by Dysfunctional Card Rate, Secondary and Effective Rate
A rate card is a document provided by a newspaper or other print publication featuring the organization’s rate for advertising. It may also detail any deadlines, demographics, policies, additional fees, and artwork requirements. The smaller the publication, the less information that may be available on the rate card.
Some larger newspapers may have a rate card for a particular kind of advertisement. They may have their rates broken down by classified ads, retail advertising, and even national ad rates.
Rate cards help the retailer understand what types of ad sizes, discounts, and other advertising the publication have to offer. When choosing a newspaper or print media, you can use rate cards to compare ad rates based on circulation before you buy advertising space.
Before placing an ad, be sure you understand the terms and conditions of advertising with the publication. In many cases where there may be a conflict between the insertion order and the rate card, the rate card will be the deciding factor. This does not mean the prices on the rate card are fixed. Most retailers will find the paper’s sales rep will offer special rates for first time advertisers or other discounts.
If you’re interested in advertising within a particular publication, check their website or call the office and ask for a copy of their current rate card. Many newspapers and magazines have their rate cards available online in a PDF format for quick reference. Of course, these rates are always negotiable.
Deal Composition
It is not just enough to evaluate effective rates but the structure of the deal or buy plays a very important role as well. Composition of a buy such as prime time second age deals for an Advertisers & Weekday vs Weekend split. Weekday primetime shows get highest TRP followed by weekends throughout the day, afternoons suitable for female TG, News channel morning slots work more efficiently than an afternoon on weekdays.
Cost Per Rating Point (CPRP)
Cost per rating point measures the price paid for GRP’s delivered. Eg: 2 media buys with the same total rates may have varying CPRP’s. One may have second age in all prime time shows, another may have second age in only shows. Technically afternoon slots deliver ratings even in male TGs. While some buyers deliver CPRPs regardless of the time slots, but an efficient planner decides not to take time slots on blind attempt but to consider CPRP on time slots.
Reach Delivered by the Buy
Reach and frequency buying is an alternative method for buying ads that lets you book campaigns in advance with predictable, optimised reach and controlled frequency.
A high-frequency strategy may be beneficial for brands that are new, have a low market share or are running shorter campaigns. Many factors influence the effective frequency level. Your market, message and media should be considered during the campaign planning process.
Reach and Frequency campaigns are fixed reservations, with set costs, dates and reach. The aim of this type of campaigns is to fulfil the prediction, but you will be unable to change these parameters under any circumstance. This is also true for bids. The only change allowed for this type of campaign is at the creatives level. Any other change will cause an alteration in the reservation.
Keep in mind that Reach and Frequency campaigns don’t ensure a final cost per results or CPM, but a determined cost and reach within set dates.
Visibility Spots
A plan often delivers the reach, but the spread of the message about their campaign is important. This is very true for low budget brands who need to maximize their on-air presence. For instance, a small FMCG brand to be able to follow a large FMCG brand’s 52-week advertisement scheduling strategy, it too will need to maximize its presence as much as possible. Hence it chooses a low-cost afternoon TV spot to maintain a constant presence along with bursts of mass channel activity to increase its potential reach.
Bonus Percentage
Also known as “value adds,” this term is relevant to sites that sell their display ad inventory directly to advertisers. Generally, bonus media is a consideration only for line items priced on a cost-per-thousand-impressions (CPM) basis.
It is relatively common for advertisers or agencies to request that publishers include bonus media wherever possible in order to make the most competitive proposal possible when being considered for a campaign. These are basically $0 CPM (i.e., free) ad impressions that a publisher includes with paid media in order to maximize the appeal of the overall proposal.
In some cases, a proposal template will have a column marked “Bonus Media” or “Value Add.” In this case, the appropriate value is either Yes or No, depending on whether or not there is a cost associated with the line item (this column is somewhat duplicative, since any line item with a CPM of $0 would be bonus media).
There are pros and cons to including bonus media on an ad proposal, regardless of whether the advertiser or agency explicitly asks for it to be included. Giving away something of value (ad impressions) at zero cost obviously results in a direct loss of revenue. But in some instances, the inclusion of bonus media may make the overall proposal including paid line items seem more appealing.
Some advertisers or agencies focus on the overall effective CPM of a campaign when evaluating the competitiveness of a publisher. If this is the case, a strategic use of bonus media can help to make your proposal seem like a great value to the advertiser.
Upgrades and Spot Fixing
Another brilliant way to sweeten a media deal is to fix ROS (Run of the site) spots for direct buying to ensure higher deliveries. Advertisers do not specify the position of Ad placement in return for low rates. Ads may be placed randomly in unsold, less valuable portions of the target. And spots in a particular category can be upgraded to a higher category time slots based on the Ads previous results. Upgrades and spot fixes are done as it adds value to a deal.
Sponsorships
Program sponsorships are added on to a deal in order to deliver added value. The value of sponsorships is benefitted when the brand name is used in the program content Eg: Honda Star Voice of India. These programs are promoted throughout the day and people remember the name of the show along with sponsor name. (Vivo IPL). A program on a TV can have multiple sponsors apart from the main sponsor who acts as an associate sponsor.
