Overview The World of Media US Ad Spending by Medium Today’s Media World 3 Major Ad Media Categories: Print Newspapers Magazines Out-of-Home Broadcast Radio Television Other Media Direct Mail, Yellow Pages, etc New Media Today’s Newspapers SIX TYPES OF ADVERTISING 1. Local Display Ads 2. National Ads Today’s Newspapers SIX TYPES OF ADVERTISING 1. Local Display Ads 2. National Ads 3. Legal Advertising Today’s Newspapers SIX TYPES OF ADVERTISING 1. Local Display Ads 2. National Ads 3. Legal Advertising 4. Classified Ads Today’s Newspapers SIX TYPES OF ADVERTISING 1. Local Display Ads 2. National Ads 3. Legal Advertising 4. Classified Ads 5. Pre-prints Today’s Newspapers SIX TYPES OF ADVERTISING 1. Local Display Ads 2. National Ads 3. Legal Advertising 4. Classified Ads 5. Pre-prints 6. Coupon Ads Today’s Newspapers SIX TYPES OF ADVERTISING 1. Local Display Ads 2. National Ads 3. Legal Advertising 4. Classified Ads 5. Pre-prints 6. Coupon Ads ROP (Run of Press) FSI (Free Standing Inserts) Today’s Magazines Three Types of Magazines: Consumer Today’s Magazines Three Types of Magazines: Consumer General TV Guide - Publisher 4th largest in circulation Today’s Magazines Three Types of Magazines: Consumer General Specialized AARP Bulletin #1 in circulation Today’s Magazines Three Types of Magazines: Consumer General Specialized Bride’s Condé Nast #1 in ad pages Today’s Magazines Three Types of Magazines: Consumer General Specialized Business or Trade Business Week McGraw Hill Today’s Magazines Three Types of Magazines: Consumer General Specialized Business or Trade AdWeek - BPITrade magazine Today’s Magazines Three Types of Magazines: Consumer General Specialized Business or Trade Journals & Newsletters Journal of Advertising Education scholarly journal SRDS Standard Rate & Data Service Advertising rates Discount structures Other important information Printed & Online Virtually all media CPM - Cost Per Thousand Cost efficiency Formula: cost x 1,000 / audience Example: $65,000 ad 895,000 circulation $65,000 x 1,000 / 895,000 = $72.63 Out-of-Home Outdoor consists of: Bulletins 30 sheets 8 sheets Out-of-Home Outdoor consists of: Bulletins 30 sheets 8 sheets +Transit & Kiosks Purchased monthly, based on “showings” Showing Daily impressions as a percent of total population. Example: Population = 150,000 25 Showing = 37,500 Daily Impressions 50 Showing = 75,000 Daily Impressions 100 Showing = 150,000 Daily Impressions Today’s Radio Today, radio is a local medium National Spot 16 + Network $4.6 billion 12 14 10 Bought nationally/ 8 played locally 6 Local Spot 4 2 0 $14.9 billion Sold by local stations Bought by local advertisers 2000 National Local Today’s Television Network TV A bigger, broader, more diverse audience Cable TV More select, upscale “niche” audiences TV Ratings - “Nielsens” Tracked by Nielsen Media Research GRP’s, TRP’s, etc. Today’s Television 4 Kinds of TV 6 Ways to Buy TV Network National cable Syndication Local (mostly news) National Network National Spot National Cable Local Local Spot Syndication Non-network cable Direct Mail & Yellow Pages Direct Mail is a $44 billion dollar business Direct Mail & Yellow Pages The “Yellow Pages” (directory advertising) is a $13 billion business New Media - The Internet Media Evolution in Action Just as previous media evolution changed advertising, so will this one. Changing marketers’ behavior Extending advertising involvement We can “consume” media more selectively. We can, if we want, interact and become more involved.