ADPR 3100 1nd Edition Lecture 13 Outline of Last Lecture I Radio Outline of Current Lecture II Television a Reach frequency cost b Strengths and weaknesses c Buying Current Lecture Television Beginnings Nothing can beat TV with advertising so immediate powerful and close to human response advertisers own TV programs and associate their names with popular shows stars advertisers had enormous influence on TV industry in the early ages advertisers created a blacklist and ruined lives advertisers pay the bill so they can say who can and can t work some of the most popular quiz shows were fixed b c of pressure by advertiser on production company the good looking contestants were given the answers scandal revealed and the nature of TV was changed forever networks took over from the advertisers sold it minute by minute to advertisers ushering in how advertising time is sold today so that no one advertiser could own a show and pull something Television Profile Reach TV has the potential to deliver to huge audiences o For national campaigns TV is present in more than 99 of households in the country HUGE this enables the high reach o TV is the primary advertising medium for national campaigns because of its high reach and frequency Only campaigns that can afford it Frequency pretty good can deliver high frequency to media plans Cost impression very pricy have to have money These notes represent a detailed interpretation of the professor s lecture GradeBuddy is best used as a supplement to your own notes not as a substitute Drawbacks of Television Clutter 1 4 ads many 15 sec o Some ads are as short as 15 seconds o How do you make your ad memorable Audience smaller fragmented lower income o These audiences are increasingly smaller and more fragmented in the past o They are of lower income on average compared to magazine readers audience usually of a higher income Media choice segments a particular market o Viewer avoidance you can change the channel Cost o Television is very expensive Must pay to make the ad then must also buy the advertising time slots o Ephemeral message requires higher frequency Meaning it comes and goes so you must have higher frequency to make it stick Strengths of Television High reach as a medium not per show o Each show has a fairly small audience o 99 of all households Creative flexibility o Color sound motion Delivers large national markets o Really the only medium that can deliver to huge markets Increasingly delivers national niche markets o Cable are narrowly defined garden channel golf channel Content is chosen to deliver to a particular demographic o So it is increasingly getting to smaller niche audiences High Use TV Cable in terms of how much it is used is above radio and internet and much above newspapers and magazines A TV is typically on for 8 hours of the day in a household Best Uses National campaigns addressing large markets o TV is the only way to do it o Brand message Campaign that is a branding campaign clearly deliver brand message TV can do it very effectively because of visuals and sound o Positioning Its combination of visual and sound TV can do this very well 3 different kinds of TV advertising buys need to know which one to use and when o Network buy o Spot buy o Syndication buy Categories network Want to buy time on a brand new show I go to the network ABC and ask to buy time on this brand new network show they will put your ad out on all of its member shows give them all cut of the money Give money to network and network sends ads out to all of its affiliate stations Categories Spot buy Again media planner wants to buy time on a brand new show I can be doing a campaign for a national campaign or a local campaign Buy from individual local stations shown only on those stations o I don t go to the network but rather select some specific markets then go directly to each specific station with that show and buy time because I want my ad to just appear in individual markets not national Categories Syndication buy Only difference between this and spot I don t want to buy time on new brand new shows but rather on reruns or non network programming TV actually gives media planner fair amount of flexibility in how he she schedules to buy time Ratings Audience Units Difficulty trying to define what do we mean by television watchers o TV advertising had to work this out with the networks here is what they came up with 2 kinds of audiences for television media buying o TV household A residence with at least one TV in it o HUT Household Using Television When the TV is actually on o Extrapolated to infer actual audience size if needed Rating size How many TV households are tuned to this particular show o Rating will tell me that Rating program s TV households Total TV households o This show has a rating of 8 8 of households with televisions are tuned to this show o Rating is a percentage of market Share probability Measure of comparative popularity of a show compared to others on at the same time Share is measure of head to head competition at that time Of households using TV what proportion are tuned to a specific show o Share will tell me this Share HUT watching a program x 100 Total HUT in market o This show has a share of 40 meaning 40 of households using television right now are tuned to that show Totals for single TV buy Television with exception of super bowl is bought as package spot So understand how big an audience you are generating by buying a package of spots on one show vs another show GRPS o Rating x number of spots bought on a particular show GI gross impressions o Persons x number of spots bought on a particular show o Will tell you how many impressions you are generating with that package Cost effectiveness of all buys Not just the cheapest Key measures of cost effectiveness are dollars per GRP or GI per GRP total cost of TV buys GRRs delivered by TV buys per GI total cost of TV buys GIs delivered by TV buys whichever has the lowest you do these calculations to see which is the most cost effective for you and your media planner Increasingly a niche medium emphasize how much TV is becoming a niche medium not a medium for a huge market but can develop well focused markets this is due in large part due to the rearrangement of how TV is organized in this country o 1950s 1980s 3 national broadcasting networks so just 3 choices so each show would attract pretty sizeable markets o 1980s and beyond changes to increase number of channels and shows