What Every CEO and CMO Must Know: Opportunity Markets - Bill Harvey

A brand always has certain segments where its uptake is fastest They may or may not be the core market for the brand amp8212 a brand may have several different opportunity markets of which one is the ROIdriving core target To go after that core while at the same time also extracting as much as possible from the other brandresponsive targets requires budget allocation people resource and attention to creative and media suitable for each target In some cases the creative can stay the same but the media needs to be different to go after one of the other opportunity markets other than the coreamp160Setting some default rule such as amp822010 allocation for opportunity marketsamp8221 is not a bad idea as a starter At least it gets one to think about and investigate the data related to opportunity marketsamp160The same techniques that apply to the opportunity markets for a large brand also apply to tactics useful for a small brand with a miniscule advertising budget In both cases one has to do a lot with a small budget And in both cases the key tactic is to go hyperlocal and advertise in geographies where the indicators are way above average amp8212 Category Development Index CDI Brand Development Index BDI and especially the best indicator of where incremental dollars are justified Brand Fast Growth momentumamp160Every brand has opportunity markets in this sense Those are the geographic markets where these indicators are high Today due to the existence of about 2800 cable zones in the US both TV and digital can be aimed precisely into select cable zones where CDIBDIBFG momentum indicate brand opportunity Every brand can and should do this as a Hyperlocal Opportunity Heavyup HOH Small brands with almost no ad budget should cover the US with a thin layer probably of digital and focus a TVdigital mix at these opportunity markets The bootstrap strategy would be to drive sales up to the point where the tactics proven in the opportunity markets can be rolled out everywhere maintaining higher weight in the opportunity marketsThis use of spot media thinking has actually declined over recent years for the wrong reasons Advertisers using procurement ideology to incentivize media agencies have driven most agencies to want to go as network as possible in order to be able to carry out assignments profitably with the compensation pushed down to the floor Until the new tools led by TRA are fully used to provide ROIbased bonuses to agencies the situation is not expected to change for the betteramp160Iamp8217ve recently decided to adapt my consulting practice Bill Harvey Consulting to also serve as a specialist working to supplement the agency in executing hyperlocal TVdigital buys with researchmeasurement To carry out this service Iamp8217ve been joined by Dennis Lentz recently a leader in TV research and hyperlocal crossmedia activation at AOL Dennis is now a Senior Partner at BHC please welcome him Our vision is to provide a turnkey solution to make opportunity marketing easyamp160 Charter Communications as reported earlier has also taken steps to support opportunity marketing Advertisers can match databases with Charteramp8217s subscriber base for media selection using Charteramp8217s settop box data and can read the sales results through their own purchase records at anonymized matched household levelamp160Comcast Spotlight and National Cable Communications NCC also have their own programs to support opportunity marketing Our work with them in the past has indicated that TVdigital heavyup in high CDI markets can provably lift sales and ROI TV and digital work well together as shown by largest sales lifts among those reached by the brand in both media Looking at those reached by the brand in only one of these media TV tends to bring in people who have not bought the brand recently whereas digital appears to increase repeat buyingOne vertical where cable zone opportunistic marketing has also proven itself is tunein advertising for network shows When buying tunein spots on a network one does not own the general rule is youamp8217re not allowed to specify the day and time of the promoted show This is not a restriction when buying MSO inventory in a cable zoneOpportunistic cable zones also exist for program genres which can be identified and heavyup tunein spots run in these areas have been proven to lift ratings Not only can the zones be chosen empirically but using settop box data so can the programs in which to run the tunein adsAction Takeaways Every brand has opportunity markets besides the core that deserve small budgets used geographically Small brands can bootstrap by focusing most of their small ad budgets hyperlocally at first Networks should test tunein advertising heavyups with TVdigital in high opportunity cable zones using MSO inventory that allows amp8220day date and timeamp8221 in the creative TV and digital work well together use them that way If you have your own purchase data by household why not leverage it opportunistically in the Charter 5MM homes footprint by first selecting high opportunity zones then doing match for picking shows and reading sales lifts at household levelHyperlocal TVdigital can be a highreturn tactic for all or many of your brands Bill Harvey is a wellknown media researcher and inventor who cofounded TRA Inc and is its Strategic Advisor His nonprofit Human Effectiveness Institute runs his weekly blog on consciousness optimization Bill can be contacted at billbillharveyconsultingcomRead all Billamp8217s MediaBizBloggers commentaries at In Terms of ROICheck us out on Facebook at MediaBizBloggerscomFollow our Twitter updates MediaBizBlogger The opinions and points of view expressed in this commentary are exclusively the views of the author and do not necessarily represent the views of MediaBizBloggerscom management or associated bloggers MediaBizBloggers is an open thought leadership platform and readers may share their comments and opinions in response to 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What Every CEO and CMO Must Know: Opportunity Markets - Bill Harvey

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