Analysis of Advertising Media 12

Media Vs. Vehicles Media Vehicles 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 2

Traditional Major Advertising Media Out-of-home advertising Newspaper Magazines 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 3

Which Media Do It Best? Media Comparison Consider: Advertiser’s objectives Creative needs Competitive challenge Budget availability 4

Out-of-Home (Outdoor) Advertising $1.46 Billion, or 2% Regarded as supplementary e.g., billboard(major), bus shelters, giant inflatables, shopping-mall displays, etc 5

Billboard Advertising Example of a poster panel 6

Billboard Advertising Cigarettes and Liquor: *Legal exclusion from broadcast *Reminder close to point of purchase (POP) 7

Magazine Advertising $12.8 billion or 36% Hundreds of special - interest magazines 8

Magazine’s 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 9

Television Advertising $37.8 billion or 38% Nearly 98% of all households have televisions Uniquely personal and demonstrative yet expensive 10

Television Network Market product nationally Major networks(ABC, CBS, Fox, NBC) Expensive but can be a cost efficient means to reach mass audience Spot Syndicated Cable Local 11

Television Network Advertising is placed only in selected markets Spot Regional-oriented marketing and geodemographic segmentation of consumer markets Spot Syndicated Cable Local 12

Television Network Syndicated programming occurs when an independent company markets a TV show to as many network-affiliated or cable TV stations as possible Spot Syndicated Cable Local 13

Television Network Local advertisers are turning to television Spot inexpensive during the fringe time Spot Syndicated Cable Local 14

Television Network 70% of households with television sets Spot Narrow areas of viewing interest Cable subscribers are more economically upscale and younger Spot Syndicated Cable Local 15

Cable TV (vs. Network TV) Relatively low cost Ability to pinpoint ads to homogeneous audiences Growing audience Growing credibility Subscriber demogs (younger, more affluent, higher educ) Less clutter Complicated media buys (diverse programming, fragmented audiences) Impact vs. network? Less established, credible vs. network 16

Interactive Media Interactive display on a shopping cart 17

Key aspects of Internet users 35 million U.S. households were on line as of 1999 and 57 million by 2002 24 million non-U.S. households in 1999 The average age of Web users in U.S. is 35 Women represents 42% of the on-line population Internet users are economically upscale 18

Advertising Interactive Media United Airlines Leo Burnett Company, Inc.