Background And Methods
• Research co-sponsored by TVB and Borrell Associates
• Surveys conducted between Nov. 2010 and July 2011
• Fielded more than 1,000 completed interviews
• Respondents solicited from stations’ current, past and potential client base
• Email respondent lists were compiled by participating stations
• Sample includes only businesses who actively pursue or have considered
pursuing some type of paid advertising and marketing
• Typical response rates were between 10% and 20%, with a 66% completion rate
• Respondents were offered the incentive of winning an iPad
Further information and details available at www.borrellassociates.com
or by emailing gharmon@borrellassociates.com.
Source: © Borrell Associates, Inc. SMB Survey TVB, Q1-Q2 2011
Top 5 Take-Aways
For TV Clients & Prospects
1. High-growth may be imminent in digital budgets
2. Advertisers are under tremendous sales pressure
3. Website, social networks & email top online mktg. efforts
4. Social and mobile are key growth areas
5. Consultative sales approach hold big opportunity
Source: © Borrell Associates, Inc. SMB Survey TVB, Q1-Q2 2011
Significant Variation In Total Buys
Selected Verticals – Mean Respondents Media Bought
5.2
ALL DATA
7.2
Entertainment
6.6
Travel/ Tourism
7.1
Banks & Credit Unions
6.3
Auto Sales
5.1
5.1
Real Estate Sales/Rent
Auto Services
4.3
4.7
4.7
4.5
4.0
Insurance
Health Care
Retail
Restuarants
Fitness
3.2
Other Finance
-
1.0
2.0
3.0
4.0
5.0
6.0
Q 1. To begin, in how many different media outlets do you currently advertise?
Respondents = 6,177
Source: © Borrell Associates, Inc. SMB Survey TVB, Q1-Q2 2011
7.0
8.0
MEDIA BUY PATTERNS BY SAMPLE BASE
TV Sample
Print Sample
77%
Local Daily, Weekly, etc. Newspapers
61%
Online/Digital
68%
Online/Digital
Other Locally Distributed Print Pubs
48%
Radio
Direct Mail
47%
Local Daily, Weekly, etc. Newspapers
43%
Directories (Yellow Pages, etc.)
Cable TV
20%
Broadcast TV
18%
Telemarketing
5%
Cinema Ads
4%
Other (please specify)
None of the above
51%
49%
47%
Other Locally Distributed Print Pubs
45%
Directories (Yellow Pages, etc.)
44%
Outdoor and Out of Home
9%
Cinema
Telemarketing
7%
Other (please specify)
8%
10%
3%
None of the above
0%
60%
Cable TV
22%
Outdoor and Out of Home
67%
Direct Mail
38%
Radio
70%
Broadcast TV
20%
40%
60%
1%
80% 100%
0%
20%
40%
60%
80%
5
Source: © Borrell Associates, Inc. SMB Survey TVB, Q1-Q2 2011
Strong Expectations for Online/Digital Spending
2010 to 2011 Ad Spending Change
Grow
70%
62%
60%
43%
41%
40%
Stay the Same
47%
50%
37%
33%
31%
30%
36%
34%
31%
25%
24%
21%
20%
10%
20%
14%
12%
8%
8%
2%
12%
10%
13%
4%
0%
Q4. Compared to 2010, do you think your spending will grow, stay the same, or shrink in the following categories in 2011?
TVB Q2 Respondents = 656
Source: © Borrell Associates, Inc. SMB Survey TVB, Q1-Q2 2011
12%
Growth Expectations Dramatically Higher For
Online/Digital Spend (Q1/Q2-11)
Grow
Stay the same
Shrink
Will Not Buy
Diff:
Grow/:Shrink
TV Data
TV Data
TV Data
TV Data
TV Data
Online/Digital
Broadcast TV
Cable TV
Radio
Direct Mail
Outdoor and Out of Home
60%
25%
3%
8%
57%
31%
46%
10%
9%
21%
26%
38%
8%
20%
18%
22%
44%
16%
11%
6%
21%
38%
13%
20%
9%
14%
37%
10%
29%
4%
Local Daily, etc,/Newspapers
Other Locally Distributed Print
Publication
12%
36%
32%
16%
-20%
8%
45%
19%
22%
-11%
Cinema
8%
14%
3%
62%
5%
Telemarketing
4%
18%
2%
63%
3%
Directories (Yellow Pages, etc.)
Other
3%
33%
32%
28%
-29%
14%
20%
2%
36%
11%
Media Type
Q 4. Thinking of your total advertising budget, as compared with 2010 do you think your
spending will grow, stay the same, or shrink in the following categories in 2011:
Max TVB Respondents = 585
Source: © Borrell Associates, Inc. SMB Survey TV B Q1-Q2 2011
Local Online Media By Wave
All Data
Response
Percent
Local Online Media
Print Q4 2010 Print Q1 2011
Shift
ALL TV
TV - Broadcast station Web site
8%
8%
9%
1%
50%
Internet sites (Non-major media)
40%
35%
42%
6%
41%
Radio station Web site
13%
12%
14%
2%
27%
Local daily newspaper Web site
32%
29%
33%
5%
27%
Yellow Pages (YP.com) Web site
18%
17%
19%
1%
21%
TV - Cable TV Web site
7%
5%
8%
3%
21%
16%
14%
17%
3%
15%
11%
8%
12%
4%
11%
13%
10%
15%
6%
10%
Will not place any banner or online display ads or listings
with LOCAL AREA MEDIA
28%
36%
24%
-11%
17%
Other (please specify)
7%
5%
8%
3%
9%
8261
3002
5259
Local Business Directory online listings
City or lifestyle magazine Web site
Local weekly/non-daily community newspaper Web site
answered question
Q 6. In which of the following local area online media do you expect to advertise in
2011 through paid banner, sponsorships, or other display or listing advertising?
PRINT Respondents = 8,261/ TVB Respondents = 691
Source: © Borrell Associates, Inc. SMB Survey TVB, Q1-Q2 2011
691
ONLINE MARKETING BY MEDIA SOURCE
(Q2 DATA ONLY)
Print
TV
Digital "Deal of the Day" programs like Groupon
87%
64%
44%
27%
24%
24%
22%
22%
20%
19%
19%
13%
90%
72%
53%
35%
31%
38%
33%
25%
23%
38%
35%
15%
Craigslist offerings of current inventory
“Virtual coupons” for mobile devices
Other online listings as classifieds
Postings on local/national sites like Yelp
Geo-, behavioral, or other Targeted Display
Ebay offerings of current inventory
None of the above
Other (please specify)
12%
10%
10%
10%
9%
5%
5%
1%
13%
14%
9%
13%
25%
7%
3%
2%
Maintain a Web site
Use Social Networks .. to promote your business /services
Email marketing/promotion
Place ads directly with Facebook
Write a blog focused on your business or services
Online Video
Mobile device advertising
Online coupons
Sell goods over the Internet
Banner/ROS/Display
Paid Search/Keywords (AdWords)
TV : Print
Difference
3%
8%
9%
8%
7%
14%
11%
4%
3%
19%
16%
2%
1%
5%
-1%
4%
16%
2%
-2%
0%
9
Mobile & Social Gain Interest
Changes in Online Advertising Spending for 2011
50%
47%
45%
41%
38%
40%
35%
29%
30%
25%
34%
31%
28%
27%
21%
18%
20%
13%
15%
10%
Increase
7%
6%
Stay the Same
Decrease
5%
0%
Q 26. Thinking about your company's investments in ONLINE advertising and marketing, what
changes do you expect in your spending for 2011? TVB Q2 Respondents = 410
Source: © Borrell Associates, Inc. SMB Survey Cox TV Q2 2011
Importance of Factors in Deciding Where and
How to Purchase Online Ads
Importance of Deciding Where and How to Purchase Online Ads
70%
59%
61%
60%
59%
57%
60%
51%
50%
46%
40%
Very important
31%
Somewhat important
30%
Not very important
Not at all important
20%
10%
0%
Metrics
delivered
CPM/Price
Audience
delivered at
site/network
Availability of
Ad tracking data
behavioral, geo-,
or other
targeting
Contextual
display
Expected ROI
Delivery of a
new audience
Q 23. How important are the following factors in deciding where and how to purchase online advertising:
TVB Q2 Respondents = 365
Source: © Borrell Associates, Inc. SMB Survey TVB, Q1-Q2 2011
Clients Are Under Tremendous Sales Pressure
Newspaper
Sales approaches
per month
TVB
Newspaper
25 30
Sales pitches
taken per month
TVB
7 11
Spoken with
None
3%
1 to 4
39%
5 to 9
22%
10 to 14
15%
15 to 19
6%
20 to 24
4%
25 to 29
2%
30 to 49
3%
50 or more
6%
Don't know /Not sure
2%
0%
10%
20%
30%
40%
50%
Q7. In an average month, how many total attempts do you think are made to speak with or reach you about any advertising opportunity of any sort? TVB Respondents = 662
Q8. In an average month, with how many advertising sales people do you speak, in person or on the phone, among these in-coming efforts? TVB Respondents = 678
Source: © Borrell Associates, Inc. SMB Survey TVB Q2 2011
Info Sources Used to Find Out About New Ad &
Marketing Opportunities
Types of Information Used to Find out About New Ad/Marketing Opportunities
73%
80%
70%
58%
60%
46%
50%
40%
30%
30%
40%
34%
33%
23%
20%
22%
30%
28%
22%
9%
26%
10%
10%
0%
Q 9. Which of these types of information sources do you use to find out about new advertising and marketing opportunities?
TVB Q2 Respondents = 488
Source: © Borrell Associates, Inc. SMB Survey TVB, Q1-Q2 2011
4%
6%
How Do Most New Customers Hear About You
70%
61%
60%
60%
48%
50%
30%
20%
37%
34%
40%
25%
46%
31%
20%
20%
15%
26%
24%
11%
13%
14%
10%
0%
Q 30. Which of the following sources best provide you with new customers? That is, how do people most often hear about
your services and products who have not shopped with you or visited your business before?
[Select all that apply.] TV Respondents = 427
Source: © Borrell Associates, Inc. SMB Survey TVB, Q1-Q2 2011
8%
The Opportunity Exists for Reps to “Act as Agency”
All TV
Confidence as Agency
All PRINT
Confidence as Agency
Very confident
Very confident
19%
Somewhat confident
47%
Not very confident
Somewhat confident
Not at all confident
5%
Not at all confident
No TV Rep
5%
No TV Rep
14%
5%
2%
Don't know
9%
0%
46%
Not very confident
15%
Don't know
25%
50%
9%
0%
Q 10. How confident would you be in advice your TV representative might be able to offer on opportunities to place
advertising in other media, including online, as part of a package that TV rep was selling to you?
Print N Q2 = 1,326/TVB Respondents = 665
Source: © Borrell Associates, Inc. SMB Survey TVB First Half Q1 – Q2 2011
50%
More “Listening” Could Be Done
ALL TV
Listening Efforts as Consultants
Q2 Print
Listening Efforts as Consultants
52%
Some effort
2%
No effort at all
5%
Don’t know
0%
20%
54%
Some effort
15%
Not very much effort
19%
Not very much effort
28%
A great deal of effort
22%
A great deal of effort
40%
60%
No effort at all
2%
Don’t know
2%
0%
20%
Q 11. In general, how much effort do you think advertising sales people put into listening to you and
understanding your particular business needs?
Print Q2 N = 1,322 / TVB Q2 Respondents = 483
Source: © Borrell Associates, Inc. SMB Survey Cox TV Q2 2011
40%
60%
Social Network Adoption
Selected Verticals – Have SN Site or Page
ALL DATA
Entertainment
Travel/ Tourism
Recreation
Auto Sales
Restuarants
Retail / ALL
Real Estate Sales/Rent
Health Care / ALL
Insurance
Banks & Credit Unions
Auto Services/Other
Finance/Other
64%
83%
74%
75%
73%
76%
65%
62%
50%
51%
43%
43%
26%
0%
10%
20%
30%
40%
50%
Does your company maintain a Social Network site or page?
PRINT Respondents = 4,979
Source: © Borrell Associates, Inc. SMB Survey Print Surveys Q1 2011
60%
70%
80%
90%
Mobile Advances Rapidly Following on the
Social Network Growth
Has your company been pitched by an advertiser to conduct mobile based
campaigns?
Don't
know
6%
33%
No
61%
Yes
But relatively few — overall, one in five—
have acted, as yet…
Have you conducted any advertising or marketing campaigns
using mobile in the past year
74%
23%
Yes
3%
No
Don't know
Q 18. Has your company been pitched by any advertisers to conduct mobile-based advertising or marketing campaigns or
campaigns with mobile elements in the past 12 months? TVB Q2 Respondents = 471
Q 20.Have you conducted any advertising or marketing campaigns using mobile platforms in the past 12 months?
TVB Q2 Respondents = 468
Source: © Borrell Associates, Inc. SMB Survey TVB Q2 2011
Inaction May Be Caused By Concerns About
Using Mobile Effectively
TV Sample
Familiarity with Mobile Options
Q 2 Print Sample
Familiarity with Mobile Options
Somewhat
familiar
27%
26%
Not very familiar
34%
31%
Not very familiar
22%
4%
Don't know
5%
0%
Somewhat
familiar
Not at all familiar
21%
Not at all familiar
Don't know
10%
Very familiar
12%
Very familiar
10%
20%
30%
0%
10%
20%
30%
Q 19. How familiar are you with the alternatives available in how you might advertise or market your business using mobile
devices (Smartphones, iPads, etc.)?
Print Q2 N = 1,287 / TVB Respondents = 470
Source: © Borrell Associates, Inc. SMB Survey Cox TV Q2 2011
40%
Action Is Likely To Take Place Sooner Rather
Than Later
TV ALL
Likelihood of Mobile Usage
Q2 Print
Likelihood of Mobile Usage
Very likely
Very likely
13%
Somewhat likely
Somewhat likely
25%
Not very likely
32%
Not at all likely
19%
Don't know
12%
0%
19%
5% 10% 15% 20% 25% 30% 35%
28%
Not very likely
30%
Not at all likely
19%
Don't know
9%
0%
5% 10% 15% 20% 25% 30% 35%
How likely is it that you will incorporate mobile elements in your advertising and marketing efforts to
reach potential customers in 2011?
Q 2 Print N = 1,286 / TVB Respondents = 468
Source: © Borrell Associates, Inc. SMB Survey Cox TV Q2 2011
20
Type of Business
Business Type
65,9%
70%
60%
50%
40%
30%
15,4%
9,6%
20%
9,1%
10%
0%
Independent
Source: © Borrell Associates, Inc. SMB Survey TVB, Q1-Q2 2011
Franchise
Larger Corp
Question # 38
Other
QUESTIONS?
Contact:
Greg Harmon
Senior Research Analyst
Borrell Associates, Inc
gharmon@borrellassociates.com
415-566-4348
Source: © Borrell Associates, Inc. SMB Survey TVB, Q1-Q2 2011
THANK YOU!
info@borrellassociates.com
1-757-221-6641
www.borrellassociates.com