Marketing Communications - Chapter 12 doc

Describe the four major traditional advertising media newspapers, magazines, radio, and television.. Discuss newspaper advertising and its strengths and limitations.. Evaluate magazine

© 2010 South-Western, a part of Cengage Learning

All rights reserved

© 2010 South-Western, a part of Cengage Learning

All rights reserved PowerPoint Presentation by Charlie CookThe University of West Alabama

PowerPoint Presentation by Charlie CookThe University of West Alabama

Eighth Edition

Traditional Advertising Media

Traditional Advertising Media

CHAPTER 12

CHAPTER 12

1 Describe the four major traditional advertising media

(newspapers, magazines, radio, and television).

2 Discuss newspaper advertising and its strengths and

limitations.

3 Evaluate magazine advertising and its strengths and

limitations.

4 Describe radio advertising and its strengths and limitations.

5 Discuss television advertising and its strengths and

limitations.

6 Appreciate the research methods that are used for each ad

medium to determine the size of the audience exposed to

(newspapers, magazines, radio, and television).

limitations.

limitations.

limitations.

medium to determine the size of the audience exposed to

© 2010 South-Western, a part of Cengage Learning All rights reserved 12–3

Major Mass Advertising Media

• Spending in mass advertising media in the

United States totaled approximately $190 billion

in a recent year.

• Spending percentages by media type:

Newspapers 31%

Magazines 16%

Radio 11%

Television 42%

Which Advertising Medium Is “Best”?

Advertiser’s

Objectives

Creative Needs

Competitive Challenge

Available Budget

Factors in the Choice

of Best Advertising

Media

© 2010 South-Western, a part of Cengage Learning All rights reserved 12–5

Newspapers

• Readership:

 53 million U.S households during week and nearly 55 million on Sundays.

 Historically leading medium but in constant decline

• Buying Newspaper Space

 Standardized Advertising Unit (SAU) system

 1 column: 2 1 / 16 inches 2 columns: 4 1 / 4 inches

 3 columns: 6 7 / 16 inches 4 columns: 8 5 / 8 inches

 5 columns: 10 13 / 16 inches 6 columns: 13 inches

 Space depth: 1 inch to 21 inches

 Space rates apply to ROP (run of press)

 Premium rates for preferred space positioning

Newspaper Advertising’s Strengths and Limitations

Table 12.1

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Magazines (cont’d)

• Buying Magazine Space

 Selecting magazines that reach the target market

 Sources for cost

© 2010 South-Western, a part of Cengage Learning All rights reserved 12–9

Golf Digest’s

Demographic

Profile

Figure 12.1

Partial Rate Card for Sports Illustrated (Rate base = 3,150,000)

Figure 12.2

© 2010 South-Western, a part of Cengage Learning All rights reserved 12–11

Magazine Advertising’s Strengths and Limitations

Table 12.2

Magazines (cont’d)

• Magazine Audience Measurement

 Magazine subscriptions and the number of people

who read a magazine are not equivalent:

 Variety of intermediaries collecting subscription makes it

difficult to obtain an accurate count of subscribers

 Single copy purchases and publicly available copies thwart identification of readers

 Subscribers who share magazines with others

 Simmons and MRI Reports

 Specialists in measuring magazine readership and

determining audience size.

 Each uses different research methods

© 2010 South-Western, a part of Cengage Learning All rights reserved 12–13

Magazines (cont’d)

• Selecting the Magazine

 The size of the potential audience that a vehicle might reach

 The attractiveness of its coverage as revealed by the total product purchasers exposed to that vehicle and compared with other media

 Its cost compared with other vehicles

 Its appropriateness for the advertised brand

© 2010 South-Western, a part of Cengage Learning All rights reserved 12–15

Radio

• Market Coverage

 Nearly 14,000 commercial radio stations in the United States

 Almost 100 percent of all homes have radios; most

 homes have several

 Virtually all cars have a radio

 More than 50 million radios are purchased in the

United States each year

 Radio broadcasting in the United States reaches

about 93 percent of all people age 12 or older.

Radio (cont’d)

• Factors in Buying Radio Time

 Matching station format with target market

 Choosing a station with geographic coverage in areas

of dominant influence (ADIs)

 Day part choice

© 2010 South-Western, a part of Cengage Learning All rights reserved 12–17

Radio Advertising’s Strengths and Limitations

Table 12.4

 Owns RADAR (Radio’s All Dimension Audience Research)

 Uses a paper-based diary approach to measure listener

behavior and is introducing pager-like meters (Portable People Meters) to its data collection process

© 2010 South-Western, a part of Cengage Learning All rights reserved 12–19

Television

Average Prime-Time Audience (in millions) for Four Major Networks

Table 12.5

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Types of Television Advertising

Spot

Network

Local Cable

Syndicated

Advertising Advertising is placed only in selected markets Regional-oriented marketing and geodemographic

segmentation of consumer markets

Syndicated

Programming

Occurs when an independent company markets a show to

as many network-affiliated or cable TV stations as possible

© 2010 South-Western, a part of Cengage Learning All rights reserved 12–23

The 10 Highest Priced TV Programs, 2007–2008 (price per 30-second commercial)

Table 12.6

Television Advertising’s Strengths and Limitations

Table 12.7

© 2010 South-Western, a part of Cengage Learning All rights reserved 12–25

Top-10 Prime-Time Broadcast TV Programs

Table 12.8

Television Advertising (cont’d)

• Infomercials

 Were introduced in the early 1980s

 Are essentially a long commercial (28 to 30 minutes)

 Are expensive to produce

 Are an especially effective promotional tool for

moving merchandise

© 2010 South-Western, a part of Cengage Learning All rights reserved 12–27

Television Advertising (cont’d)

• Brand Placements in TV Programs

 Can be very effective provided brand is displayed in a context that appropriately matches the brand’s image.

 Are the result of advertisers’ fear that TV advertising

is no longer as effective as it used to be

 Require that brand managers pay to get prominent

placement for their brands in popular programs

Television Advertising (cont’d)

• Television Audience Measurement

 Higher rated programs command higher ad prices

 Ratings are difficult to come by accurately

• National (Network) Audience Measurement

 Nielsen’s People Meter Technology

• Local Audience Measurement

 Nielsen’s Diary Panels

 Nielsen’s Local People Meters

• Challenges

 Counting away-from-home viewers and listeners

 Audience undercounts

© 2010 South-Western, a part of Cengage Learning All rights reserved 12–29

Nielsen People Meter

Figure 12.3