8-1 Copyright © 2009 Pearson Education Canada CHAPTER 8 Print Media: Newspapers and Magazines

8-2 Copyright © 2009 Pearson Education Canada Learning Objectives  Identify the classifications of newspapers and magazines available to Canadian advertisers  Explain the advantages and disadvantages of newspapers and magazines as advertising media  Assess the considerations and procedures involved in buying newspaper and magazine space Continued…

8-3 Copyright © 2009 Pearson Education Canada Learning Objectives (cont.)  Understand the basic terminology used in newspaper and magazine advertising  Assess the influence of technology on the print media

8-4 Copyright © 2009 Pearson Education Canada Newspapers in Canada  134 daily newspapers with an average daily circulation (number of issues sold) of 6.4 million copies.  1100 community newspapers (generally smaller-circulation) published once a week and directed at a local audience.  Newspapers rank second to TV in Canada, controlling 15% of the net advertising revenues.  Demographic profile of community newspaper closely matches that of the entire population.

8-5 Copyright © 2009 Pearson Education Canada Newspaper Formats  Canadian newspapers are published in two formats:  Tabloids - Sold flat with only a vertical centerfold (e.g., Toronto Sun, Vancouver Province)  Broadsheets - Larger and folded horizontally once (e.g., Globe and Mail, Vancouver Sun)

8-6 Copyright © 2009 Pearson Education Canada Newspaper Readership NADbank Inc. (industry sponsored measurement organization) updates data annually by conducting a detailed survey among Canadian adults.  Newspaper reach 51% of Canadian adults, and increases marginally on weekends  Readership increases as person’s level of income and education increases  Migration to online editions of newspaper

8-7 Copyright © 2009 Pearson Education Canada Types of Newspaper Advertising  Two broad forms of newspaper advertising are:  Display  Includes general/national advertising and retail advertising  Classified advertising  Another form of newspaper advertising is:  Pre-printed Inserts (retail flyer advertising)  Editorial content is arranged around the advertising

8-8 Copyright © 2009 Pearson Education Canada  Geographic selectivity  Coverage and Reach  Engagement  Flexibility  Creative & Merchandising Considerations  Editorial Support  Suitability for Small Advertisers  Short lifespan  Lack of target - market orientation  Clutter  Poor reproduction quality  High cost Advantages Disadvantages Advantages & Disadvantages of Newspaper Advertising

8-9 Copyright © 2009 Pearson Education Canada Each column inch of depth in a newspaper contains 14 agate lines.  If an ad is 4 columns wide by 10 inches deep, the number of lines in the ad would be: 4 x 10 x 14 = 560 agate lines.  If the ad ran 10 times, the total number of lines would be: 560 x 10 = 5,600 agate lines  Total agate lines are multiplied by the line rate. Buying Newspaper Space: Agate Lines

8-10 Copyright © 2009 Pearson Education Canada Modular Agate Lines (MAL):  An ad is expressed in terms of units of width and depth. Each unit contains 30 agate lines.  If an ad is 2 columns wide and 5 units deep, the calculation of total MAL is: 2 x 5 x 30 = 300 MAL  If this ad were to run say 10 times, the total number of lines would be: 300 MAL X 10 = 3000  The number of lines is then multiplied by the line rate. Buying Newspaper Space: Modular Agate Lines

8-11 Copyright © 2009 Pearson Education Canada Rate Schedules Line rates are the advertising rates charged by newspapers for one agate line or one modular agate line.  Rates charged by line go down as the volume of the lineage increase over a specific period  Costs for additional colour and preferred position are quoted separately  Line rates vary depending on the section of the newspaper

8-12 Copyright © 2009 Pearson Education Canada Position Charges  more costly, targeted to particular readers  Otherwise, newspaper places the ad at their discretion called ROP (run of press, run of paper) Colour Charges  more costly, but stronger impact Continued… Additional Newspaper Advertising Charges

8-13 Copyright © 2009 Pearson Education Canada Additional Newspaper Advertising Charges (cont.) Multiple-Page Charges  Reduced line rates apply based on number of pages purchased Preprinted Inserts  Costs are usually quoted on a CPM basis, with rates increasing as pages are added Split Runs  Uses full circulation of the publication but has different material appearing in two or more regions.

8-14 Copyright © 2009 Pearson Education Canada Insertion Orders  Specifies pertinent details including:  Size of the ad  Dates of insertion  Use of colour  Position requests  Line rate to be charged  Closing dates  Cancellation dates  To verify that an ad actually ran, one receives a tear sheet (to show how it actually appeared in the newspaper)  Should there be any problems, one can request a make good, a rerun of the ad at no cost to the advertiser

8-15 Copyright © 2009 Pearson Education Canada Cost and circulation are used to determine efficiency.  A comparison is made on the basis of what it costs to reach 1,000 people. CPM =Unit Cost of Ad Circulation (in thousands) Comparing Newspaper for Efficiency

8-16 Copyright © 2009 Pearson Education Canada Magazines are classified in many ways: 1.Content and Audience Reached  Consumer magazines  Business magazines (horizontal and vertical publications) 2.Circulation Base (Distribution)  Paid circulation  Controlled circulation Continued… Magazines in Canada

8-17 Copyright © 2009 Pearson Education Canada 3.Frequency of Publication and Regional Editions  Weekly and Monthly  National, regional and city 4.Size and Format  Digest-size  Standard-size  Large-size Magazines in Canada (cont.)

8-18 Copyright © 2009 Pearson Education Canada Magazine Circulation and Readership Highlights  It is possible that a magazine with lower circulation has more readers per copy (average number of people who read a single issue), resulting in a higher readership level.

8-19 Copyright © 2009 Pearson Education Canada  Target-Market Selectivity  Geographic Flexibility  Lifespan  Engagement  Quality of Reproduction  Creative Considerations  Pass-Along Readership  Lead Time  Clutter  Cost  Frequency Advantages Disadvantages Advantages & Disadvantages of Magazine Advertising

8-20 Copyright © 2009 Pearson Education Canada Primary Readers  A reader who lives (works) at the location where the magazine is received. Passalong Readers  Someone who reads the publication but does not live (work) where publication is received.  Primary + Passalong = Total Readership Magazine Readership

8-21 Copyright © 2009 Pearson Education Canada  Bleeds  Gatefolds  Preferred Positions  Inserts and Reply Cards  Split Runs Advertising Features Offered By Magazines

8-22 Copyright © 2009 Pearson Education Canada Ad costs are determined by multiplying cost (size) by frequency (number of insertions).  If the cost of a 1 page, 4-colour ad was $ and the ad ran 8 times, the total cost would be: $ x 8 = $  Additional discounts may apply. Buying Magazine Space

8-23 Copyright © 2009 Pearson Education Canada Magazine Discounts Number of lines, times, etc. Length of time All pages purchased by a multi-product advertiser Frequency Continuity Corporate

8-24 Copyright © 2009 Pearson Education Canada Colour and position charges are quoted separately on the rate card. Colour and Position Charges  more costly for the inclusion of colour  more costly for a guaranteed position Additional Magazine Advertising Charges

8-25 Copyright © 2009 Pearson Education Canada Comparing Magazines Homemaker’s Chatelaine Canadian Living 1pg, 4-colour rate $46 505$35 500$ Circulation CPM $79.34$68.40$45.35 Source: Canadian Media Director’s Council Media Digest, p. 526 Continued…

8-26 Copyright © 2009 Pearson Education Canada Comparing Magazines (cont.) Homemaker’s Chatelaine Canadian Living Chatelaine Canadian Living Homemaker’s  Visit each of the above sites; compare and contrast their focus, features, and apparent targets.

8-27 Copyright © 2009 Pearson Education Canada Technology & Print Media The print media are launching websites to get their message out.  For magazine advertisers, there is a new opportunity to reach the same target but in a different way.  For interested advertisers, most websites sell  Banner ads  Sponsorships Some expansion to specialty television