Chapter Twelve
Traditional Advertising
Media
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
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
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
Traditional Major Advertising Media
Out-of-home advertising
Magazines
Newspaper
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
Which Media Do It Best?
Media
Comparison
Consider:
•Advertiser’s objectives
•Creative needs
•Competitive challenge
•Budget availability
Out-of-Home (Outdoor) Advertising
• $5 Billion in 2000
• Regarded as supplementary
• e.g., billboard(major), bus shelters,
giant inflatables, shopping-mall
displays, etc
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
Billboard Advertising
Poster Panels
• Alongside highway
and heavily traveled
locale
• Silk-screened or
lithographed
• Sold on a monthly
basis
Painted Bulletins
• Hand painted directly
on the billboard
• Purchased for 1-3
year period
• To achieve a
consistent and
relatively permanent
presence
Billboard Advertising
Example of a poster panel
Billboard Advertising
Example of a
painted bulletin
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
Outdoor Advertising’s
• 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
Newspapers
• 60 million households during week
and nearly 62 million on Sundays
• Historically leading advertising
medium but declining in recent years
Buying Newspaper Advertising
Standard Advertising Units
(SAU)
Six column widths
1 column=2 1/16 inches
Depth from 1” to 21
Premium charges
for
preferred space
Space rates
apply to ROP
(Run of Press)
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
Magazine Advertising
• Hundreds of special - interest
magazines
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)
Buying Magazine Space
Rolling Stone adult
demographic profile
Buying Magazine Space
Cosmopolitan
demographic profile
Buying Magazine Space
Rolling Stone 1998
General Rate Card
Rate Card for Cosmopolitan Magazine
Cosmopolitan
Rate Card
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
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
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
Index Numbers Using SMRB and/or Mediamark
% of users in segment
Index =-----------------------------------% of population in segment
Potential Errors with Indexes
Age
segment
% of
population
% of
users
Index
18-24
15.1
18.0
119
25-34
25.1
25.0
100
35-44
20.6
21.0
102
45+
39.3
36.0
91
% who purchased
in last six months.
( 30416 / 86474 )
Magazine Audience Measurement MRI (Pretzel Purchasers)
18-24 YOs who purchased
compared to total
population
who purchased.
Base:
Female
( 30.5 / 35.2 )
Total
U.S. ‘000
A
‘000
All Female
Homemakers
86474
30416
18-24
7578
2312
7.6
30.5
87
Total U.S. female
25-34
homemaker
population.
19632
7864
25.9
40.1
114
35-44
18954
8125
26.7
45-54
13220
5444
17.9
Homemakers
Number of female
of female
homemakers
55-64 who Number10669
homemakers 18-24
purchased in
65sixormonths.
older in the population.
16421
last
B%
Down
100.0
C%
D
Across Index
35.2
100
% of 18-24 YOs who
have purchased
42.9
122
in the last six month
41.2
117
( 2312 / 7578
)
Number of female
homemakers
purchasers99
3715 18-2412.2% of total34.8
who purchased in
who are 18-24.
18.0
51
2956
the last
six months.9.7( 2312 / 30416)
Radio Advertising
• Nearly 100% of home and cars have
radios
Buying Radio Advertising
• Matching station format with
target market
• Geographic coverage using ADIs
• Day part choice
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
Television Advertising
• Nearly 98% of all households have
televisions
• Uniquely personal and
demonstrative yet expensive
Television Programming Segments
8p.m.-11p.m.
(7p.m.-10p.m.)
Prime Time
Early morning news
- 4:30p.m.
Daytime
Preceding and following
prime time
Fringe Time
Television
Network
Spot
Syndicated
Cable
Local
• Market product
nationally
• Major networks (ABC,
CBS, Fox, NBC)
• Expensive but can be
a cost efficient means
to reach mass
audience
Television
Network
Spot
Syndicated
Cable
Local
• Advertising is placed
only in selected
markets
• Regional-oriented
marketing and
geodemographic
segmentation of
consumer markets
Television
Network
Spot
Syndicated
Cable
Local
Syndicated programming
occurs when an
independent company
markets a TV show to as
many network-affiliated
or cable TV stations as
possible
Television
Network
Spot
Syndicated
Cable
Local
• 80% of households
with television sets
• narrow areas of
viewing interest
• Cable subscribers are
more economically
upscale and younger
Television
Network
Spot
Syndicated
Cable
Local
• Local advertisers are
turning to television
• inexpensive during the
fringe time
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
Informercials
•
•
•
•
Introduced in the early 1980s
Long commercial (28 to 30 minutes)
The production cost is expensive
Especially effective promotional tool
for moving merchandise
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
trend
child for this
Advertisers who purchased commercial time in
“Survivor” got prime brand placement in the
program
Television Audience Measurement
Higher rated programs command higher
prices
Ratings are difficult to come by accurately
One primary rating service—Nielsen’s People
Meter and one under development—SRI’s
SMART System
Television Audience Measurement
Nielsen’s People Meter Technology
Handheld device slightly larger than a TV
remote—has 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
Television Audience Measurement
Nielsen’s People Meter Technology
Viewing information is combined with each
household’s pertinent demographic profile
Old system consisted of diary panels, but with
the implementation of the People Meter the
ratings dropped causing a controversy—
Networks claimed faults in the People Meter
resulted in erroneous ratings data
Television Audience Measurement
SRI’s SMART System
Statistical Research Inc. (SRI) develops
SMART—Systems 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
Television Audience Measurement
SRI’s SMART System
Similar to Nielsen, however it is doubtful that
SMART will become a reality
Similar to Arbitron’s, of radio-audience
measurement fame, ScanAmerica which
was discontinued due to lack of industry
support