Advertising and Direct Marketing by ramhood15


									                           Advertising and Direct Marketing

Topic10: Using Radio

Radio plays an integral role in the media plans of advertisers who invest billions in media

There are several options for reaching target audiences. A split of national and local is an
obvious geographic choice. More specifically advertisers can choose among the
following categories each with individual characteristics: networks, syndication, AM and
FM. Additionally, there are now satellite radio options as well as streaming radio
broadcasts through the internet.

Networks operate much like television networks in that they deliver programming via
satellite to affiliate stations. They tend to concentrate on news, sports, business reports
and short features. Some of the successful networks include ABC, CNN and AP News

Syndication provides complete programs to stations on a contract basis. Large syndicates
offer stations complete 24-hour a day programming packages that relieve a station of any
programming effort. They will also supply individual programs, such as talk shows.
Large syndication organizations like Westwood One and Satellite Music Networks place
ads within programming, making syndication a good option for advertisers.

AM versus FM: Am sends signals at signal designations 540 to 1600 AM, and even
stereo AM signals cannot match the sound quality of FM. Therefore most AM stations
focus on local community broadcasting or news or talk formats that do not require high
quality audio. Talk radio was the salvation of AM radio. FM radio transmits on
frequency modulation and is of much higher quality, attracting a wide range of music

The various types of radio advertising include local spot radio, advertising, network radio
advertising, or national spot radio advertising. Spot radio attracts 80% of all radio
advertising dollars spent a year. In spot advertising, an advertiser places ads directly with
the individual station rather than a network or syndication. Spot radio dominates the
three classes of radio advertising because there are more than 9,000 individual radio
stations in the United States, and spot allows the advertiser a wide range of choices. Spot
radio reaches well-defined geographic audiences, making it an ideal choice for local
retailers. Network radio advertising is placed within national network programs. There
are few of such programs. National spot radio offers an advertiser the opportunity to
place advertising in nationally syndicated radio programming. An advertiser can reach
millions of listeners by contracting with Westwood One for a program that will then be
carried by thousands of stations across the US.

Radio can become either a primary or secondary vehicle in a media schedule. Because it
is portage, it allows advertisers the ability of reaching listeners while they are in the
marketplace (only advertising at the point-of-purchase is able to reach prospects closer to
purchase). The closer the message is to the register, the more it will influence the
purchase. Consumers spend more time with radio than any other medium during
shopping hours and research indicates that consumers are 2 to 5 times more likely to use
radio within :30 minutes of purchase. This close proximity to sales is one of radio’s
greatest advantages.

Radio reaches 98.8% of young adults aged 18-34, 95.5% of African Americans and
95.6% of Hispanics. In other words, radio reaches all audience segments.

Unlike television stations, a single radio station may belong to several networks at the
same time. In television the local stations sell advertising time on the basis of the
strength of the network programming whereas in radio the networks depend on the local
ratings to get national advertising support.

Radio dayparts:
6 - 10 A.M. – drive time – breakfast audience – news, weather, traffic
10 AM – 3 PM – daytime – programs characteristic of the station,- talk or music or all
3 – 7 PM – afternoon drive time – radio primetime – same as morning drive time
7 PM – 12 AM – night – news, music, talk
12 AM – 6 AM – late night – music, talk

Primetime is both morning and afternoon drive time (TV is between 8 – 10 PM)
Drive time is the most desired and costly and has the highest ratings.

Run of station (ROS) – station has the choice of moving spot wherever it is the most
convenient (premptible ROS is the least expensive).

Special features – time adjacent to weather, news time, traffic or stock market reports –
this placement has premium pricing.

Spot time is generally sold in weekly packages called “total audience plans” (TAP) – a
flat rate for a number of time slots divided in different proportions over the broadcast day
and equally distributed. Advertisers can buy a total plan or parts of it.

One difficulty with radio is the problem of maintaining some sort of audience research.
Radio audiences do not have regularly scheduled programs like television audiences do
by which to recall their listening habits. Therefore recall is undependable. There is a
large out –of-home audience in cars and offices and the existing diary method does not
provide data necessary for advertisers. Arbitron is experimenting with portable people
meters to measure listeners. The major source of radio network ratings is RADAR
(Radio All Dimension Audience Research), Statistical Research In. and the data is
collected through telephone recall interviews.
The advantages of radio over television for direct response include: 1) program formats
to which advertisers can better target their messages and 2) lower costs for time.
Targeting the right program formats is important. If an advertiser is soliciting phone-in
orders for a rock album or tape, they most likely run the commercial on a station that
features rock music. Financial advertisers solicit inquires from potential investor and
numerous might target that audience (Wall Street Report or an FM station with upper-
income listeners).

Creating spots for radio
Radio is a writer’s medium using words, sounds, music and even silence. These elements
are woven together by the writer to produce a piece of image and persuasion. Connection
with the listener is direct, personal, emotional and primal. Writing for radio must
consider the station’s format. The difference audiences require tailored messages, though
sometimes it does make sense to break the flow of programming and stand out. Radio is
more personal than television, carried with the listeners, in car, beach, office, jogging
and even bathrooms. Because the radio listener supplies important elements in the
message, the suggestion is that the message may be more firmly held than in a medium in
which the individual has not participated. Don’t fill in all the blanks. Allow the listener
to provide some pieces. Use language that is clear in meaning and emotional content and
use recognizable/understandable sounds. If not, then your listener will be distracted and
now follow the full flow of the message. Use music whenever you can because music is
an emotional common denominator that more than justifies the cost. You can purchase
music at low cost from a music library (referred to as “needle drop” as if comes off a disc
of produced music available for rental). Another aspect of radio is its casualness.
Television commands all of the viewers time, attention and concentration whereas radio
only gets a small portion of this attention. Keeping the spot simple and intrusive through
the use of special sounds or even silence can arrest your listener’s attention. To hold this
attention, the idea content must be cohesive and uncomplicated. Drive the point home.
Most radio spots are :60 seconds and this is the length that most listeners are accustomed
to. :30 second spots are available but are not a good choice/buy for direct response

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