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Financial Services Marketing

Traditional media has changed greatly in the last few years because the marketplace has changed. People don’t watch TV the same way; satellite-delivered music competes with terrestrial radio; newspaper readership is declining. We think advertisers should know two key things about traditional media today: first, there is still value in the prudent use of broadcast TV and sometimes, hard-wired cable and satellite-delivered commercials, radio, and other traditional mediums. But, there must be a solid media plan—why are they recommended, and what does each medium accomplish for the overall goal?

The second point is that because traditional media companies’ viewers, listeners, and readers have declined, the companies are trying to replace revenue by selling digital inventory. It has a significant markup and is a far cry from the results a well-crafted digital advertising campaign can produce.

At Ad House Advertising, we hold to the industry-standard 15% commission which comes out of the negotiated rate, not on top of the rate. Because we compare cost per point in the key demos and negotiate with stations, we typically receive about a 20% rate reduction versus what you’d receive if you placed the airtime yourself.

For example, when a financial institution came to us for media buying, digital campaigns, and video production, we compared rates for the TV stations in the market. We compared rates for the 1Q of the year that they’d placed versus what we’d placed for our clients. One program had a huge disparity: the other agency paid $426 for the :30 equivalent, while we’d paid $225 for another client. Over the quarter, the client had paid more than $35,000 for broadcast TV spots; using our rates, it would have been less than $28,000. So either that $7,000 could have purchased additional time to increase exposure, or those funds could have gone to the bottom line.

We can help you determine if traditional media should be part of your marketing campaign; what mediums and stations are the best match for your demo; and, importantly, make those dollars work to your advantage. Call us to discuss your company’s marketing.

Negotiated Media Rates

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