Copyright © 2012 McGraw-Hill Companies, Inc., All right reversed McGraw-Hill/Irwin 11 Evaluation of Media: Television and Radio

The Impact of Online Video on Television 11-2

Television Advantages Selectivity and Flexibility Coverage and Cost Effectiveness Creativity and Impact Captivity and Attention 11-3

Top 10 Network TV Advertisers 11-4

Selectivity and Flexibility 11-5

Television Limitations Low Selectivity Low Selectivity Fleeting Message Fleeting Message Cost Clutter Distrust Negative Evaluation Negative Evaluation Limited Attention Limited Attention Negative Factors Negative Factors Zipping Zapping 11-6

Network versus Spot May be local or “national spot” commercials Network Spot & Local Purchase transactions are simplified Affiliated stations that are linked Commercials shown on local stations 11-7

The CW Network 11-8

Test Your Knowledge _____ are shows that are sold or distributed on a station-by-station, market-by-market basis. A) Spot broadcasts B) Televised advertorials C) Affiliate programs D) Participation programs E) Syndicated programs 11-9

Syndicated Programs Off-network syndication are “reruns” First-run syndications are also featured Advertiser- supported or bartered Sold and distributed station by station Programs sold to stations in return for air time 11-10

Top 10 Syndicated Programs 11-11

Methods of Buying Time Sponsorship 1. Advertiser assumes responsibility for the production and perhaps content 2. Sponsor has control and can capitalize on a show’s prestige Participations 1. Participating sponsors share the cost 2. May occur regularly or sporadically 3. Advertiser doesn’t do production 4. Participants lack control over content Spot Announcements 1. May be purchased by daypart or adjacency 11-12

TV Advertising Buying Decisions Considerations are the geographic markets and ability to acquire airtime. National Versus Local Spot Reach is the primary consideration but ease of purchase is important. Network Versus Spot Method of buying affects cost, commitment, and identification. Sponsor, Participate, or Spot Scheduling depends on reach and frequency requirements. Specific Daypart and Weeks 11-13

Common Television Dayparts 11-14

Cable Television Rapid growth during last 20 years 91% of households have cable TV via wired cable or satellite Development of superstations Independent local stations that send their signals nationally via satellite Sports, movies, and reruns of network shows Carries national advertising 11-15

Advertising on Cable Television Advantages 1.National, regional, and local available 2.Highly selective “narrowcasting” 3.Low cost 4.Flexibility Limitations 1.Overshadowed by major networks 2.Audience fragmentation 3.Lacks penetration in major markets 11-16

The Future of Cable Govt. regulations More channels Competition Future Challenges DBS services New technology 11-17

Test Your Knowledge The sole source of network television and local audience information is: A) Arbitron Co. B) Nielsen Media Research C) RADAR D) Smart-TV E) Burke Research 11-18

Measuring the TV Audience Total Audience Program Rating Households Using TV Share of Audience 11-19

TV Audience Measures Share of Audience Program Rating 11-20

National Audience Information 11-21

Local Audience Information NSI reports Viewing times Programs watched Audience size estimates Demographics 11-22

Sweeps Periods 11-23

Developments in Audience Measurement Commercial Ratings Data (C3) Engagement Metrics Anywhere Media Measurement (A2/M2) 11-24

Radio and TV Similarities Are time oriented media Are sold in time segments Have some network affiliates Have some independents Use the public airway Are regulated by the F.C.C. Are externally paced media Are passive, low-involvement Both Media… 11-25

Advantages of Radio Mental Imagery Flexibility Selectivity Receptivity Cost and Efficiency Integrated Marketing 11-26

Radio Gives Customers a Clearer Picture 11-27

Limitations of Radio Audience Fragmentation Limited Research Data Creative Limitations Chaotic Buying Limited Listener Attention Clutter Digital Media Competition 11-28

Buying Radio Time Over 100 regional/area networks Three national networks A multitude of syndicated programs Network Radio About 20% of all spots Allows great flexibility, targeting Purchase transaction can be difficult Spot Radio Nearly 80% of advertisers are local Local CATV is becoming competitive Local Radio 11-29

Radio Time Classifications 11-30

Test Your Knowledge Arbitron: A) Measures local radio audiences B) Measures listenership to webcasts C) Provides radio stations with monthly cume ratings D) Now owns RADAR, which is a source of national network rating numbers E) All of the above 11-31

Audience Information Person estimates Share Rating Arbitron Network audience measures RADAR 11-32