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Individual report on mindshare media

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Forecasting in entrepreneurship

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Individual report on mindshare media

  2. 2. 1Forecasting in Entrepreneurship Contents Company Profile ............................................................ 2 Advertisement Consumption in Media .......................... 3 Characterization of Advertising Trends ......................... 4 Company Comprehensive Income Statement................ 5 GDP Growth of Asia Pacifi Region…………………………………6 Company consolidated profit details…………………………….7 Examine the Forecasting Model……………………………………8 Results & Conclusion…………………………………………………….9
  3. 3. 2Forecasting in Entrepreneurship Company Profile WPP is the world leader in Advertising and marketing communications established in 1986 and the company is leading in: Advertising Media Investment Management Data Investment Management, Public Relations & Public Affairs; Branding & Identity, Healthcare Communications, Direct, Digital, Promotion & Relationship Marketing GroupM is the leading global media investment management operation serving as the parent company to WPP media agencies each global operations in their own right with leading market positions. GroupM’s primary purpose is to maximize performance of WPP’s media agencies by operating as leader and collaborator in trading, content creation, sports, digital, finance, proprietary tool development and other business-critical capabilities. Mindshare is one of the WPP is allied company which has $ 1,01,000 billion turnover on an average through out the world having operations in Asia Pacific, EMEA, Latin America, North America. Mindshare has been the pioneer in providing various marketing solutions to their clients to make the brand big with diversified innovation in the market. ASIA PACIFIC REGION The Asia Pacific region was launched in 1997 Speed propagation and innovation is the DNA of the Company. The media company’s core strength is always staying ahead of competitive environment by creating new ideas in the evolving trend of adverting industry. The company is well versed in providing media planning, media buying, operations and ROI analysis to their clients. As advertising company Mindshare offers services for their clients in the following media platforms. Television, Radio (FM), Newspaper & Magazine, OOH (Out of Home) Outdoor, Public Relations Website & Digital, Mobile Advertising. Research Wire & Plastic Product .
  4. 4. 3Forecasting in Entrepreneurship Advertisement Consumption in Media The primary purpose of this research to analyse the advertising trend of the Mindshare Media as advertisement agency used different media vehicle over a period of time. Data analysis of various segment of media and graphical representation of the data is figured out in detail. NEWSPAPER SPACE CONSUMPTION FOR ADVERTISEMENT The data analysed for the period of 52 weeks during the space consumption for advertisement spend in the newspapers and magazines FM RADIO diagram states that the advertisement duration consumed by advertisers’ average for the period of 5 years (5 X 4) 20 periods with the rate trends of various FM companies average A= y = 1.4133x + 754.39 R² = 0.0063 Consider A & B ; A = 754.39; B = 1.413 So Seconds = 754.39 + 1.413 X Period (1…28) Rate Per Second = Rate / Total no of Seconds Average Rate per Second = Seconds * Average Rate per second PRINT MEDIA FM RADIO DIGITAL & OOH TELEVISION OUTDOOR(OOH) y = 38143e-0.022x R² = 0.2532 0 20000 40000 60000 80000 100000 0 20 40 60 80 100 Space Consumed cm2 $0 $200 $400 $600 $800 $1 000 0 5 10 15 20 25 30 Avg Rate/Sec Rate ForOrig = Sec * (Aver of R/Sec)
  5. 5. 4Forecasting in Entrepreneurship CHARACTERIZATION OF THE ADVERTISING TREND IN DIFFERENT MEDIA TELEVISION ADVERTISEMENT Time Spend average by the clients of Mindshare for the periods between June 2016 – December 2011 on prime time. The Day average time spent for the duration of 7 & 15 days have been analyzed and represented in the diagram. DIGITAL ADVERTISEMENTS SPEND MOVING AVERAGE 2011 -2014 Advertisement Spend moving average for 3 Quarters and 5 Quarters for the above mentioned periods. =avg (y(q1Xq3) =avg(y(q1Xq5) OUTDOOR ADVERTISEMENT The diagram represents the count of hoarding and flexi boards placed across selective regions in South East Asia 0 500 1 000 1 500 2 000 01.06.200818.12.200806.07.200922.01.201010.08.201026.02.201114.09.2011 Average Seconds Spend TVC Seconds TVC 7 TVC, 15 $0 $50 $100 $150 $200 0 5 10 15 20 Moving Average Internet Advertising Three -Quarter Moving Average Five -Quarter Moving Average 0 1 2 3 4 5 6 0-100 600-700 800-900 1000-1100 1300-1400 1500-1600 1800-1900 Total Total
  6. 6. 5Forecasting in Entrepreneurship MINDSHARE ASIA PAIFIC COMPREHENSIVE INCOME STATEMENT 2010 – 2014 The above mentioned chart represents the data of the advertisement income generated by mindhsare media over the period of time between 2010-2014 by planning in different media tools. The income trend likely to be increasing on the digital and social media average due to technologial advancement of media usage by the audience BILLING NOTE VALUE(USD Billion) Television $ 26628.9 Radio $ 2215.2 Newspaper $ 4851.8 Magazine $ 3280.8 Cinema $ 3449.2 Outdoor $ 3202.6 Digital $ 5766.5 Mobile $ 5554.3 Social Media $ 5858.2 Public Relations $ 4002.5 Events $ 4060.3 Net Sales before Taxation $ 68870.3 Trade bal - $ 4927 Net Profit Comission $ 9264 Taxes & inc (-) $ 12141 Services Sales Margin $ 3757 $ 52972.3 0 200 400 600 800 1000 1200 1400 1600 1800 Income Trend 2010 2011 2012 2013 2014
  7. 7. 6Forecasting in Entrepreneurship MOBILE ADVERTISING TRENDS FOR THE FUTURE The future of media in the hands of audience indeed the mobile advertising trend has totally been showing phenomenon growth these years in fact the media planning team of mindshare worldwide has created an exclusive division to handle the mobile media advertisement campaign planning. Find below the chart explains the advertisement spend since 2008 till the present year using the Mobile media. GDP GROWTH RATE OF ASIA PACIFIC REGION GDP growth (annual %) in East Asia and Pacific was last measured at 6.83 in 2014, according to the World Bank. Annual percentage growth rate of GDP at market prices based on constant local currency.
  8. 8. 7Forecasting in Entrepreneurship MINDSHARE – ASIA PACIFIC CONSOLIDATED PROFIT STATEMENT 2007 -2014 SUMMARY Following are the list of comprehensive Profit generated through the clients media handling acitivity throughout asia pacific region YEAR PROFIT ($Billion) 2007 5743.5 2008 6051.2 2009 6273.6 2010 6389.6 2011 6683.6 2012 6878.8 2013 6909 2014 8043 5743.5 6051.2 6273.6 6389.6 6683.6 6878.8 6909 8043 2007 2008 2009 2010 2011 2012 2013 2014 INCOME TREND
  9. 9. 8Forecasting in Entrepreneurship THE EXAMINATION OF FORECASTING MODEL The linear forecasting model is derived here to discuss the future and assumption of the media consumption in the near future in Asia pacific region alone. In spite of overall development across the global media competition. Using the developed mode, forecasting of the net profit has been calculated for the next five consecutive years for the Asia Pacific region. The net profit of the Mindshare media Asia pacific region is analyzed and forecasted in the given diagram above. As proven that the forecast of the profit on the selective region is substantially to be grown by 2020. Average Profit (Avg = y1 – y7 / 8) Absolute increase value (y7 –y1 / 8-1) Mean of profit growth y7 / (y1 ^ (1-8-1)) Linear growth: Means of Absolute Increase + profit value (2007….2014) Y=abx Exponential: means of temp growth X (y1….y7) y = 267.8 x - 531788 R² = 0.8745 $0 $1 000 $2 000 $3 000 $4 000 $5 000 $6 000 $7 000 $8 000 $9 000 $10 000 2006 2008 2010 2012 2014 2016 2018 2020 Profit Forecast Net Profit Billion Linear Exponential
  10. 10. 9Forecasting in Entrepreneurship RESULTS AND CONCLUSION: Further to the summarize analysis of the date of the mindshare advertising agency on a respective region of Asia pacific which has been a billion turnover market as the size of the market is geographically wide and the trend of advertising campaign are subsequently been diverged towards technological aspects. The consumpition of advertisement behavior has been showing various results in spite of having a slow growth in GDP rate in selective countries. The trend of advertisement seems to increase due to competitive marketing strategy and change in the media trends. Future of media is digital and the social media advertising, Google ads, SEO (Search Engine Optimization), Ad words, etc are the current trending of technological advancement method. As the advanced apporach in thinking and executing Mindshare has already been operating for the digital media as a separate wing of their division. Also conducting 360 degree solution for the media plans. The company seem to grow as a separte entitiy of digital business by having mobile media advertising solutions. Finally since its a world wide known company with advanced technology with resources it can lead the future and adopt to the culture of media changing environment. REFERENCES: 1. Adex analysis 2. http://afaqs.com 3. http://www.Campaign Asia.com 4. http://www.mindshareworld.com/asia-pacifc 5. http://www.wpp.com/companies CONTACT: Johnny Ralston Soundararaj Washington M.B.A (2015-2017) 68B, Turiba Youth Hostels, Graudu Iela Riga, Latvia – 1058 Mobile: +371 26283857 Email: informjohnny@yahoo.com