Facts & Figures:
An Expanding TV Market Offers
Many Options for Your Ad  $$$

 

Cable TV is definitely taking a larger slice of the ad dollar pie, but for many advertisers, that poses a new problem.

Audiences are increasingly choosing cable channels for the improved shows and special-interest programming they offer. In total viewing share, cable overtook broadcast last year. Statistics from the advertising industry reflect this trend. The online service Media Daily News reports that the Cablevision Advertising Bureau analyzed “Adview” data to find that among the top 10 national TV advertisers, 51% of their total-day impressions now comes from cable. That compares to 41% for broadcast and 8% for syndication. Cable use has gone up 21% since 1996-97, while broadcast has gone down 16% in that same period.

And then there’s satellite. From 2000 to 2002, according to The Media Audit, satellite TV increased its penetration into 85 major markets from 9.3% to 11.3%, gaining more than 3 million new subscribers. This still represents just 5% to 20% of households depending on the market, but as Internet access via satellite becomes more accessible, it may have an impact on the success of satellite TV.

So why is this a problem for advertisers? Because the success of cable TV with its hundreds of channels along with the inroads of satellite with hundreds more are creating more choices and making advertising decisions much more complex.

If your goal is to reach a large number of viewers, then buying airtime on a network show can be your best option. If you´re looking to target a specific audience, cable may be your better investment. But how can you be sure of your goal, and how do you know which channels to buy?

As a local business owner or operator, you probably don’t have time to gather and evaluate information about all the TV advertising possibilities. You get calls and visits from media reps who offer specials and combos, but this, too, is time consuming and may make your decision even more difficult. So what should you do?

One option is to turn to an integrated marketing firm that offers media planning as one of its services. A media planner is well versed in the intricacies of television advertising, and using Nielsen and Arbitron information, can help you evaluate all the offers presented by cable, broadcast and satellite.

An integrated marketing firm is ready to ask you the questions that can help you determine who your target audience is and decide with you how to cost-effectively reach it. Many can help you develop a concept and produce your commercial. And more often than not, the firm has the resources to make your media buy and audit the spots to be sure you get what you’re paying for.

Many marketing executives find it’s worth a small fee to work with a firm that can simplify the increasing complexity of television advertising and save them time and headaches.

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