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 Sponsorship Spot Network Spot Network

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 AM

Television Ads

TV Advertising Works Best When… 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 Media Budget Is Sufficient to Generate and Sustain the Number of Exposures Needed. 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 Media Budget Is Sufficient to Generate and Sustain the Number of Exposures Needed. 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 TV Share = Share of Audience HH tuned to show Total HH Rating = 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 Cost Efficiency Scheduling Flexibility Geographic Coverage Reach and Frequency Target Selectivity

Radio Limitations Selective Exposure Target Audience Coverage Low Involvement Clutter Attention Amount of Processing Time Creative 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 AM

Measuring the Radio Audience Person Estimates  The estimated number of people listening. Rating  The percentage of listeners in the survey area population. 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)