PRINTABLE LESSON 8 - Using television

PRINTABLE LESSON 8 - Using television - 2/13/2012 The first...

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2/13/2012 1 LESSON EIGHT USING TELEVISION 1 The first TV commercial 2 TV is everywhere . . . The typical U.S. household has more television receivers than people. This multi-set household statistic suggests that TV has become primarily an individual-user medium in which the majority of the audience views alone during most dayparts . TV has ceased to be a single medium, but rather a number of related broadcast and third-party program distributors (cable, satellite, telephone company) that exhibit significant diversity as both advertising vehicles and programming sources. 3 The television industry in 2012 Defining characteristics: TV is an audience-delivery system that brings eyeballs and households to advertisers. In the U.S. the TV viewing universe is divided into 210 mutually exclusive, geographically defined markets. 4 TV has been the main source of news for most Americans since the 1960s. Americans no longer distinguish between “broadcast” networks and “cable-only” networks. 5 TV as an advertising medium: Fundamental pros + TV reaches about 99 percent of U.S. households. + Despite recent audience declines due to time spent online, TV remains an efficient medium for advertisers who need to reach a large national audience. A typical prime-time TV CPM is about $25, compared with $50 for a community newspaper. + Americans spend twice as much time watching TV as listening to radio (the second most used traditional medium), and much more time watching TV than reading newspapers. + Americans rate TV commercials as the most authoritative, exciting, influential, and persuasive form of advertising. 6
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2/13/2012 2 . . . and cons - TV commercials are easily forgotten and hence require expensive repetition. - The TV audience is fragmented and skewed toward lower- income consumers. - Increasingly short commercials since the 1970s have led to advertising clutter, with 15 minutes of each hour of TV programming is devoted to commercials, promotional announcements, and public-service announcements. - Remote controls have promoted channel surfing among viewers and resulted in greatly reduced time spent watching commercials. 7 The size of TV audiences is expressed in terms of ratings and shares. A rating is an estimate of how many people within a given market watched a program during a given time period expressed as a proportion of the total population. A share is an estimate of how many people within a given market watched a particular program during a given time period expressed as a proportion of the estimated total number of people within that market who were watching TV at that time. 8
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This note was uploaded on 02/23/2012 for the course COM 256 taught by Professor Robb during the Spring '07 term at Purdue University-West Lafayette.

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PRINTABLE LESSON 8 - Using television - 2/13/2012 The first...

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