Belch chapter 12

Copyright © 2012 McGraw-Hill Companies, Inc., All right reversedMcGraw-Hill/Irwin

12

Evaluation of Print Media

Magazine in a crises …

• Past few years not kind to traditional media …

• Ad revenue from magazines: 10-15% lower per year

• TV ad revenue: 20% per annum• Why?• Alternatives?

The Role of Magazines and Newspapers

Notintrusive

High-involvement

Reader sets the pace

Selective audience

High readership

12-3

Magazines Target Specific Markets

12-4

Classifications of Magazines

ConsumerConsumer FarmFarm BusinessBusiness

12-5

Consumer Magazines Target Interests

12-6

Example of a Farm Publication

12-7

Business Publications Target Professions or Industries

12-8

Advantages of Magazines

Selectivity

Reproduction Quality

Creative Flexibility

Permanence

Prestige

Receptivity, Engagement

Services

12-9

City Magazines Offer Geographic Targeting

12-10

Creative Flexibility

Pop-Ups

Bleed Pages

Cover Positions

InsertsCreative Space

Gatefolds

12-11

Magazines Can Lend Prestige to a Brand

12-12

Disadvantages of Magazines

Limited Reach

Long Lead Time

Costs

Limited Frequency

Clutter

Competition

12-13

Magazine Circulation

PrimaryCirculation

Pass-AlongReadership

GuaranteedCirculation

CirculationVerification

TotalAudience

ControlledCirculation

12-14

Cost Elements of Advertising Space

Circulation

Size of the ad

Position in the publication

Editions chosen

Production requirements

Insertion number/frequency

Use of color

12-15

The Future for Magazines

Increasing costs

Strong mediacompetition

Decreasing circulations

Declining revenues

Failing publications

Database marketing

Technology advances

Better circulation mgmt

Stronger editorial platforms

Cross-magazine & media deals

Electronic delivery methods

Current Problems Potential Solutions

12-16

Characteristics of Newspapers

• Still a major advertising medium

• Account for nearly 18% of ad spending

• Especially important to local retailers

• Also used by national advertisers

12-17

Types of Newspapers

Special-audience

National

Supplements

Daily

Weekly

12-18

Luxury Brands Go In-House

12-19

Branded Magazines on the Rise

• Greater control of content and images• Establish a brand lifestyle• Nurtures customer relationships• Target specific group of

psychographics

Types of Newspaper Advertising

• Local (mostly retail)• National or general

Display Ads

• Small items arranged by topic• Rates based on size, duration

Classified Ads

• Legal notices - public reports• Notices by people and/or

organizations• Political ads• Circulars, catalogs, brochures

Special Ads and Inserts

12-20

Newspaper Advantages and Limitations

Extensive penetration

Flexibility

Geographic selectivity

Involvement, acceptance

Services offered

Advantages

Short life span

Low production quality

Clutter

Lack of selectivity

Limited use of color

Disadvantages

12-21

Ways To Break Through the Clutter

12-22

Newspaper Advertising Rates

One inch by 2 1/16 inches wide

Fits in all newspapers that use this format size

Simplifies rate quotes

Simplifies production process

Standard Advertising Units

1 inch deep by 1 column width

Sales byColumn Inch

Column widths vary

Column width affects ad size, shape, cost

Complicated purchasing and placement process

12-23

The Future of Newspapers

Problems and issues

Competition from other

media

Declining circulation

Attracting and retaining readers

Online delivery

Cross-media opportunities

12-24

Attracting and Retaining Readers

12-25