PromotionPromotion

Advertising MediaAdvertising Media

How Many Ads to You See How Many Ads to You See Each Week?Each Week?

The average The average person is exposed person is exposed to approximately to approximately 2000 ads each 2000 ads each week. Do you see week. Do you see that many or that many or more?more?

What is advertising?What is advertising?

Advertising is any paid form of non-Advertising is any paid form of non-personal presentation and promotion personal presentation and promotion of ideas, goods or services by an of ideas, goods or services by an identified sponsor.identified sponsor.• The time or space devoted to it is paid forThe time or space devoted to it is paid for• It uses a set format to carry the message It uses a set format to carry the message

rather than personal, one-on-one sellingrather than personal, one-on-one selling• It identifies the sponsor of the messageIt identifies the sponsor of the message

How does advertising use How does advertising use a set format?a set format?

Advertisements are measured by Advertisements are measured by time or spacetime or space• A radio spot is usually 30 seconds A radio spot is usually 30 seconds

long (time)long (time)• A newspaper ad can be 1/4 page A newspaper ad can be 1/4 page

(space)(space)

The Main Purpose of The Main Purpose of AdvertisingAdvertising

To sell products or ideas by To sell products or ideas by presenting its message so well that presenting its message so well that the customer will buy the product the customer will buy the product or accept the idea presented.or accept the idea presented.

Promotional AdvertisingPromotional Advertising

Promotional advertising is advertising Promotional advertising is advertising that is designed to increase sales bythat is designed to increase sales by• creating an interest in productscreating an interest in products• introducing new products and businessesintroducing new products and businesses• explaining a productexplaining a product• supporting personal selling effortssupporting personal selling efforts• creating new marketscreating new markets

Institutional AdvertisingInstitutional Advertising

Institutional advertising attempts Institutional advertising attempts to create a favorable impression to create a favorable impression (image) and goodwill for a (image) and goodwill for a business or an organizationbusiness or an organization• Purpose is to develop a positive Purpose is to develop a positive

image by presenting information image by presenting information about a company’s role in the about a company’s role in the community, important public issues community, important public issues and topics of general interest.and topics of general interest.

MediaMedia

Media are the agencies, means or Media are the agencies, means or instruments used to convey instruments used to convey messagesmessages

Three Categories of Three Categories of Advertising MediaAdvertising Media

Print mediaPrint media Broadcast mediaBroadcast media Specialty mediaSpecialty media

Print MediaPrint Media

Print media can include any of the Print media can include any of the following:following:• NewspapersNewspapers• Direct MailDirect Mail• MagazineMagazine• Outdoor AdvertisingOutdoor Advertising• Directory AdvertisingDirectory Advertising• Transit AdvertisingTransit Advertising

Why is Newspaper Why is Newspaper Advertising Important?Advertising Important?

Approximately 55% of adults read Approximately 55% of adults read the newspaper everyday?the newspaper everyday?

Do you read the newspaper?Do you read the newspaper? Do your parents or guardians read Do your parents or guardians read

the newspaper?the newspaper?

National, State and LocalNational, State and Local

U.S.A. TodayU.S.A. Today The Wall Street JournalThe Wall Street Journal The New York TimesThe New York Times The Atlanta Journal/ConstitutionThe Atlanta Journal/Constitution

What is a shopper?What is a shopper?

Someone who likes to shop?Someone who likes to shop? A community newspaper which A community newspaper which

contains no editorial content and is contains no editorial content and is delivered free to persons who live delivered free to persons who live in certain areas (full of ads)in certain areas (full of ads)

The Thrifty NickelThe Thrifty Nickel

Advantages & Advantages & Disadvantages of Disadvantages of Newspaper AdvertisingNewspaper Advertising

Large readershipLarge readership Known circulation (easy to target)Known circulation (easy to target) Low costLow cost Timely and flexibleTimely and flexible

• Wasted circulationWasted circulation• Disposable (short lifespan)Disposable (short lifespan)• Poor quality advertisingPoor quality advertising

Magazine ClassificationsMagazine Classifications

LocalLocal RegionalRegional National weekliesNational weeklies MonthliesMonthlies QuarterliesQuarterlies

Consumer Vs. BusinessConsumer Vs. Business

Consumer magazines are read for Consumer magazines are read for personal pleasure or interestpersonal pleasure or interest• Reader’s Digest, Vogue, Sports Reader’s Digest, Vogue, Sports

IllustratedIllustrated• Business magazines appeal to people Business magazines appeal to people

with general interest in business or a with general interest in business or a particular field within businessparticular field within business– Business Week, Inc., Forbes, Marketing Business Week, Inc., Forbes, Marketing

NewsNews

Advantages & Advantages & Disadvantages of Disadvantages of Magazine AdvertisingMagazine Advertising

Easy to target your marketEasy to target your market Read slowly and thoroughlyRead slowly and thoroughly Good print qualityGood print quality Longer life span because they are Longer life span because they are

kept of an extended period of timekept of an extended period of time• Less mass appeal within a geographic Less mass appeal within a geographic

areaarea• More expensive than newspapersMore expensive than newspapers• Not timely or flexible (long lead times)Not timely or flexible (long lead times)

Direct Mail AdvertisingDirect Mail Advertising (Junk Mail) (Junk Mail)

Advertising that is sent directly to Advertising that is sent directly to prospective customers through the mailprospective customers through the mail

(More than $80 billion in goods and (More than $80 billion in goods and services sold annually through direct services sold annually through direct mail)mail)

Have you ever bought anything through Have you ever bought anything through direct mail advertising?direct mail advertising?

What do you do with it when you get it?What do you do with it when you get it?

Advantages & Advantages & Disadvantages of Direct Disadvantages of Direct Mail AdvertisingMail Advertising

Advertiser can be highly selectiveAdvertiser can be highly selective Flexible and secretiveFlexible and secretive Wide choice of formatsWide choice of formats Can use coupons or other incentivesCan use coupons or other incentives Can directly make the saleCan directly make the sale

• Low level of response (-1%)Low level of response (-1%)• High costsHigh costs• Poor image (junk mail) often not readPoor image (junk mail) often not read

Outdoor AdvertisingOutdoor Advertising

Non-standardized outdoor signs Non-standardized outdoor signs are used by local firms at their are used by local firms at their place of business or in other place of business or in other locations throughout the locations throughout the community.community.

Standardized outdoor signs are Standardized outdoor signs are available to local, regional or available to local, regional or national advertisers.national advertisers.

Three types of Three types of standardized outdoor standardized outdoor signssigns

Posters - Preprinted sheets put up like Posters - Preprinted sheets put up like wallpaper on outdoor billboards wallpaper on outdoor billboards (McDonalds)(McDonalds)

Painted bulletins - Painted billboards Painted bulletins - Painted billboards that are changed every 6 months to a that are changed every 6 months to a yearyear

Spectaculars - outdoor signs using Spectaculars - outdoor signs using lights, moving parts and are situated in lights, moving parts and are situated in high traffic areas or cities (Chick-Fil-A)high traffic areas or cities (Chick-Fil-A)

Advantages and Advantages and Disadvantages of Outdoor Disadvantages of Outdoor AdvertisingAdvertising

Highly visibleHighly visible Relatively inexpensiveRelatively inexpensive Permits easy repetition of messagePermits easy repetition of message Can be geographically tailored for Can be geographically tailored for

target markettarget market• Short message due to limited viewing Short message due to limited viewing

timetime• Unknown audienceUnknown audience• Government regulationsGovernment regulations

Directory AdvertisingDirectory Advertising

Alphabetical listing of businessesAlphabetical listing of businesses• Relatively inexpensiveRelatively inexpensive• Found in 98% of households - all Found in 98% of households - all

demographicsdemographics• Kept for at least a year - not thrown awayKept for at least a year - not thrown away• Very inflexible due to being printed yearlyVery inflexible due to being printed yearly• Wasted advertising (to non-target Wasted advertising (to non-target

market)market)

Transit AdvertisingTransit Advertising

Using public facilities to advertise - such Using public facilities to advertise - such as subways, on buses and taxis, in as subways, on buses and taxis, in stationsstations

Reaches a wide and captive audienceReaches a wide and captive audience EconomicalEconomical Defined market (usually urban)Defined market (usually urban)

• Unavailable in smaller townsUnavailable in smaller towns• Subject to defacementSubject to defacement• Restricted to certain travel destinationsRestricted to certain travel destinations

Broadcast MediaBroadcast Media

Radio - 6+ years listening to the Radio - 6+ years listening to the radioradio

Television - 10+ years watching Television - 10+ years watching television in 70 yearstelevision in 70 years

Radio AdvertisingRadio Advertising

96% of people over 12 are reached 96% of people over 12 are reached by radioby radio

Prime time is morning and Prime time is morning and afternoon drive times - advertisers afternoon drive times - advertisers guaranteed concentrated audienceguaranteed concentrated audience

Ads are available in 15, 30 or 60 Ads are available in 15, 30 or 60 second time slotssecond time slots

Advantages and Advantages and Disadvantages of Radio Disadvantages of Radio AdvertisingAdvertising

Select and Select and audience - target audience - target their markettheir market

Flexible - can Flexible - can change quickly and change quickly and easilyeasily

Mobile (can be Mobile (can be taken anywhere - taken anywhere - shopping, jogging, shopping, jogging, hiking or drivinghiking or driving

Short life spanShort life span Sometimes many Sometimes many

stations - have to stations - have to decide which to decide which to use or use them all use or use them all (more expensive)(more expensive)

Distractions - no Distractions - no visual involvementvisual involvement

Television AdvertisingTelevision Advertising

The The ultimate ultimate advertising medium advertising medium because it can communicate with because it can communicate with sound, action and colorsound, action and color

Prime time is 7 p.m. - 11 p.m.Prime time is 7 p.m. - 11 p.m. Infomercials - 30 minute Infomercials - 30 minute

commercials (The George Foreman commercials (The George Foreman Grill)Grill)

Advantages & Advantages & Disadvantages of Disadvantages of Television AdvertisingTelevision Advertising

All elements for All elements for creative messagecreative message

BelievabilityBelievability More personal & More personal &

effectiveeffective Can reach the Can reach the

masses or target masses or target specific interestsspecific interests

Adaptable to special Adaptable to special needsneeds

Expensive - the Expensive - the highest production highest production costs - too high for costs - too high for small businessessmall businesses

Audience size is Audience size is not assurednot assured

Nuisance - channel Nuisance - channel surfing - leave surfing - leave during commercialsduring commercials

Advertising in U.S. SchoolsAdvertising in U.S. Schools

Some oppose Channel One because they believe the Some oppose Channel One because they believe the station misuses valuable educational time. Others are station misuses valuable educational time. Others are offended by commercialization of the school offended by commercialization of the school environmentenvironment

Advertisers hope students will become more aware of Advertisers hope students will become more aware of and ultimately buy their products. Disadvantages and ultimately buy their products. Disadvantages include the perception that the advertisers are forcing include the perception that the advertisers are forcing students to watch TV advertising or use a particular students to watch TV advertising or use a particular productproduct

College recruiters, yearbook ads, candy sale postersCollege recruiters, yearbook ads, candy sale posters Some people may see advertising in schools as forcing Some people may see advertising in schools as forcing

products on a captive audience or may perceive products on a captive audience or may perceive businesses as taking advantage of schoolsbusinesses as taking advantage of schools

Specialty MediaSpecialty Media

Inexpensive, Inexpensive, useful items with useful items with an advertiser’s an advertiser’s name printed on name printed on them - usually them - usually given awaygiven away

Other Types of Advertising Other Types of Advertising MediaMedia

Sports Arena BillboardsSports Arena Billboards Movie theater commercialsMovie theater commercials Hot air balloons, blimps, Hot air balloons, blimps,

skywriting, bannersskywriting, banners shelf ads, shopping cart ads, shelf ads, shopping cart ads,

coupon machines, receipt adscoupon machines, receipt ads

Is there anything else we Is there anything else we are missing?are missing?

What about the What about the Internet?Internet?

What advantages What advantages and and disadvantages disadvantages might there be?might there be?

Media Rates - Services Media Rates - Services AvailableAvailable

Standard Rate and Data Service - Standard Rate and Data Service - gives rates for most major media gives rates for most major media according to broad categories (print, according to broad categories (print, broadcast)broadcast)

Audit Bureau of Circulation (ABC) - Audit Bureau of Circulation (ABC) - Print media use this to verify Print media use this to verify circulation figures because circulation figures because advertising rates are based on advertising rates are based on circulationcirculation

Classified Ads and Display Classified Ads and Display AdsAds

Classified ads can advertise Classified ads can advertise everything from services everything from services performed to houses for sale to job performed to houses for sale to job openings (costs per word used)openings (costs per word used)

Display ads are creative Display ads are creative illustrations of the product being illustrations of the product being advertised. (costs for space used)advertised. (costs for space used)

Newspaper RatesNewspaper Rates

Column Inch Rates - number of columns by Column Inch Rates - number of columns by number of inches deep multiply by the ratenumber of inches deep multiply by the rate

Run of Paper rate - The newspaper chooses Run of Paper rate - The newspaper chooses where to run the ad - you don’t choose the where to run the ad - you don’t choose the locationlocation

Open Rate - Basic charge for a minimum Open Rate - Basic charge for a minimum amount of space (non-contract rate)amount of space (non-contract rate)

Contract Rate - Discounted rates for Contract Rate - Discounted rates for guaranteed amount of advertising in a time guaranteed amount of advertising in a time periodperiod

CPMCPM

CPM is the cost per thousand rate - CPM is the cost per thousand rate - the cost of exposing 1000 readers the cost of exposing 1000 readers to an adto an ad

Cost of the ad X1000 Cost of the ad X1000 = cost per = cost per thousand (cpm) thousand (cpm) CirculationCirculation

Used to compare the rates for different Used to compare the rates for different papers with different circulationspapers with different circulations

Magazine RatesMagazine Rates

Bleed - 1/2 or full Bleed - 1/2 or full page ads are page ads are printed to the very printed to the very edge (no white edge (no white border) +15-20%border) +15-20%

Black & White - Black & White - Lowest rates - black Lowest rates - black & white ads& white ads

Color - Each color Color - Each color adds more costadds more cost

Full color - 4 colorFull color - 4 color Premium position - Premium position -

ad placement in ad placement in mag.mag.

Discounts - Discounts - frequency, frequency, commission, cashcommission, cash

CPM - Cost per CPM - Cost per thousand in thousand in circulationcirculation

The SpotThe Spot

Spot radioSpot radio refers to refers to the geographical the geographical area an advertiser area an advertiser wants to reach with wants to reach with its advertising. its advertising. Identify target Identify target market & potential market & potential customerscustomers

Spot commercials Spot commercials are advertising are advertising messages of one messages of one minute or less minute or less that can be that can be carried on carried on network or spot network or spot radio.radio.

Different radio advertising Different radio advertising optionsoptions

Network Radio advertising - a broadcast from Network Radio advertising - a broadcast from a studio to all affiliated radio stations a studio to all affiliated radio stations throughout the country (Paul Harvey)throughout the country (Paul Harvey)

National spot radio advertising - National National spot radio advertising - National firms advertise on a local station-by-station firms advertise on a local station-by-station basis. - target marketsbasis. - target markets

Local radio advertising - local businesses Local radio advertising - local businesses advertise for its target marketadvertise for its target market

Run of schedule - lets the radio station Run of schedule - lets the radio station determine when to run the advertisementdetermine when to run the advertisement

Television RatesTelevision Rates

Advertising rates vary with the time of Advertising rates vary with the time of day.day.

Prime time is the most expensive - 7-11 Prime time is the most expensive - 7-11 p.m.p.m.

Class AA time is prime time - other Class AA time is prime time - other times are Class A, B, C and D. times are Class A, B, C and D.

Advertisers need to choose the time Advertisers need to choose the time slot that receives the most viewers in slot that receives the most viewers in their target market.their target market.