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    5 Replies Latest reply on Oct 13, 2008 11:14 AM by JDJDJD

    Advertising Rates?  Info?

    BRMcHenry Adventurer
      While obviously its different every where; I wanted to ask opinions on getting advertising rates for radio, cable television and newspaper (or anything else common place). I wish someone would publish a web site on the subject but I can't find one ??? If anyone knows of one please let me know.

      My local "talk" radio programming station wants about $20 per 30 second spot and $15 for 15 second spots. I've written off my local newspaper. They have a published rate card and there is no negotiation on it; and it seems excessive to me except maybe for inserts (circulation is about 40,000 subscribers and they have a free paper once a week that goes to about 75,000). The cable company won't publish a rate card - you have to "speak" to a sales person which I do not want to do.

      Really appreciate any input?
        • Re: Advertising Rates?  Info?
          Lighthouse24 Ranger
          Here's my business owner perspective. Rates for "traditional" advertising are based on two things: (1) how many people will be exposed to the message (for print media, it's circulation; for radio, it's Arbitron ratings; for television, it's Neilson ratings), and (2) supply and demand (in any medium, here's only so much space or time is available, and the more people who want it, the more expensive it gets). That's why it's hard for anyone to offer the kind of definitive guideline you were seeking.

          I can give you a specific radio example (having done a talk radio show for awhile). A local station gets about $740 for a 30-ssecond spot in weekday morning drive time right now, but the same spot at 3am Monday morning might run about $20. That's how big a difference the NUMBER OF LISTENERS can make in the price. Next month, that same $740 spot will probably jump to more than a $1,000 (unless advertisers have already booked and locked it in -- which they probably have). For a small business owner, media advertising is about to be as expensive as it ever gets because you have more demand from big retailers (pre-Holiday) and from political candidates (pre-election) who all want that limited time and therefore drive up the price. Next January, that cost of that same morning spot will drop below $600. That's how big a difference the DEMAND can make in the price.

          In addition to those factors, other things can affect the price of an ad spot -- for instance, how many spots you're buying, whether they have to run during something like the news (versus whenever the programmer chooses within the given time slot), and even things like whether or not the ad has music or a jingle (a lot of talk radio programmers prefer ads with music/jingles and they seem to offer them better rates as an incentive).

          Finally, for radio at least, WHEN you buy is a big factor. Buying early usually reduces the price, and buying late (any unsold spots, a few days before) can result in a huge discount.

          So bottom line, that's why you have to talk to the sales person (or hire a knowledgeable advertising firm) to get any accurate idea of what a local media campaign will cost.

          Hope that helps some. Best wishes.
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          • Re: Advertising Rates?  Info?
            LUCKIEST Guide
            Advertising Rates? Info?

            As you know, Lighthouse always gives good answers.

            My question?? Why do you NOT want to "speak" to a sales person??
              • Re: Advertising Rates?  Info?
                BRMcHenry Adventurer
                Luckiest; the reason I do not care to speak with the sales representatives is two fold. First I am trying to learn what is "right" and don't want to waste their time. Second, since I don't know what is fair in the market place and "right" there is a serious lack of trust on my part towards the sales people. I've always been told to negotiate for these kinds of rates and purchases, but I don't know what to negotiate too.

                That said I do have a relationship with a radio sales person that is ongoing. I did a barter arrangement years ago (I provide the office (radio station) coffee and they give me two good spots a day in return. We've been doing this almost 3 years now. This arrangement has worked in the past, but right now it does not seem to be doing very well. By that I use to have new customers come from the spots and lately I don't have as many.

                In October this sales person and the station will come in with a "special" for January and February. I bought a $900 run for February last year which included 90 spots before Valentines day - the result was terrible. It seemed like a great deal, and the spots ran, but we got almost no "hits" or reply. I figured it was the message but don't know if I can swing that kind of run again this year without coming up with something different?
                  • Re: Advertising Rates?  Info?
                    JDJDJD Newbie
                    As a former media sales person I can offer some suggestions for you to consider that I hope will be helpful. If you will be using the media to promote your busines you must edcuate yourself on the basics of what the various mediums can do for you.

                    Many businesses allow the consumer to turn their product or service into nothing more than a commodity. When the consumer looks at your business the same as they look at your competition, you are a commodity and lowest price will win. You must differentiate yourself from the competition. This is where most businesses fail. What they say usually makes no difference in the mind of the consumer. Why should I spend my money with you instead of going anywhere else? Don't give me fluff. Give me something that really creates a difference in my mind.

                    We all go through a decision making process when making a buying decision. We are moved from unawareness of the product or service to an awareness. We then must continue along the process through gaining a comprehension about what the purchase can do for us on to a conviction that we will make that purchase from that busienss. The final act is action. This is the only stage you see as a business owner.

                    You must create reasons to do business with you so you are not a commodity in the mind of the consumer. Don't focus on "getting your name at" because as you can see, that's only the top of the buying process.

                    If the only time you see a media sales person is when they have a "package" to sell you, they are not interested in helpnig you grow your business. They are only focused on selling their advertising. Your budget and your marketing program should be personal and specific to your needs. The media person should be willing to work with you for a period of time to help you develop this program, even if they are not making any money from you. I worked with cleints for two years sometimes to gain their trust and earn their respect so they would know they could trust what I have to say.

                    Regarding the negotiation you invite each customer you have to negotiate for a better price? Ask to talk to other busienss owners who are advertising with that medium. Dont' be afraid to ask what rate they are paying and what type of a budget they are working with. If they don't want to tell you, they won't.

                    There are other things I can share if you would like. If you would like some ideas on which medium might work best for you, let me know. I'd be happy to disucss that further.

                • Re: Advertising Rates?  Info?
                  HarmikBurbank Wayfarer

                  if you want to do printAd or Television Ad I suggest you to use google Adword.. google has lunched a section called print AD and Television AD were Advertiser like me go's to that section and bid for a spot on TV or Radio. so you don't have to deal with the sales person

                  go to this link for more info

                  good luck
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