Transcript Chapter 11
Evaluation of Broadcast Media (TV and Radio) Fall 2011 © 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Television Advantages Creativity and Impact Coverage and Cost Effectiveness Captivity and Attention Selectivity and Flexibility © 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin http://eyeballinthewindow.wordpress.com/2009/02/03/superbowl-xliii-tv-commercial-cpm TV Commercials on Programs Such As the Super Bowl Reach Large Audiences Television Disadvantages Fleeting Message Limited Attention Zipping Cost Negative Factors Low Selectivity Clutter Zapping Negative Evaluation Distrust © 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Top 10 Network TV Advertisers Top 10 Network TV Advertisers 11-5 Digital Video Recorders Such as TiVO and Netflix are Impacting Television © 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin TV Advertising Works Best When… The budget is large enough to produce high quality commercials. The media budget is sufficient to generate and sustain the number of exposures needed. The market is large enough and easily reachable through a specific network, station, or program. There is a genuine need for a medium with high creative potential to exert a strong impact. © 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Network Versus Spot Affiliated stations are linked Network Purchase transactions are simplified Spot & Local Commercials shown on local stations May be local or “national spot” commercials © 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Trends in Advertising Spending http://online.wsj.com/article/SB10001424052748704825504574582310496271156.html Common Television Dayparts 11-10 Cable Television • Rapid growth during last 20 years – 91% of households have cable TV via wired cable or satellite • Development of superstations – Independent local stations that send their signals nationally via satellite – Sports, movies, and reruns of network shows – Carries national advertising 11-11 Advertising on Cable Television Advantages 1. National, regional, and local available 2. Highly selective “narrowcasting” 3. Low cost Limitations 1. Overshadowed by major networks 2. Audience fragmentation 3. Lacks penetration in major markets 4. Flexibility 11-12 Measuring TV Audiences Television Households Audience Measures Program Rating Share of Audience Households Using TV © 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin TV Audience Measures Program Rating Rating = HH tuned to show Total U.S. HH Share of Audience Share = HH tuned to show U.S. HH using TV © 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin http://tvbythenumbers.com/2010/10/26/tv-ratings-broadcast-top-25-brett-favre-modern-family-two-anda-half-men-ncis-dwts-the-big-bang-theory-top-week-5-viewing/69680 Accessed: November 1, 2010 - JLS http://popwatch.ew.com/2010/10/18/american-idol-glee-and-football-top-the-listof-most-expensive-broadcast-tv-shows-for-advertising/ Sweeps Periods Are Used To Measure TV Audiences © 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Radio Differs from TV Is more limited communication Offers only an audio message Costs much less to produce Has less status and prestige Costs much less to purchase © 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Advantages and Limitations of Radio Advantages Disadvantages Cost and Efficiency Creative Limitations Selectivity Audience Fragmentation Flexibility Chaotic Buying Mental Imagery Limited Research Data Integrated Marketing Limited Listener Attention Clutter © 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Buying Radio Time Three national networks Network Radio Over 100 regional/area networks A multitude of syndicated programs About 20% of all spots Allows great flexibility, targeting National Spot Purchase transaction can be difficult Local Radio Nearly 80% of advertisers are local Local CATV is becoming competitive © 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Radio Time Classifications 11-23 Audience Information Person estimates Share RADAR Arbitron Network audience measures © 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Rating New Digital Technologies are Impacting Radio © 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin