11

Broadcast Media(Television and Radio)

Chapter Objectives

• To consider the strengths and limitations of

TV and radio as advertising media.

• To explain how advertising time is purchased

for television and radio media, how audiences

are measured, and how rates are determined.

TV Basics

Figure 10-3

Buying Television Time

SponsorshipSponsorship

SpotSpot

NetworkNetwork

SpotSpot

NetworkNetwork

Network Advertising

Advantages• Affiliated stations

are linked.• Purchase is

simplified.

Disadvantages• Cost.• Time availability.

Networks in Canada

National Networks• CBC• Radio Canada• CTV

Regional Networks• CBC• CTV• Global• Global Atlantic• NewsNet• CityTV• CHTV• Sportsnet• TVA (Quebec)• Quatre Saisons (Quebec)

Spot Advertising

• Commercials shown on local TV stations.– Time is negotiated and purchased

directly from the individual stations or their national station representatives.

• Offers the national advertiser flexibility in adjusting to local market conditions.

• Prevalent in Canada – 60% of all TV ads.

Sponsorship Advertising

• Advertiser assumes responsibility for the production and usually the content of the program as well as the advertising appearing within.

• Advantages:– Firm can capitalize on the prestige of a

high-quality program.– Firm has control over number,

placement, and content of its commercials.

Common Television Dayparts

Prime Time Access

Late News

Morning

Early Fringe Late Fringe

Prime Time

Daytime

Late Night

PM

121

2

3

4

56

10

11

9

7

8

AM

121

2

3

4

56

10

11

9

7

8

Television Ads

TV Advertising Works Best When…

There’s a Genuine Need for a Medium With High Creative Potential to Exert a Strong Impact.

There’s a Genuine Need for a Medium With High Creative Potential to Exert a Strong Impact.

The Market Is Large Enough and Reachable Efficiently Through a Specific Network, Station, or Program.

The Market Is Large Enough and Reachable Efficiently Through a Specific Network, Station, or Program.

The Media Budget Is Sufficient to Generate and Sustain the Number of Exposures Needed.

The Media Budget Is Sufficient to Generate and Sustain the Number of Exposures Needed.

The Budget Is Large Enough to Produce High Quality Commercials.

The Budget Is Large Enough to Produce High Quality Commercials.

The Market Is Large Enough and Reachable Efficiently Through a Specific Network, Station, or Program.

The Market Is Large Enough and Reachable Efficiently Through a Specific Network, Station, or Program.

The Media Budget Is Sufficient to Generate and Sustain the Number of Exposures Needed.

The Media Budget Is Sufficient to Generate and Sustain the Number of Exposures Needed.

The Budget Is Large Enough to Produce High Quality Commercials.

The Budget Is Large Enough to Produce High Quality Commercials.

© 2005 McGraw-Hill Ryerson Limited

Television Ads

© 2005 McGraw-Hill Ryerson Limited

Measuring the TV Audience

• BBM Canada• Neilson Media Research• Television Bureau of Canada (TVB)

TV Audience Measures

HH tuned to show

HH using TVShare =

Share of Audience

HH tuned to show

Total HHRating =

Program Rating

Radio

• There are 941 radio stations in Canada.

– 247 AM stations

– 667 FM stations

• Reaches 93% of all Canadians each week.

• A background to many activities:

– Reading, driving, running, working, socializing.

• The average Canadian listens to the radio 3h/day or 21h/week

• Radio advertising revenue grew from $741 million in 1994 to $1.1 billion in 2001.

Radio Strengths

Creativity for Cognitive and Emotional Response

Creativity for Cognitive and Emotional Response

Cost EfficiencyCost Efficiency

Scheduling FlexibilityScheduling Flexibility

Geographic CoverageGeographic Coverage

Reach and FrequencyReach and Frequency

Target SelectivityTarget Selectivity

Radio Limitations

Selective ExposureSelective Exposure

Target Audience CoverageTarget Audience Coverage

Low InvolvementLow Involvement

ClutterClutter

AttentionAttention

Amount of Processing TimeAmount of Processing Time

Creative LimitationCreative Limitation

Buying Radio Time

• Network Radio– Relatively new option which includes

CHUM Radio Network, Team Sports Radio Network, and a few others.

• Spot Radio– National advertisers can purchase

airtime on individual stations in various markets.

Dayparts for Radio

Nighttime

Afternoon/Evening Drive Time

Morning Drive Time

Daytime All Night

PM

121

2

3

4

56

10

11

9

7

8

AM

121

2

3

4

56

10

11

9

7

8

Measuring the Radio Audience

Person Estimates The estimated number of people listening.

Person Estimates The estimated number of people listening.

Rating The percentage of listeners in the survey area population.

Rating The percentage of listeners in the survey area population.

Share The percentage of the total estimated listening audience.Share The percentage of the total estimated listening audience.

Audience Composition by Time Block

Figure 10-12

© 2005 McGraw-Hill Ryerson Limited

Measuring the Audience

CANADA– BBM

• radio diary, • TV diary, • TV People Meter, • PPM [below]

© 2005 McGraw-Hill Ryerson Limited

• Southwest Airlines

• For Eyes

Radio Ads

Quote of the day

The buying of time or space is…

the renting of a stage on which

we may perform.

• Howard Gossage

(Rubicam and Young)