Transcript Integrated Marketing Communications 8e.

INTEGRATED MARKETING
COMMUNICATIONS
IN ADVERTISING AND PROMOTION
CHAPTER 12
Traditional Advertising
Media
© 2010 South-Western, a part of Cengage Learning
All rights reserved.
PowerPoint Presentation by Charlie Cook
The University of West Alabama
Eighth Edition
Chapter Objectives
After reading this chapter you should be able to:
1. Describe the four major traditional advertising media
(newspapers, magazines, radio, and television).
2. Discuss newspaper advertising and its strengths and
limitations.
3. Evaluate magazine advertising and its strengths and
limitations.
4. Describe radio advertising and its strengths and limitations.
5. Discuss television advertising and its strengths and
limitations.
6. Appreciate the research methods that are used for each ad
medium to determine the size of the audience exposed to
advertising vehicles.
© 2010 South-Western, a part of Cengage Learning. All rights reserved.
12–2
Major Mass Advertising Media
• Spending in mass advertising media in the
United States totaled approximately $190 billion
in a recent year.
• Spending percentages by media type:
Newspapers
31%
Television
42%
Radio
11%
© 2010 South-Western, a part of Cengage Learning. All rights reserved.
Magazines
16%
12–3
Which Advertising Medium Is “Best”?
Factors in the Choice
of Best Advertising
Media
Advertiser’s
Objectives
Creative
Needs
© 2010 South-Western, a part of Cengage Learning. All rights reserved.
Competitive
Challenge
Available
Budget
12–4
Newspapers
• Readership:
 53 million U.S. households during week and nearly 55
million on Sundays.
 Historically leading medium but in constant decline
• Buying Newspaper Space
 Standardized Advertising Unit (SAU) system






1 column: 21/16 inches
2 columns: 41/4 inches
3 columns: 67/16 inches
4 columns: 85/8 inches
5 columns: 1013/16 inches 6 columns: 13 inches
Space depth: 1 inch to 21 inches
Space rates apply to ROP (run of press)
Premium rates for preferred space positioning
© 2010 South-Western, a part of Cengage Learning. All rights reserved.
12–5
Table 12.1
Newspaper Advertising’s Strengths and Limitations
© 2010 South-Western, a part of Cengage Learning. All rights reserved.
12–6
Magazines
• Special Interest Magazines
 Consumer-oriented
 Business-oriented
• Standard Rate and Data Service (SRDS Media
Solutions)
 Tracks information on standardized ad rates, contact
information, reader profiles, and other information,
which facilitates media planning and buying.
© 2010 South-Western, a part of Cengage Learning. All rights reserved.
12–7
Magazines (cont’d)
• Buying Magazine Space
 Selecting magazines that reach the target market
 Sources for cost
considerations

Media Kits
– Demographic composition
of magazine’s readership
– Rate cards

CPM (Cost-per-thousand)
Information
– Mediamark Research, Inc. (MRI)
– Simmons Market Research Bureau (SMRB)
© 2010 South-Western, a part of Cengage Learning. All rights reserved.
12–8
Figure 12.1
Golf Digest’s
Demographic
Profile
© 2010 South-Western, a part of Cengage Learning. All rights reserved.
12–9
Figure 12.2
Partial Rate Card for Sports Illustrated
(Rate base = 3,150,000)
© 2010 South-Western, a part of Cengage Learning. All rights reserved.
12–10
Table 12.2
Magazine Advertising’s Strengths and Limitations
© 2010 South-Western, a part of Cengage Learning. All rights reserved.
12–11
Magazines (cont’d)
• Magazine Audience Measurement
 Magazine subscriptions and the number of people
who read a magazine are not equivalent:

Variety of intermediaries collecting subscription makes it
difficult to obtain an accurate count of subscribers

Single copy purchases and publicly available copies thwart
identification of readers

Subscribers who share magazines with others
 Simmons and MRI Reports

Specialists in measuring magazine readership and
determining audience size.

Each uses different research methods
© 2010 South-Western, a part of Cengage Learning. All rights reserved.
12–12
Table 12.3
Illustration of
a MRI Report
for Imported
Beer/Ale
(Based on
all adults
indicating
whether they
have drunk
imported
beer/ale
within the last
six months)
© 2010 South-Western, a part of Cengage Learning. All rights reserved.
12–13
Magazines (cont’d)
• Selecting the Magazine
 The size of the potential audience that a vehicle might
reach
 The attractiveness of its coverage as revealed by the
total product purchasers exposed to that vehicle and
compared with other media
 Its cost compared with other vehicles
 Its appropriateness for the advertised brand
© 2010 South-Western, a part of Cengage Learning. All rights reserved.
12–14
Radio
• Market Coverage
 Nearly 14,000 commercial radio stations in the United
States
 Almost 100 percent of all homes have radios; most
 homes have several
 Virtually all cars have a radio
 More than 50 million radios are purchased in the
United States each year
 Radio broadcasting in the United States reaches
about 93 percent of all people age 12 or older.
© 2010 South-Western, a part of Cengage Learning. All rights reserved.
12–15
Radio (cont’d)
• Factors in Buying Radio Time
 Matching station format with target market
 Choosing a station with geographic coverage in areas
of dominant influence (ADIs)
 Day part choice

Morning drive: 5 AM to 10 AM

Midday: 10 AM to 3 PM

Afternoon drive: 3 PM to 7 PM

Evening: 7 PM to Midnight

Late night: Midnight to 7 AM
© 2010 South-Western, a part of Cengage Learning. All rights reserved.
12–16
Table 12.4
Radio Advertising’s Strengths and Limitations
© 2010 South-Western, a part of Cengage Learning. All rights reserved.
12–17
Radio (cont’d)
• Radio Audience Measurement Firms
 Arbitron

Is the major company involved with measuring listenership
and audience demographics.

Owns RADAR (Radio’s All Dimension Audience Research)

Uses a paper-based diary approach to measure listener
behavior and is introducing pager-like meters (Portable
People Meters) to its data collection process
© 2010 South-Western, a part of Cengage Learning. All rights reserved.
12–18
Television
• Television
 Is in over 98% of all households have televisions
 Is a uniquely personal and demonstrative medium
 Is expensive to produce and broadcast
• Television Programming Dayparts
 Early morning: 5 AM to 9 AM
 Daytime: 9 AM to 4 PM
 Early fringe: 4 PM to 7 PM
 Prime access: 7 PM to 8 PM
 Prime time: 8 PM to 11 PM
 Late fringe: 11 PM to 2 AM
 Overnight: 2 AM to 5 AM
© 2010 South-Western, a part of Cengage Learning. All rights reserved.
12–19
Table 12.5
Average Prime-Time Audience (in millions)
for Four Major Networks
© 2010 South-Western, a part of Cengage Learning. All rights reserved.
12–20
Types of Television Advertising
Network
Syndicated
Spot
Cable
© 2010 South-Western, a part of Cengage Learning. All rights reserved.
Local
12–21
Television Messages
Network
Advertising
Market product nationally on major networks
Expensive but is a cost-efficient means to reach mass
audience
Spot
Advertising
Advertising is placed only in selected markets
Regional-oriented marketing and geodemographic
segmentation of consumer markets
Syndicated
Programming
Occurs when an independent company markets a show to
as many network-affiliated or cable TV stations as
possible
Cable
Advertising
Uses narrowcasting to reach 85% of all households of
economically upscale and young subscribers
Local
Advertising
Local advertisers are turning to television as it is
inexpensive during the fringe time
© 2010 South-Western, a part of Cengage Learning. All rights reserved.
12–22
Table 12.6
The 10 Highest Priced TV Programs, 2007–2008
(price per 30-second commercial)
© 2010 South-Western, a part of Cengage Learning. All rights reserved.
12–23
Table 12.7
Television Advertising’s Strengths and Limitations
© 2010 South-Western, a part of Cengage Learning. All rights reserved.
12–24
Table 12.8
Top-10 Prime-Time Broadcast TV Programs
© 2010 South-Western, a part of Cengage Learning. All rights reserved.
12–25
Television Advertising (cont’d)
• Infomercials
 Were introduced in the early 1980s
 Are essentially a long commercial (28 to 30 minutes)
 Are expensive to produce
 Are an especially effective promotional tool for
moving merchandise
© 2010 South-Western, a part of Cengage Learning. All rights reserved.
12–26
Television Advertising (cont’d)
• Brand Placements in TV Programs
 Can be very effective provided brand is displayed in a
context that appropriately matches the brand’s image.
 Are the result of advertisers’ fear that TV advertising
is no longer as effective as it used to be
 Require that brand managers pay to get prominent
placement for their brands in popular programs
© 2010 South-Western, a part of Cengage Learning. All rights reserved.
12–27
Television Advertising (cont’d)
• Television Audience Measurement
 Higher rated programs command higher ad prices
 Ratings are difficult to come by accurately
• National (Network) Audience Measurement
 Nielsen’s People Meter Technology
• Local Audience Measurement
 Nielsen’s Diary Panels
 Nielsen’s Local People Meters
• Challenges
 Counting away-from-home viewers and listeners
 Audience undercounts
© 2010 South-Western, a part of Cengage Learning. All rights reserved.
12–28
Figure 12.3
Nielsen People Meter
© 2010 South-Western, a part of Cengage Learning. All rights reserved.
12–29