The main difference between GRP and TRP is that GRP measures the overall impact of an advertising campaign across various media platforms. At the same time, TRP focuses specifically, on the desired rating or viewership goal for a specific target audience within the campaign.
GRP (Gross Rating Point) and TRP (Target Rating Point) are two commonly used metrics in media planning and buying. While they may sound similar, understanding the distinction between these metrics is essential for advertisers aiming to optimize their advertising strategies and target specific audience segments.
Key Areas Covered
1. What is GRP
– Definition, Features, Calculation
2. What is TRP
– Definition, Features, Calculation
3. Similarities Between GRP and TRP
– Outline of Common Features
4. Difference Between GRP and TRP
– Comparison of Key Differences
Key Terms
GRP, Gross Rating Point, TRP, Target Rating Point
What is GRP
Gross rating point (GRP) is a way to measure the impact of an advertising campaign, especially in traditional media like TV. It combines the number of people who see the ad (impressions) with how often they see it (frequency). It has been used since the 1950s and is commonly used in TV advertising. It’s also useful for digital and mobile marketers to compare TV and digital ads.
To calculate the Gross Rating Point (GRP), you multiply the percentage of the target audience reached by an ad (reach) by the average number of times they have seen the ad during a specific campaign (frequency).
GRP = Reach (% of population reached) × Average frequency (number of ad impressions)
Consider an example of a campaign where the average number of impressions is 4 among 1,000,000 viewers from a total addressable population of 50,000,000 people. In this scenario:
GRP = (1,000,000 / 50,000,000) x 4
= (2%) x 4
= 8
Thus, the GRP for this campaign would be 8.
When setting goals for GRPs in a media schedule, it is important to consider the desired reach within your target market and the necessary frequency to prompt action from your audience. The calculation of GRPs may vary based on the medium, and the specific GRP goals can differ across industries. Generally, it is advisable to aim for reaching 50-90% of your target market while assuming that it will take at least three exposures for viewers to act on an offer.
What is TRP
Target Rating Point (TRP) is a metric used in advertising and media planning to set the desired rating or viewership goal for a specific target audience. It represents the percentage of the target audience that the advertiser intends to reach with their advertising campaign. TRP provides a more precise measurement as it represents 1% of your specific target audience within the in-market population reached by your ad.
The effective difference between TRPs and GRPs lies in the level of specificity. While GRPs measure the total potential impressions across a broad audience, TRPs give you a more accurate estimate of the relevant impressions within your limited target group.
For instance, let’s consider a scenario where your target audience comprises only 35% of the overall market population. If your ad reaches the entire possible audience once, it will result in 100 GRPs but only 35 TRPs.
Similarities Between GRP and TRP
- Both GRP and TRP utilize similar data sources for measurement.
- TRP is a subset of GRP, focusing specifically on the target audience.
Difference Between GRP and TRP
Definition
GRP is a metric used to measure the impact of an advertising campaign by combining the percentage of the target audience reached with the average frequency of ad impressions, while TRP is a metric used to set the desired rating goal for a specific target audience in an advertising campaign.
Calculation
GRP is determined by the calculation: Reach (%) × Average frequency
TRP is determined by the calculation: (Reach ÷ In-market target audience size) × 100
Usage
TRP provides a more precise measurement for campaigns targeting specific audience segments.
Conclusion
The main difference between GRP and TRP is that GRP measures the overall impact of an advertising campaign across various media platforms, while TRP focuses specifically on the desired rating or viewership goal for a specific target audience within the campaign. Both metrics serve important purposes in advertising, but their emphasis and scope differ, allowing advertisers to evaluate different aspects of their campaigns.
Reference:
1. “Gross Rating Point – GRP.” Adjust.com
2. “Target Rating Point – TRP.” Wikipedia. Wikipedia Foundation.
Image Courtesy:
1. “Watching TV” (CC0) via Pixabay
Leave a Reply