Transcript Area - JICREG

Increasing market potential for
Wicliffe Rover
2 February 2004
The Motors Market
• Research carried out by the Western Daily
Press enables you to gain a clear
understanding of car buyers and their
intentions, within your catchment area
• Although the motors survey did not extend
to the whole Wicliffe catchment area, it is
possible to estimate the market size, value
and potential
The Motors Market
• What is it that defines a motor dealer’s
catchment area?
– How far people are prepared to travel to buy a car
– The research study showed that on average, people
will travel over 28 miles
• People are prepared to travel the same distance
to buy a new or used car
– Plotting this distance around Wicliffe Rover will
enable us to identify their potential customer base
Source: NOP 2001
Birmingham
Stourbridge
Distance people are
prepared to travel to
Wicliffe Rover
Llandrindod Wells
England
Coventry
Kidderminster
Ludlow
Rugby
Bromsgrove
Redditch
Droitwich
Leamington
Warwick Spa
Leominster
Bromyard
Dave
Stratford-upon-Avon
Worcester
Wales Maesmynis
Great Malvern
Hereford
Evesham
Banbury
Ledbury
Brac
y
Tewkesbury
Brecon
Chipping Norton
Ross-on-Wye
Bice
Cheltenham
Gloucester
Abergavenny
Ebbw Vale
Merthyr Tydfil
ot
Bridgend
Witney
Oxford
Stroud
Cirencester
Cwmbran
Faringdon
Chepstow
Newport
Cardiff
Abingdon
Swindon
Avonmouth
Clevedon
Bristol
Chippenham
Marlborough
Hungerford
Newbury
Bath
Weston-Super-Mare
Trowbridge
Devizes
The Motors Market
• Numbers of cars owned
– People in the Wicliffe area own 679,000 cars
– 76% were bought new and 19% were bought
second hand
• Rover is the third most popular type of car
owned in the area
Source: NOP 2001
Car ownership in the Area
5.2% of people in the UK own a Rover
28%
5.4% of people in the South West own a Rover
19%
16%
13%
8%
Ford
Vauxhall
Austin/Rover
Peugeot
Nissan
Source: NOP 2001 / TGI 2003
The Motors Market
Intention to purchase
• 26% of people in the area intend to
purchase a car in the next 12 months
• This equates to over 116,000 cars
– 62% of these will be used cars
– 15% will be new cars
– 7% will be company cars
– 16% are undecided
Source: NOP 2001
Wicliffe Rover
• Wicliffe Rover’s main media choice is
currently the Gloucester Citizen
• Overlaying the Gloucester Citizen’s
circulation area with Wicliffe Rover’s
catchment area reveals a considerable
proportion of unexploited territory
Birmingham
Stourbridge
Distance travelled to
purchase a car from
Wicliffe and the
Llandrindod Wells
Gloucester Citizen’s
coverage area
England
Coventry
Kidderminster
Ludlow
Rug
Bromsgrove
Redditch
Droitwich
Leamington
Warwick Spa
Leominster
Bromyard
D
Stratford-upon-Avon
Worcester
Wales Maesmynis
Great Malvern
Hereford
Evesham
Banbury
Ledbury
dovery
Tewkesbury
Brecon
Chipping Norton
Ross-on-Wye
Cheltenham
Gloucester
Abergavenny
Ebbw Vale
Merthyr Tydfil
Witney
Oxf
Stroud
Cirencester
th
Cwmbran
Talbot
Bridgend
Faringdon
Chepstow
Newport
Cardiff
Abingd
Swindon
Avonmouth
Clevedon
Bristol
Bath
Weston-Super-Mare
Chippenham
WDP - Severnside
Marlborough
Hungerford
Gloucester Citizen
Newbur
Wicliffe
Rover - Distance to travel
Devizes
Trowbridge
The Gloucester Citizen
• The Gloucester Citizen’s circulation area
covers 178,000 households
• This equates to 40% of Wicliffe’s
catchment area – leaving the majority of
potential customers untouched
• There is a media solution to this problem,
which could add considerable additional
turnover for Wicliffe Rover
Source: NOP 2001 / Experian 2003
Western Daily Press
• 125,270 people read the Western Daily
Press on a typical morning
– 238,000 read it regularly or occasionally
• These people live predominantly in market
towns and rural areas, where ownership of
cars is higher
• On average, Western Daily Press readers
have 15% more cars per household than
non-readers in the area
Source: NOP 2001 / JICREG Nov 2003
Western Daily Press
• 23% of Western Daily Press readers
anticipate buying a car in the next year
• Readers intend to purchase:
– 3,600 new cars
– 27,700 used cars
• They expect their average purchase price
to be £6,700 (average for new cars £11,560 and
used cars £4,480)
– that’s £4m worth of cars every week
Source: NOP 2001
Western Daily Press
• The Western Daily Press covers all or part
of 11 counties across the West Country
and is published in four regional editions
• The Severnside edition is ideal for
capturing new customers for Wicliffe
Rover
Bromsgrove
Redditch
The Western Daily
Cardigan - editions
Press area
Llandrindod Wells
Leominster
WalesMaesmynis
Leamington
Warwick Spa
Evesham
Hereford
Llandovery
Northamp
WorcesterStratford-upon-Avon
Banbury
Tewkesbury
Brecon
Ross-on-Wye Cheltenham
Gloucester
Carmarthen
Abergavenny
Merthyr Tydfil
Tenby
Llanelli
Neath
Stroud
Cirencester
Cwmbran
Swansea
Port Talbot
Bridgend
Chepstow
Newport
Cardiff
Oxford
Swindon
Bristol
Chippenham
Marlborough
Hungerford
Newbury
Devizes
Trowbridge
Basingstoke
Frome
Andover
Warminster
Bath
Weston-Super-Mare
Wells
Glastonbury
Barnstaple
Salisbury
Bideford
Taunton
Yeovil
Late City
Bude
Honiton
Somerset
Okehampton
Wiltshire
Exeter
Southampton
Blandford ForumRingwood
Bodmin
Liskeard
Fareham
Portsmouth
Dorchester
Launceston
Severnside
Tavistock
Winchester
Weymouth
Bournemouth
Poole
Western Daily Press
• The Severnside edition’s circulation area
covers 72% of Wicliffe Rover’s catchment
area
• Western Daily Press Severnside readers
intend to purchase;
– 632 new cars
– 4,969 used cars
–That’s 15 new or used cars being
purchased every day
Source: NOP 2001
Western Daily Press
Western Daily Press Severnside edition
readers intend to spend;
• over £7 million on new cars
• over £22 million on used cars
–That’s over £550,000 every week
Source: NOP 2001
Reaching New Customers
• The Western Daily Press is very effective
in reaching new potential customers within
Wicliffe Rover’s catchment area when
used in combination with – or substitution
for – the Gloucester Citizen
• The map on the next page illustrates how
the Western Daily Press dovetails with the
Gloucester Citizen to improve coverage
Birmingham
Stourbridge
England
Coventry
Kidderminster
Ludlow
Bromsgrove
Redditch
Droitwich
Llandrindod Wells
Leominster
Bromyard
How the Western
Rugby
Daily Press can
improve
coverage
Leamington
Warwick
Spa
Daven
for Wicliffe Rover
Stratford-upon-Avon
Worcester
Wales Maesmynis
Great Malvern
Hereford
Evesham
Banbury
Ledbury
Brack
Tewkesbury
Brecon
Chipping Norton
Ross-on-Wye
Bices
Cheltenham
Gloucester
Abergavenny
Ebbw Vale
Merthyr Tydfil
ridgend
Witney
Oxford
Stroud
Cirencester
Cwmbran
Faringdon
Chepstow
Abingdon
Newport
Swindon
Cardiff
Avonmouth
Clevedon
Bristol
Chippenham
WDP - Severnside
Bath
Weston-Super-Mare
Marlborough
Hungerford
Newbury
Gloucester Citizen
DevizesRover - Distance to travel
Wicliffe
Trowbridge
Adding the Western Daily Press
• Analysis of JICREG readership data
reveals that most Western Daily Press
readers do not read the Gloucester Citizen
• This means that even where the titles
cover the same area, they are serving
substantially different groups of
consumers
Adding the Western Daily Press
Base: Average Issue Readers (one advertisement)
WDP Severnside readers
Readers
28,174
Source: JICREG Nov 2003
Adding the Western Daily Press
Base: Average Issue Readers (one advertisement)
Readers
WDP Severnside readers
28,174
Gloucester Citizen readers
80,490
Source: JICREG Nov 2003
Adding the Western Daily Press
Base: Average Issue Readers (one advertisement)
Readers
WDP Severnside readers
28,174
Gloucester Citizen readers
Gross readership
80,490
108,664
Source: JICREG Nov 2003
Adding the Western Daily Press
Base: Average Issue Readers (one advertisement)
Readers
WDP Severnside readers
28,174
Gloucester Citizen readers
Gross readership
80,490
108,664
Read both
4,294
Source: JICREG Nov 2003
Adding the Western Daily Press
Base: Average Issue Readers (one advertisement)
Readers
WDP Severnside readers
28,174
Gloucester Citizen readers
Gross readership
80,490
108,664
Read both titles
New potential customers added by
the Western Daily Press
4,294
23,880
Source: JICREG Nov 2003
Advertising Schedule
Improvement
• All newspapers have the benefit that
increasing advertising frequency will also
increase the number of readers that can
be reached
• However some newspapers are more
efficient at adding new readers over time;
– The Western Daily Press is especially
effective at increasing potential customers
Gloucester Citizen Schedule
• One advertisement in the Gloucester Citizen will
reach 80,490 people
• After 52 insertions, a Gloucester Citizen advertiser
will have reached 140,764 different people
– Some will have seen all 52 advertisements
– Most will have seen at least half of all advertisements
– Some will only have seen a few advertisements
• Now let’s look and see what happens when the
Western Daily Press is added to this schedule
Source: JICREG Nov 2003
Adding the Western Daily Press
Gloucester Western Daily
Net
Citizen
Press
audience
Number of
advertisements
Number of
advertisements
52
0
140,764
Additional
potential
customers
0
Source: JICREG Nov 2003
Adding the Western Daily Press
Gloucester Western Daily
Net
Citizen
Press
audience
Additional
potential
customers
Number of
advertisements
Number of
advertisements
52
0
140,764
0
52
13
182,594
41,830
The Western Daily Press has added an extra 41,830 people
That’s 30% more potential customers for you
Source: JICREG Nov 2003
Adding the Western Daily Press
Gloucester Western Daily
Net
Citizen
Press
audience
Number of
advertisements
Number of
advertisements
52
0
140,764
Additional
potential
customers
0
Source: JICREG Nov 2003
Adding the Western Daily Press
Gloucester Western Daily
Net
Citizen
Press
audience
Additional
potential
customers
Number of
advertisements
Number of
advertisements
52
0
140,764
0
39
13
178,863
38,099
In this example the Western Daily Press has been used
in place of the Gloucester Citizen for 13
advertisements. It has resulted in over 38,000 extra
potential customers – but with the likelihood of
spending no more advertising budget
Source: JICREG Nov 2003
Adding the Western Daily Press
Gloucester Western Daily
Net
Citizen
Press
audience
Number of
advertisements
Number of
advertisements
52
0
140,764
Additional
potential
customers
0
Source: JICREG Nov 2003 / NOP 2001
Adding the Western Daily Press
Gloucester Western Daily
Net
Citizen
Press
audience
Additional
potential
customers
Number of
advertisements
Number of
advertisements
52
0
140,764
0
39
26
184,147
43,383
This example shows 13 Western Daily Press advertisements used in
substitution for the Gloucester Citizen plus an additional 13
advertisements. The number of additional potential customers has now
increased to over 43,000
This works out as an extra £26 million of
potential car purchases!
Source: JICREG Nov 2003 / NOP 2001
Summary
• Wicliffe Rover’s current media schedule is
reaching less than half of their potential car buyers
• The Severnside edition of the Western Daily Press
covers parts of Wicliffe Rover’s catchment area
that are currently being missed
• The Severnside edition can also reach additional
customers within the Gloucester Citizen’s area
that are not being exposed to your advertising
Summary
• Including the Western Daily Press – either
in addition to the Gloucester Citizen, or in
part substitution – can potentially reach
additional car buyers who will be spending
over £26 million in the next 12 months
Would you like some of this
extra turnover?
Source: JICREG Nov 2003 / NOP 2001