Century

30. Print Audiences
 Average Issue Audience
 Average issue audience is a measure of the number of people who are
estimated to be in the audience of the average issue of a publication
 Primary Audience
 Purchasers of a publication and their families
 Have been found to read more of the publication
 Pass-Along Audience
 Audience generated from exposure in public places, other people’s
homes, etc.
 These readers are exposed to a smaller percentage of pages, spend less
time
 Total Audience
 The sum of primary and pass-along audience
 Unfortunately, most planners use this measure to compare magazines
Media Planning & Buying in the 21st Century

31. Generating Print Audiences
Publication A
Circulation
Readers per Copy
Total Audience
Publication B
1,000,000
2,500,000
15.0
4.0
15,000,000
10,000,000
If cost was not a consideration, which of these publications
would provide the greatest communication value? Why?
Media Planning & Buying in the 21st Century

32. Out of Home Audiences
 Historically estimated by traffic counts and surveys
defining the number and demographics of passengers
who pass by different outdoor locations
 Had no credibility with media professionals who
questioned the validity of the audience measures which
justified paying very low prices
 Media people have been concerned about whether the
outdoor audience actually saw outdoor boards
 Today, the outdoor industry has launched a new
measurement methodology (Eyes On) which on the basis
of perceptual research and modeling, attempts to project
advertising exposure to each outdoor board
Media Planning & Buying in the 21st Century

33. Audience Measurement
 Apples & Oranges
Number Who Picked Up/Looked into
“Average Issue” of Magazine
vs.
Number of TV Sets Tuned
During the Average Minute

34. Audience Research Sources
Media Type
National Marketing & Multi Media
Measures
Users, Profiles
Source
MRI & SMRB
Network & Cable Television
Audience
Nielsen Media Research
Spot Television
Audience
Nielsen Media Research
Network & Spot Radio
Audience
Arbitron
Magazines
Audience
Mediamark (MRI)
Experian-Simmons
Newspapers
Audience
Scarborough
Outdoor
Circulation
TAB/”Eyes On”
Internet
Page Exposure
Nielsen, comScore, others
Marketing
Audience
Scarborough, Media Audit
Local – Multi Media

35. Nielsen People Meter for Local Markets
Media Planning & Buying in the 21st Century

36. How Are Audiences Measured?
Television Programs
HH tuned during average minute/
electronically measured, plus diaries
Radio Stations/Dayparts
Station/day/time listening recorded
in diary
Magazines
Readership recall (survey)
Outdoor
Circulation – government traffic
counts
Internet
Nielsen Net Ratings: combines Nielsen
panel data with site metrics. Provides
Audience demographics, reach &
frequency, etc. available for other
media

37. Unmeasured Audiences
 For many media, audience measurements simply are
not available. These media are too new, too small, or
too specialized to fund audience measurement.
 To make decisions about these media, planners and
buyers must attempt to project audiences based on
data that might be applicable about similar media
and any information that is available about the
unmeasured medium.
Media Planning & Buying in the 21st Century