Perreault−McCarthy: Basic
Marketing: A
Global−Managerial
Approach, 14/e- Advertising and Sales
Promotion
Text © The McGraw−Hill
Companies, 2002460 Chapter 16
don’t provide any information—or they provide audience profiles that make the
media seem more attractive than it is.
Another problem is that the audience for media that doreach your target mar-
ket may also include people who are notin the target group. But you pay for the
whole audience the media delivers—including those who aren’t potential customers.
For example, Delta Faucet, a faucet manufacturer that wanted its ads to reach
plumbers, placed ads on ESPN’s Saturday college football telecasts. Research showed
that many plumbers watched the ESPN games. Yet plumbers are only a very small
portion of the total college football audience—and the size of the total audience
determined the cost of the advertising time.^15
The cost of reaching the real target market goes up fastest when the irrelevant
audience is very large. For example, the last episode of the wildly popular “Sein-
feld” sitcom drew about 75 million viewers and NBC charged $1.5 million or more
for a 30-second ad slot. It may have been worth that for Visa to reach such a large,
mainly adult, audience; it serves a diverse group of customers.^16 On the other hand,
tiny Gardenburger, Inc., used borrowed money to buy an ad slot in a shoot-for-the-
moon effort to turn the audience on to its veggie patties. This was on the “creative
theory” that the Gardenburger target market was primarily females age 25 to 54,Exhibit 16-4 Relative Size and Costs, and Advantages and Disadvantages, of Major Kinds of Media
Sales Volume,
Kinds of Media 2000 ($ billions) Typical Costs, 2000 Advantages DisadvantagesTelevision $59.2 $4,500 for a 30-second spot, prime Demonstrations, Expensive in
and Cable time, Phoenix good attention, total, “clutter,”
wide reach less-selective
audience
Newspaper 49.0 $42,570 for one-page (black/white) Flexible, timely, May be
weekday, Arizona Republic local market expensive,
short life, no
“pass-along”
Direct mail 44.6 $215 per 1,000 for listing of 114,000 Selected Relatively
Human Resource executives by audience, expensive per
industry or employee size flexible, can contact, “junk
personalize mail”_hard to
retain attention
Radio 19.3 $350–$400 for one-minute drive time, Wide reach, Weak attention,
Phoenix segmented many different
audience, rates, short
inexpensive exposure
Yellow Pages 13.2 $2,760 a year for a^1 ⁄ 8 -page display Reaches local Many other
ad in a directory for a city with customers competitors
.5 million population seeking listed in same
purchase place, hard to
information differentiate
Magazine 12.4 $192,000 for one-page, 4-color in Very targeted, Inflexible, long
Time(national) good detail, lead times
good “pass-
along”
Outdoor 5.2 $5,000 (painted) for prime billboard, Flexible, repeat “Mass market,”
30- to 60-day showings, Phoenix exposure, very short
inexpensive exposure
Internet 4.3 Banner ads average $34 for every Ads link to more Hard to compare
1,000 ad impressions on the site detailed website, costs with
some “pay for other media
results”