|
NEWSLETTER
|
|
|
|
Volume 29, 2004
Honor Thy Media Buyer.
There are many dos and don'ts in the world of DRTV. Of all the dos, none is more critical to your financial success than that of listening to the advice of your media planners and buyers.
These are the folks who can save you money every time they pick up the phone. And you should expect them to fight hard to get the most for our media dollars from day one. But don't push them too hard. A good media buyer will tell you how much you need to pay in order to achieve ROI efficiency. Let us explain.
Short form media is booked at DR rates. So your media buyer is actually buying remnant spots. It's like riding standby on an airplane. Only it is not as simple as waiting for an empty seat. Remnant time can be bid on by anyone who wants to take to the airwaves. Which means your media buyer has to negotiate well enough to get your campaign off the ground, without paying too much for your spots. Let us explain further.
When testing a new spot, it is vital for your media buy to generate at least 80% clearance. The best of the media breed knows just how much to pay in order to get you the frequency you need, without overpaying. And the real masters know how to work the system for all it's worth. Calling in every favor on your behalf, trading on good will that has been built up over decades. So you'll end up with more spots cleared, under any market conditions, than anybody else in the market for airtime.
In fact, it's your media buyer's experience and understanding of all the factors that affect clearance, beyond the DR rates themselves. For example, clearance is usually higher in the 1st and 3rd quarter. And things like elections and special sports coverage, local or national, can pull rates way out of line. That's why it is so essential to have a media buying team that has been through the wars more than once. And why honoring the advice of your media buyer as to when to run, and how much to pay, is essential to your DRTV success.
Definition of the Day:
Ad allowable: the maximum dollar amount you can allow to be spent for each unit sold, without compromising your anticipated margin of profit.
Tip of the Day:
Per inquiry media buys give you exposure that only costs you hard dollars when you get results. PIs are, in fact, a no-risk way to increase your bottom line by 20 to 30%. But don't expect to negotiate a PI buy until your spot has tested successfully and a cost-per-order/cost-per-lead has been determined. And remember, PIs alone will not sustain a successful campaign.
» Back to Archive
|
|
|
