Broadcast and Interactive Online Media Chapter 10 Broadcast and Interactive Online Media

The Structure of the TV Industry Networks Wired Unwired Public Broadcasting Service Cable/Subscription Syndication Local Interactive

Network Television: Wired and Unwired A network exists whenever two or more stations are able to broadcast the same program that originates from a single sources. American Broadcasting Company (ABC) Columbia Broadcasting System (CBS) National Broadcasting Company (NBC) Fox Broadcasting Company Affiliates can be owned by the national companies or they can be independent. Unwired networks are sales representative organizations that represent large market stations on a commission basis.

Public and Cable Television PBS is an attractive medium for advertisers since it reaches affluent, educated households, minority market segments, and lower-income consumers. Commercials may be shown during the local 2.5- minute program breaks. Cable has grown because of programming options and two in three homes subscribe. Independent cable networks and a group of independent superstations provide most cable TV programming. Two categories of cable scheduling are network and local.

Local and Specialty Television Local television stations are affiliated with a network and carry both network programming and their own programs. Local market is more varied than the national market. Specialty TV tries to reach certain audiences in way that is more effective or efficient than network, cable, or local television. Licensed low-power television (LPTV).

Syndicated and Interactive Television Syndicated shows are TV or radio programs purchased by local stations to fill in open hours. Off-network syndication (which includes reruns of network shows) must have 88 episodes before it can be syndicated. “Seinfeld” First-run syndication (shows that did not meet the minimum number of episodes) move into syndication even as they continue to produce new episodes. “Rescue 911” Interactive television is one with computer capabilities. Three types: video-on-demand, pay-per-view, and bandwidth technology.

Changes in Broadcast Television Cable is Firmly Entrenched Worldwide and Is Still Growing Battle Raging Over Who Will Control Digital TV Technology Network TV’s Viewership Has Declined Television is Now a Fragmented Medium

Television Advertiser’s Media Choices (Fig. 10.3)

Forms of Television Advertising Sponsorships Advertiser assumes the total financial responsibility for producing the program and providing the commercials. Participations Advertisers pay for 15, 30, or 60 seconds of commercial time during one or more programs. Spot Announcements Appear in the breaks between programs, usually local buyers.

Measuring the TV Audience A.C. Nielson Provides the Most Commonly Used Measures of National and Local TV Audiences: Audimeter Records When The TV Set is Used & Which Station Watched Viewing Diary Provides Data On Who is Watching Shows People Meters Which TV Shows Are Being Watched, Number of Households Watching, & Which Family Members Are Viewing

Advantages of Television Reach a Large Audience in A Cost-Efficient Manner Use of Sound and Moving Images Creates a Strong Impact Medium’s Influence on Consumers’ Taste and Perceptions is Pervasive

Disadvantages of Television High Cost of Producing & Running Commercials High Level Of Commercial Clutter Television Is Nonselective Suffers From a Lack of Flexibility In Scheduling

Radio Can be Classified According to Transmission and Power. Structure of Radio AM Radio FM Radio Radio Can be Classified According to Transmission and Power. Web Radio Cable & DAB Radio

Radio Advertising Network Radio is a Group of Local Affiliates Connected to One or More National Networks Through Telephone Wire and Satellites and Has Increased in Popularity Because of: Complete Market Coverage Consolidation That Produced 4 Major Networks Increase in Syndicated Shows Emergence of Unwired Networks

The Radio Audience Radio is a Highly Fragmented Medium Station Fans 46%, Clear Preference for One or Two Stations, Listen Up to 8 Hours a Day. Radio Fans 34%, Listen to Four or Five Stations With No Preference for One Station. Radio is a Highly Fragmented Medium Music Fans 11%, Listen Exclusively for the Music Being Played. News Fans Choose Stations Based on a Need for News and Information.

Measuring the Radio Audience Measure of the number of people listening to a particular station at a given time: Station’s coverage, which is the geographic area that can pick up the station clearly. Better measure is circulation, which measures the number of homes that are actually tuned in to the particular station. Arbitron is an audience rating service. RADAR is another rating service. Birch/Scarborough-VNU conducts random phone interviews asking listening preferences.

High Levels of Acceptance Scheduling & Buying Difficulties Radio Target Audiences Flexibility Affordability Mental Imagery High Levels of Acceptance Advantages Inattentiveness Lack of Visuals Clutter Scheduling & Buying Difficulties Disadvantages Lack of Control

Interactive Media Interactive technology (media) is a new form of broadcast media. Estimate that Internet will capture 50 million users by 2000. Formats for delivering ads: Web page, Banner ad, E-mail.

Practical Tips # 1 Some Internet Buzzwords Button ads. Squarish ads that are usually at the bottom of a Web page and contain only a corporate name or brand. Click-through. How often a viewer responds to an ad by clicking on it. Cookies. Information that gets stored on a viewer’s Web browser to help identify that particular person the next time it visits a particular site. Cost per click (CPC). Ad rate charged if the surfer responds with personal information. Cost per lead/sale. Rate charged to advertisers if the viewer responds with personal information. Impressions. Total number of times an ad is displayed on a Web page.

Practical Tips # 2 Creating Effective Banner Ads Make sure to include action words, such as press, enter, or click here. Animation can increase response rate by 30 to 40 %. Avoid using nondescript colors such as beige and gray. The ad should relate to the Web site in both content and design. People want to interact with the ad, so make sure they can. Larger banner ads draw better results. Pretest all the elements of the banner ad. The life of a banner ad is very short, so keep changing it.

Broadcast and Interactive Media Strategies Advertiser Should Ask About: How Targeted The Audience Is Cost of the Medium Ability to Meet Advertising Objectives Ability to Accommodate the Style of Message