Traditional Advertising Media

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Traditional Advertising Media
Chapter Twelve
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Chapter Twelve Objectives

• Describe the five major traditional advertising
  media
• Discuss out-of-home advertising and its strengths
  and limitations
• Discuss newspaper advertising and its strengths
  and limitations

3
Chapter Twelve Objectives

• Discuss magazine advertising and its strengths
  and limitations
• Discuss radio advertising and its strengths and
  limitations
• Discuss television advertising and its strengths
  and limitations

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Media Vs. Vehicles

• Media
• The general
• communication
• methods that carry
• advertising messages
• e.g., television, magazines, newspapers, etc

Vehicles Specific broadcast programs or
print choices in which advertisements
are placed e.g., Friends, NBC Evening News, Time,
Cosmopolitan
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Traditional Major Advertising Media
Out-of-home advertising
Newspaper
Magazines
Radio
Television
Advertisers attempts to select the media and
vehicles whose characteristics are most
compatible with the advertised brand in reaching
its target audience and conveying its intended
message
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Which Media Do It Best?

• Media
• Comparison

• Consider
• Advertisers objectives
• Creative needs
• Competitive challenge
• Budget availability

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Out-of-Home (Outdoor) Advertising

• 5 Billion in 2000
• Regarded as supplementary
• e.g., billboard(major), bus shelters, giant
  inflatables, shopping-mall displays, etc

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Out-of-Home (Outdoor) Advertising

• 400,000 billboards in the US
• Designed with name recognition as the primary
  objective
• Two major forms
• (1) Poster Panels and
• (2) Painted Bulletins

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Billboard Advertising
Poster Panels
Painted Bulletins

• Alongside highway and heavily traveled locale
• Silk-screened or lithographed
• Sold on a monthly basis

• Hand painted directly on the billboard
• Purchased for 1-3 year period
• To achieve a consistent and relatively permanent
  presence

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Billboard Advertising

• Example of a poster panel

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Billboard Advertising

• Example of a
• painted bulletin

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Buying Outdoor Advertising

• Purchased through companies that own billboards,
  called plants
• Plants sell space in terms of showings
• Showings are percent exposed
• 25 25 of population exposed
• Recently, GRPs (gross rating points) are used

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Outdoor Advertisings

• Board reach and high frequency
• Geographic flexibility
• Low cost per thousand
• Prominent brand identification
• Opportune purchase reminder

• Nonselectivity
• Short exposure time
• Difficult to measure audience size
• Environmental problem

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Newspapers

• 60 million households during week and nearly 62
  million on Sundays
• Historically leading advertising medium but
  declining in recent years

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Buying Newspaper Advertising
Standard Advertising Units (SAU)
Six column widths 1 column2 1/16 inches Depth
from 1 to 21
Premium charges for preferred space
Space rates apply to ROP (Run of
Press)
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Newspaper

• Audience in right mental frame
• Mass audience coverage
• Flexibility
• Ability to use detailed copy
• Timeliness

• Clutter
• Not highly selective
• Higher rates for occasional advertisers
• Mediocre reproduction quality
• National Buying complicated
• Changing composition of readers

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Magazine Advertising

• Hundreds of special - interest magazines

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Buying Magazine Space

• Selecting magazines that reach the target market
• Cost considerations
• Media Kits
• CPM (Cost-per-thousand)
• Mediamark Research, Inc. (MRI)
• Simmons Market Research Bureau (SMRB)

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Buying Magazine Space

• Rolling Stone adult
• demographic profile

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Buying Magazine Space

• Cosmopolitan
• demographic profile

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Buying Magazine Space

• Rolling Stone 1998
• General Rate Card

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Rate Card for Cosmopolitan Magazine

• Cosmopolitan
• Rate Card

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Magazine

• Can reach large audiences
• Selectivity
• Long life
• High reproduction quality
• Detailed information possible
• Convey information with authority
• High involvement potential

• Not intrusive
• Long lead times
• Clutter
• Limited geographic options
• Circulation patterns vary by market

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Simmons Market Research Bureau and Mediamark

• Audience size and composition for 100
  publications
• Broadcast exposure and usage of over 800
  consumer products and services
• Lifestyle information
• Media usage

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Simmons Market Research Bureau

• Number of adults
• Number of users
• Percent of users in categories (i.e. female)
• Percent of category using product (i.e. of all
  females using)
• Index number
• All by heavy, medium, and light user

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Index Numbers -Using SMRB and/or Mediamark
of users in
segment Index -----------------------------------
- of population in segment
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Potential Errors with Indexes
Age segment
of population
of users
Index
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Magazine Audience Measurement -MRI (Pretzel
Purchasers)
Total U.S. 000
A 000
Base Female Homemakers
B Down
C Across
D Index
All Female Homemakers
86474 30416 100.0 35.2
100
18-24 25-34 35-44 45-54 55-64 65 or older
30.5 40.1 42.9 41.2 34.8 18.0
87 114 122 117 99 51
2312 7864 8125 5444 3715 2956
7578 19632 18954 13220 10669 16421
7.6 25.9 26.7 17.9 12.2 9.7
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Radio Advertising

• Nearly 100 of home and cars have radios

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Buying Radio Advertising

• Matching station format with target market
• Geographic coverage using ADIs
• Day part choice

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Radio

• Can reach segmented audiences
• Intimacy
• Economy
• Short lead times
• Transfer of imagery from TV
• Use of local personalities

• Clutter
• No visuals
• Audience fractionalization
• Buying difficulties

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Television Advertising

• Nearly 98 of all households have televisions
• Uniquely personal and demonstrative yet expensive

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Television Programming Segments
8p.m.-11p.m. (7p.m.-10p.m.)
Prime Time
Early morning news - 430p.m.
Daytime
Preceding and following prime time
Fringe Time
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Television
Network

• Market product nationally
• Major networks (ABC, CBS, Fox, NBC)
• Expensive but can be a cost efficient means to
  reach mass audience

Spot
Syndicated
Cable
Local
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Television
Network

• Advertising is placed only in selected markets
• Regional-oriented marketing and geodemographic
  segmentation of consumer markets

Spot
Syndicated
Cable
Local
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Television
Network

• Syndicated programming
• occurs when an
• independent company
• markets a TV show to as
• many network-affiliated
• or cable TV stations as
• possible

Spot
Syndicated
Cable
Local
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Television
Network

• 80 of households with television sets
• narrow areas of viewing interest
• Cable subscribers are more economically upscale
  and younger

Spot
Syndicated
Cable
Local
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Television
Network

• Local advertisers are turning to television
• inexpensive during the fringe time

Spot
Syndicated
Cable
Local
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Television

• Demonstration ability
• Intrusion value
• Ability to generate excitement
• One-on-one reach
• Ability to use humor
• Effective with sales force and trade
• Ability to achieve impact

• Escalating costs
• Erosion of audience
• Audience fractionalization
• Zipping and zapping
• Clutter

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Informercials

• Introduced in the early 1980s
• Long commercial (28 to 30 minutes)
• The production cost is expensive
• Especially effective promotional tool for moving
  merchandise

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Brand Placements in TV Programs

• Reason fear that TV advertising is no longer as
  effective as it used to be
• Brand managers pay to get prominent placement for
  their brands
• Survivor program is the poster child for this
  trend
• Advertisers who purchased commercial time in
  Survivor got prime brand placement in the
  program

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Television Audience Measurement

• Higher rated programs command higher prices
• Ratings are difficult to come by accurately
• One primary rating serviceNielsens People Meter
  and one under developmentSRIs SMART System

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Television Audience Measurement
Nielsens People Meter Technology

• Handheld device slightly larger than a TV
  remotehas 8 buttons for family members and two
  additional buttons for guests
• Records what programs are watched, how many
  households are watching, and which family members
  are in attendance

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Television Audience Measurement
Nielsens People Meter Technology

• Viewing information is combined with each
  households pertinent demographic profile
• Old system consisted of diary panels, but with
  the implementation of the People Meter the
  ratings dropped causing a controversyNetworks
  claimed faults in the People Meter resulted in
  erroneous ratings data

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Television Audience Measurement
SRIs SMART System

• Statistical Research Inc. (SRI) develops
  SMARTSystems for Measuring And Reporting
  Television
• Meters are attached to TV sets
• Sensors on the meters enable signals to be picked
  up from the air
• Viewers log in and out before and after watching
  TV using a control

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Television Audience Measurement
SRIs SMART System

• Similar to Nielsen, however it is doubtful that
  SMART will become a reality
• Similar to Arbitrons, of radio-audience
  measurement fame, ScanAmerica which was
  discontinued due to lack of industry support