by Scott Howard | Dec 26, 2017 | Marketing and Advertising Insights, ScLoHo's Collective Wisdom, ScLoHo's Media, The Not-So-Secret Writings of ScLoHo
TV Audiences Are Shrinking was the title of a story I wrote a decade ago, and unfortunately, the major television broadcast networks are still getting clobbered.
There was hope for some Television folks that in the age of cord cutting, as people dropped their cable TV subscription and started watching channels over the air, like “the good old days” that ABC, CBS, NBC and FOX would see an increase in viewership.
But not so fast…
Many of the cord cutters are not watching the traditional TV networks, some don’t even have a TV like my son and his wife. Netflix and Hulu have been making gains. meanwhile according to a story from Mediapost last week:
…in prime time, broadcast networks were down 16% (to 8.3 million); and cable networks, lost 11% (to 15.5 million).
To my business owner and marketing manager friends who are wondering why your television ad campaigns have been struggling… this could be a factor.
I have a few suggestions, if you want to talk…
by Scott Howard | Jan 26, 2016 | Marketing and Advertising Insights, ScLoHo's Collective Wisdom, ScLoHo's Media
Recently with all the ups and downs in the market, mostly downs, I received a note from my broker not to worry, all will be okay.
That’s great, but I’d rather have someone tell me how to earn money instead of lose it or gamble with it.
Another email I received this month, told me how, IF I OWNED A BUSINESS. And the answer is one I have seen play out repeatedly over the years… Advertising on the radio.
Before I share the details, I invite you to talk with me about learning how we can might be able to create a real return on your investment. I’ll be honest with you and tell you what you need to know, not just sell you stuff. I may decide NOT to sell you anything, that’s a story for another day.
Here’s the article that mentions a 17:1 ROI using radio as an advertising medium (from Marketing Charts):
Radio ROI Compelling Advertisers
by Jack Loechner
According to a recent Nielsen “sales effect study,” examining radio’s return on ad spend in four retail categories, every dollar spent in radio advertising could generate up to $17 of revenue from listeners exposed to ads from department stores, home improvement stores, mass merchandisers and quick-service restaurants. Hispanic consumers led all categories measured in total spend, and drove increased sales ranging from 9% to 49%.
The study found that, while new digital formats are capturing headlines, traditional formats, specifically radio, could give advertisers the returns they want, says the report.
Combined data from Nielsen’s Portable People Meter (PPM) panel with Nielsen Buyer Insights credit and debit card data, radio exposure positively affected bottom-line sales and drove new, valuable shoppers for each category studied…
Carol Edwards, senior vice president, media analytics, Nielsen, concludes that “… reaching 93% of all U.S. adults every week and playing a leading role in consumers’ purchasing decisions, radio has the ability to positively impact campaign results… ”
| Weekly Reach of Devices (% Of U.S. Population) |
| |
Age Group
|
| Device |
All Adults
|
18-34
|
35-49
|
50+
|
| TV |
87%
|
76%
|
90%
|
93%
|
| Radio |
93
|
93
|
95
|
91
|
| PC |
54
|
49
|
63
|
54
|
| Smartphone |
70
|
80
|
81
|
56
|
| Tablet |
33
|
42
|
49
|
22
|
| Source: Nielsen, October 2015 |
For more info, contact me Scott@WOWO.com or 260-255-4357
by Scott Howard | Aug 18, 2015 | Marketing and Advertising Insights, The Not-So-Secret Writings of ScLoHo
When I talk to business owners and managers about advertising options, they want to feel good about the money they are going to spend.
Did you see that?
They want to feel good.
They want to feel smart, confident, happy and wise.
Often times this feeling comes from examining facts and figures and from calculating the Return On Investment they will get from spending (investing) in advertising.
This is such an imperfect science that we should eliminate it all together but like I said, people want to feel good when they are going to spend money.
I was talking with a friend recently and we came up with a return on investment that looks like this:
For every $3000 he spends, he needs 3 sales to break even and the 4th sale produces a profit. This is based on 3 years of being in business and the knowledge that he has of his average sale, expenses and those operating numbers.
Great information, I wish more business owners knew this.
What we don’t know is how to accurately track the Return On Investment of each individual advertising and marketing message he has out there.
Here’s why: His truck is logoed up and has his contact info. When he is driving down the road or sitting in traffic, his truck is planting marketing seeds (impressions) on future customers. You can’t accurately measure the Return On Investment of his vehicle wrap can you?
He takes part in some consumer trade shows. Hundreds of people have seen his display and dozens have spoken with him each year. Only a small percentage of the people who see his display (the ones he talks to and gets contact info from) are trackable for Return On Investment measurement.
Advertising and marketing messages overlap. We are exposed to a business via multiple methods which nullifies the results of tracking the Return on Investment of each individual advertising and marketing message.
The web was supposed to be the ultimate source of accurate and fool proof tracking, but it falls victim to the same limitations of measurement that off line marketing has.
You could try combining the two which might help, or produce some really weird and useless ad campaigns like this one from 2012 that tried combining Billboards with QR codes:
The Unscanable QR Code
So how do you deal with Return On Investment as a way to measure the success of your advertising campaign and more importantly how do you feel good about spending money on advertising?
Ask the right questions.
Know the limitations.
Deal with trustworthy people.
More on this Wednesday.
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