2. SOME TOPICS IN
We’ll cover
General Media Terminology
What’s the lingo?
How is broadcast planned?
Basics of TV, Radio and Cable
TODAY’S PRESENTATION
3.
4. WHAT IS A RATING POINT?
So, if The Voice does a 5 rating in Atlanta with Women 25-54
on one particular night, that means......?
5. ...that 5 % of all women 25-54 in Atlanta
are watching The Voice on that night.
6. WHAT IS A SHARE?
And so...If Scandal does a 12 share in Orlando with Women
25-54 on one particular night, that means......?
The percentage (%) of the target universe who are watching TV
at that moment and who are watching that particular show.
1 Share Point =
1% of the target universe
actually watching TV at that
moment
7. ...that 12% of all women 25-54 in Orlando who
are watching TV that night are watching
Scandal.
8. RADIO AND TV
GRPS Gross Rating Points
GRP is umbrella term, you might hear TRP which is
“Targeted Rating Points” used for demos. But really
no difference between GRPs and TRPs.
If we are buying 5 spots in a show that does a 2
rating, that is 10 GRPs
If we are buying 100 GRPs/week for 4 weeks, that is
400 GRPs for the total campaign.
Can the Rating be higher than 100%?
No, maximum of 100% of the target audience can watch a
program at a particular time
AND THE GRPs?
Yes, as a cumulative figure, can easily go above 100
9. RADIO AND TV
REACH AND FREQUENCY
REACH
Percentage of our target universe that was exposed at least once to an
advertising schedule. Usually measured over 1 or 4 week period, and only for the
whole campaign, not one station. Measures different viewers with no duplication.
Example:
Target Universe = 1,000,000
A campaign achieves 80% reach in 1 week
80% of the target have seen the commercial at least once
800,000 of the target have seen the commercial at least once
FREQUENCY
The average number of times that each person is exposed to a brand’s
advertising campaign or schedule.
Example:
Average Frequency of 4.0 means that, as an average, every person
reached has seen the commercial 4 times.
This is an average, which means that some people have seen the
commercial more times, and some less.
10. IMPRESSIONS
THE GREAT EQUALIZER
Once we know how many GRPs we are buying in a market, and we
know the population for our demo, we can calculate the gross
impressions
1% of the Population of the target audience in the market x GRPs
There are 426,500 age
25-54 women in Orlando
We reach 1% of that
number with 1 rating
point, or 4,265
4,265 x our total GRPs
in our campaign of 400
= 1,706,000 Gross
Impressions
Impressions are the one measurement that can be used across all mediums
14. Knowing our CPP in the market, we can estimate costs for a schedule in that market
General rules of thumb that most media planners believe:
You should plan for no less than 100 GRPs/week in a market for TV
You should plan for no less than 75 GRPs/week in a market for radio
If TV is in the plan, generally you would price out the TV first before looking at all
media allocations because it will gobble up the most money
So we know that if a CPP for radio in Atlanta is
$325, and we buy 100 GRPs for 4 weeks, that will
cost us...?
ENTER STAGE LEFT: THE FLOWCHART
CALCULATORS!
16. BUT BEFORE WE BUY
First: Quantitative
Research
A radio ranker of
Orlando stations
This lists top 20
stations for Women
25-54
We can have this
report run for any
combination of
dayparts and
demographics
Example: who has
the top morning
drive show?
WE NARROW OUR OPTIONS
18. BUT BEFORE WE BUY
TV CAN BE MUCH MORE
COMPLICATED
QUALITAP™ Target Profile
ATLANTA - Release 1 2013 Feb12-Jan13 Scarborough
Qualitative Criteria: Adults 65 +
DMA Survey Area
Visited Florida Panhandle (yr)
Profile ranked by index Target Persons Base Persons Index
Typically watched television programs are reality - adventure 8,137 51,028 162
Typically watched television programs are sports 41,767 282,172 151
Typically watched television programs are Mystery/suspense/crime 37,844 259,406 148
Typically watched television programs are national/network news 31,888 224,067 145
Typically watched television programs are documentaries 26,622 210,345 129
Typically watched television programs are comedies 24,741 207,896 121
Typically watched television programs are movies 44,184 400,654 112
Typically watched television programs are local news - morning 41,598 384,699 110
Typically watched television programs are reality - talent 8,416 83,323 103
Typically watched television programs are game shows 17,159 174,265 100
Typically watched television programs are local news - evening 42,809 473,971 92
Typically watched television programs are dramas 19,312 214,084 92
Typically watched television programs are local news - late 17,378 209,558 84
Typically watched television programs are science fiction 6,839 85,912 81
Typically watched television programs are daytime soap operas 5,293 73,520 73
Programming selection varies substantially by demographic
19. CABLE BY NETWORK
BEFORE WE BUY
QUALITAP™ Target Profile
DALLAS-FT. WORTH - Release 1 2013 Mar12-Feb13 Scarborough
Qualitative Criteria: Women 25 - 49
DMA Survey Area
Visited Orlando (yr) or visited other places in Florida (yr)
Profile ranked by index. Target Persons Base Persons Index
Watched We TV (wk) 24,091 70,526 260
Watched TCM (Turner Classic Movies) (wk) 26,200 78,828 253
Watched Golf Channel (wk) 6,359 22,680 213
Watched Hallmark Channel (wk) 35,226 126,031 213
Watched FS Southwest/FOX Sports Southwest (wk) 14,229 51,160 212
Watched FSN/FOX Sports Net (wk) 14,229 51,160 212
Watched Boomerang (wk) 7,820 28,302 210
Watched GSN (Game Show Network) (wk) 4,877 17,706 210
Watched CMT (Country Music Television) (wk) 16,786 61,037 209
Watched AMC (wk) 39,337 147,916 202
Watched VH1 (wk) 41,705 167,143 190
Watched Spike (wk) 28,593 117,666 185
Watched NFL Network (wk) 12,335 51,784 181
Watched CN (Cartoon Network) (wk) 15,370 65,795 178
Network selection, and individual programming selection, varies
substantially by demographic
21. RADIO
Arbitron was for years the primary radio
research firm but was bought by Nielsen
in 2013
Methodology
Diaries in smaller markets
PPMs in 48 larger markets
PPMs
Portable People Meters
Looks like a pager
Detects radio stations that PPM carriers are
exposed to
Passive data collection, versus trying to
remember what you actually listened to
In December, Nielsen announced an
increase in the panel in 48 Portable People
Meter (PPM) markets as part of its ongoing
efforts to advance audio measurement.
Will increase by 10% across all markets and
demographics starting mid-2017.
NIELSEN
22. RADIO
Dayparts
Morning Drive: 6a-10a
Midday: 10a-3p
PM Drive: 3p-7p
Evening: 7p-12m
Overnights: 12m-6a
Weekends
ROS = run of station
LINGO - DAYPARTS
23. RADIO
Radio is purchased in Nielsen-designated
metro areas.
There are 302 radio metros in the U.S.
Most radio metros cover two to four
counties
Some rural areas of the U.S. are not in
radio metros. Those areas are called “non-
metro.”
LINGO - GEOGRAPHY
25. NIELSEN
RADIO
COVERAGE
ATLANTA
Atlanta radio metro
cover 20 counties in the
Metro area: Fulton, Cobb,
DeKalb, Gwinnett, Barrow,
Walton, Newton, Henry,
Clayton, Spalding, Fayette,
Coweta,
Carrell,Rockdale,Douglas,
Paulding, Bartow, Cherokee,
Forsyth, and Pickens
The MSA goes into a couple
counties in Alabama and up
into North Carolina!
26. RADIO
AC = adult contemporary
CHR = contemporary hits
Hot AC, Jack, Alice, Bob etc.
Rhythmic CHR (includes HipHop,
Rap)
Urban Contemporary
Country, Young Country, Modern
Country, Classic Country
Rock, Album Rock (aka AOR), Classic
Rock, AAA, Alternative
News/Talk, Talk, All News
Christian – music, ministry, gospel
Classic Hits, aka Oldies
LINGO - FORMATS
27.
28. RADIO
Young audiences
CHR, Mix, Alice, Jack, urban, rock
Females
CHR, AC, Mix
Males
Rock, classic rock, sports talk
Broad reach
Country
Older listeners
AC, classic hits, news/talk, talk
Niche
Fine arts/classical
Christian/various religious
National Public Radio (underwriting
mentions only)
TARGETING BY FORMAT
29. RADIO
Bigger the market, higher the CPP
Different target demos, different CPPs
CPP varies by daypart. Drive times cost
more. Weekends and evenings cost less.
Examples from SQAD, our cost per point
service
Atlanta: Adults 25-54, AM Drive: $533
Chicago: Adults 25-54 PM Drive: $659
NYC: Adults 25-54, AM drive: $1,142
Birmingham: Adults 25-54, PM Drive:
$72
SQAD CPPs are usually very high; radio is
usually somewhat negotiable
PRICING, COST PER POINT
30. RADIO
“Tight market” = not much availability,
high prices. Typically Apr-Jun and Nov-
Dec. Prices are high during these times.
Political campaigns could affect demand
Low-demand periods – usually first
quarter, January through early March.
Prices are negotiable in low-demand
periods.
Demand periods vary by market
Jan-Feb – low demand in cold
weather markets
Jan-Feb – could be high demand
in destinations that have seasonal
population fluctuations
PRICING, SUPPLY & DEMAND
31. SPOT RADIO VS.
Spot – specific markets, stations individually
purchased, or purchased in ownership groups.
Local networks – typically news/weather/traffic
networks
Regional – statewide networks, agricultural
networks, sports
National – coast-to-coast coverage, such as ABC
Radio Networks, Westwood One, Sirius/XM
RADIO NETWORKS
32. RADIO
Strong medium for promotions
Live endorsements are a possibility
Nimble with messaging/creative
Frequent, loyal listening can lead to high
frequency impact
Emotional connection to listeners
Works well in conjunction with other
media – digital, TV, print, etc.
Low production cost compared to many
other media. Stations will often produce
spots at no charge, if we supply a script.
WHY RADIO?
Radio reaches
91%
of Americans 12+
every week
33. RADIO
The percentage of Americans 12 years of age or older who have listened to
online radio in the past month has once again continued to grow – rising
from 53% in 2015 to 57% in 2016. *
That share is about double the percentage of Americans who had
done so in 2010 (27%).
73% listened on smartphones, while 61% listened on desktops and laptops
(2015 data)
DIGITAL AND IN-CAR LISTENING
*Edison Research
Satellite and web-based listening in cars
• Sirius XM – the only satellite radio platform in the U.S. – reported an uptick in subscribers every quarter
since 2015.
• Web-based radio listening in cars held about steady – so starting to level off
• 37% of U.S. adult cellphone owners have listened to online radio in the car, about six times the share (6%)
who had done so in 2010.
• Traditional AM/FM radio is – and by a large margin – the most common form of in-car listening.
• Just 8% of listeners in the car named online radio as the source they used most often and 12% named
satellite radio, compared with 63% who named AM/FM radio as the audio source they turned to most
often.
38. TELEVISION
Nielsen is the primary TV research firm
The world’s largest market research firm
It’s spelled N-I-E-L-S-E-N
Methodology
LPMs in 25 larger markets
Meters and diaries in 31 medium-size markets
Diaries in 154 smaller markets
LPMs
Local People Meters
Passive viewing measurement, similar to Arbitron’s
PPMs
Since Nielsen recently purchased Arbitron, it’s
expected that very soon the PPM and LPM
technology will merge
NIELSEN
39. TELEVISION
Dayparts
Early Morning: 6a-9a
Daytime: 9a-3p
Early Fringe: 3p-5p
Early News: 5p-6:30p / 6p-7:30p
Prime Access: 6p-7p / 7p-8p
Prime Time: 7p-10p / 8p-11p
Late News: 10p-10:30p / 11p-11:30p
Late Fringe: 10:30p-12m / 11:30p-1a
Overnight: 12m-6a / 1a-6a
Weekend a.m. news: 6a-11a
Daypart definitions change by time zone
LINGO - DAYPARTS
Definitions are a little loose.
40. TELEVISION
TV is purchased in Nielsen-designated DMAs
– “Designated Market Areas”
DMA essentially means “this is where you get
your TV from.” For example, Wilmington,
Delaware is in the Philadelphia DMA.
There are 210 TV DMAs in the U.S.
TV DMAs can range from just one or two
counties (St. Joseph, MO) to entire states
(Salt Lake City, UT).
LINGO - GEOGRAPHY
42. TELEVISION
Network – usually refers to national
networks, such as NBC, CBS, ABC, Fox
Regional networks – typically sports
networks
Spot – runs in one market
A spot that runs on the CBS affiliate in
Indianapolis is not a “network spot.”
More correctly, that’s a spot that ran on a
“network affiliate.”
SPOT VS. NETWORK
43. TELEVISION
Many options, much more refined targeting than radio
Local stations have limited avails in prime time and other
network-feed areas, which often leads to high prices.
Local programming, such as news areas, usually has
much more inventory and rate flexibility.
Questions to be addressed:
Does this program reach the right demographic?
What is the tone of this program? Is it correct for
what we’re selling?
Is it image-appropriate?
Are we paying an efficient rate to be in this specific
show?
TARGETING BY PROGRAM
44.
45. All the averages (with a couple of exceptions, noted with asterisks) include live viewing plus
seven days of DVR and on-demand playback, and are for original telecasts only.
46. TELEVISION
“Tight market” = not much availability, high
prices.
Typically tight during ratings sweeps periods,
when the best new programming is on: May
and November.
Political seasons can be HELL to local TV
markets
Inventory can also be tight in September-
October, when the new shows are rolled out,
and December, prior to holidays
Other sweeps: February and July.
Low-demand periods – usually first quarter,
January through early March, and summer,
June through August, when lots of reruns
are aired. Prices are negotiable in low-
demand periods.
PRICING, SUPPLY & DEMAND
47. TELEVISION
Bigger the market, higher the CPP
Different target demos, different CPPs
CPP varies by daypart. Prime time costs
the most. Late news can often be pricey.
Early morning, daytime, and early fringe
cost less.
Examples from SQAD, our cost per point
service
Orlando: Late News $560
New York: Prime $5,696
Chicago: Early News $1,059
Kansas City: Prime $311
SQAD CPPs are usually very high; TV is
usually somewhat negotiable
PRICING, COST PER POINT
48. TELEVISION
TV avails – essentially, a menu of what’s
available, listing costs and projected
ratings per spot
I usually ask for a proposal as well for the
rep to give it their best shot
We negotiate down to a level that will run. .
.
…because if we negotiate too low, our
spots will get bumped out by
advertisers who pay higher rates for
that time.
Work on the buy in our media software
system (Strata, MediaOcean, etc.) to
finesse all the stations submissions to meet
the “specs” of CPP and total GRPs
BUYING PROCESS
49.
50. TELEVISION
Reps contact buyer regarding
preemptions – spots that didn’t run
Sports programs that ran long
Weather bulletins
Other advertisers willing to pay more
for the time
We negotiate make-goods – equal or
better programs and ratings to make sure
we deliver GRPs and impressions in the
end
POST-BUY
51. TELEVISION
Vivid imagery – color, sound, motion
A strong direct response medium – you can
see the URL or phone number
Wide array of programming selections = high
degree of target-ability
Good creative can lead to strong viewer
engagement
TV remains the #1 influencer across the
purchase funnel
WHY TV?
Source: TVB/The Futures Company; “Purchase Funnel 2012”
52.
53.
54. A WEEK IN THE LIFE FOR THE
TOTAL U.S. POPULATION
Q1 2014: Weekly Time Spent (Hrs:Min)
55. So, to sum up:
Young people watch much
less TV than older people,
and they are watching less
every year.
But! Young people still
watch a ton of TV, and
Americans as a whole
watch so much TV that it is
literally unbelievable.
57. CABLE TV
Nielsen is “challenged” by cable
measurement.
Many individual shows do not meet
minimum reporting standards; it is difficult
to obtain viewership data.
Cable “footprint” does not match TV DMA,
making ratings calculation difficult –
leading to “Cable DMA” ratings.
You can buy entire interconnect (full
market) or you can buy zones based on
where you need to reach.
When you are buying zones, you would
look at impressions vs. GRPs generally
because of universe variations.
MEASUREMENT
58. CABLE TV
Dayparts
Same as TV
Cable prime time ROS is 6p-12m..
Cable is often sold on a broad rotation
basis.
Limited local avails make it difficult to
purchase specific shows – but it IS possible
to do so and with the popularity of some
cable shows now it’s very important to look
at
Interconnect – a consortium of local cable
operators. Example: the cable operator that
covers the east side of town, purchased in
conjunction with the operator that covers the
west side.
Atlanta example: Interconnect includes both
AT&T U-Verse and Direct TV
LINGO
59.
60. CABLE TV
National network – runs nationwide
on networks such as USA, A&E,
ESPN
Regional networks – typically
sports networks; occasionally news
networks
Spot – runs in one market
Cable networks are always referred
to as “networks” rather than
“stations”
SPOT VS NETWORK
62. WHY CABLE?
Spot cable CPPs are usually much higher than
broadcast CPPs. . .
. . . But there are several reasons why we buy local
cable:
• Generally, lower out-of-pocket cost can lead to
greater frequency impact
• Can target specific neighborhoods/areas of a
large DMA - the orginal “geo-targeting”
• Niche networks or programming can be a good
fit
• If broadcast availability is tight, cable can be a
reasonable alternative
• Much of hot prime time programming now is on
cable vs. broadcast – and prime is more
affordable.
63. PLANNING
PROCESS
Ideation: Decide on ideal media mix based on
goals and strategy
Costing: If broadcast is on the plan,
price out TV and radio first
Allocate: Determine what other media
should bring to table and allocate
budgets for each
Develop: Think about how you
should maximize each medium
(tactics, meet with various vendors
to explore options)
THIS is the part that
takes the longest
and where the
creativity comes in!
Finesse: Finalize to budget goal,
ensure final plan is on strategy,
obsess about flowchart and
formulas, answer questions from
Account Service why it’s taking
so long