Blazing the Trail out of the Recession....

Wednesday, March 10, 2010 by Marcie Blagden-Ellison
And surprisingly the word 'Boomer' isn't in the forefront. This is surprising when you consider that our last three recession recovery periods largely centered around Baby Boomers; however, the past 18 months has been particularly rough on the Boomer demographic - the subgroup has experienced some traumatic hits on both their savings and retirement accounts. PricewaterhouseCoopers, predicts that Boomers' spending habits have undergone the largest change and may not ever be able to make a full comeback.

In case you are curious:
  • Greatest Generation: born prior to 1946 (Ages: 65-plus)
  • Boomers: 1946-1964 (Ages: 46-64)
  • Generation X: 1965-1976 (Ages: 34-45)
  • Millennials: 1977-1994 (Ages: 16-33)

    With our beloved Boomers struggling, we are turning to the Gen X and Gen Y demos, with their disposable incomes, technology addictions and consumption-happy habits to perk things up.

    Anyone with a medium sized family can see at a glance that there are some huge differences between how these three demographics go about consuming media - How do you seek out products or services? What media types do you turn to (or perhaps have attached to you) every day? Now compare your answers to those of your younger cousin, grandmother, nephew, father, etc...... While Boomers are more apt to still rely on their daily newspaper or respond to direct mail flyers, Gen X and Y'ers are far more likely to rely on the internet for both new and entertainment and are more likely to respond positively to email marketing and mobile coupons

    Been dragging your feet when it comes to looking into local internet marketing? Now is the time to take a step back and consider who your most viable target audience is - there is a good chance that your Yellow Page or radio spot just isn't worth the investment anymore.
    As a small business, how are you planning on getting your local advertising in front of this audience? Perhaps it time to mix up your local store marketing and media planning strategy?

Whether Regifting or Remarketing, Marketing Software Tools Continue to Impress

Friday, March 5, 2010 by Alex Fascilla
Now that we're well out of the holiday season, it's time to take a few minutes--or hours, if your 'haul' was like one of those kids' from the TV show my Super Sweet Sixteen--and conduct inventory on the gifts you received.  "Alright," you say to your gifts, "which ones of you is a re-gift, and which ones of you will I treasure for years to come?"  It should be a pretty simple task.  The Blu-Ray you received probably isn't in this particular pile but rather long been set up in your entertainment center--shrugging apologetically at the progressive-scan DVD player as it was being switched out--while the Hillshire Farms Summer Sausage Sampler Pack is firmly established among this group of misfits, collecting dust since the morning of December 25th, when its brick-patterned wrapping paper was apprehensively removed.

The worst among these is the 'ween-gift--the gift that leaves you on-the-fence about whether to hold or fold. This might be the basket of wine cheeses you can someday see yourself sampling at a spring picnic (heh, yeah riiiiight...), or, conversely, giving to your fiancée's aunt to save yourself some coin when faced with buying a gift for someone who, one, you don't know anything about, and two, don't necessarily care about.  These are the gifts that take the longest to relegate to 're-gift' status. Eventually however, your logical side overtakes any romantic vision you had and a re-gift is born.  As an aside, please join me in listening to (sorry, copyright laws prevent me from saying watching) perhaps the most hilarious example of a re-gift attempt of all time (at bottom):

So where am I going with all this 're' talk?  Well, what if I told you it is possible to 'remarket' or 'retarget'?  According to a recent article in MediaBuyerPlanner, advertisers are severely under-utilizing this relatively new retail marketing feature.  This is how it works: suppose you go to backcountry.com and find a new pair of Smith sunglasses you want. You add them to your cart, enter your shipping address, and even go as far as to enter the first 4 digits of your credit card before deciding, "I don't want to buy this. This is impulsive." You close the browser window, close your wallet, and take a quick walk, shaken up by your close-call with impulse (your walk invariably leads you outside where you immediately squint at how bright the sun is...). 

If Backcountry wanted that business back, it could entice your return by utilizing 'remarketing'--or serving their ads on other sites you visit to constantly remind you of "what you could have had**".  As it turns out, many advertisers do have access to this remarketing feature, but as the article reports, only about 31% of them actually use it. A staggeringly low amount given some remarketing efforts have boosted ad response as high as 400%. 

Why not turn this into a co-operative marketing solution? I can see these online retailers that have similarly been 'doorbell ditched' swapping impressions on each other's sites, banding together to recover lost sales.  Any hey, even if they don't pursue the co-op advertising route, it's painfully obvious retailers need to make remarketing/retargeting a part of any media planning strategy they follow.  Good luck ducking those impulses now!

**Thank God my ex-girlfriend doesn't have access to this technology.






Reaching the High Hanging Fruit

Friday, March 5, 2010 by Kallen Hayes

It’s an idiom the advertising industry has tossed around for years: grab the low hanging fruit.  These are the people already looking for a particular product or service, they know what they want, they’re familiar with an established company, and all they need is a little nudge to get them walking in the door to spend money. 

But what about the high hanging fruit?  The people content with the status quo who aren’t looking to try something new or different.  Appealing to this group is particularly challenging for service companies that must rely on their prospective clients to proactively reach out in order to engage with a new company.  

I’m going to throw myself in the category of the high hanging fruit.  I’m quite positive I’ve stuck with the same handful of companies my entire life that are providing crucial services including tax preparation, financial planning, and insurance.  In order to prompt me to try a new company, I would need to be convinced that what I’ve been doing for the last 10 or so years is not the best option, that it would be worth it to schedule an appointment in my already packed schedule, or that I actually need a new service I’m not currently utilizing.

Many of the service companies actively looking for new clients are running national campaigns that have done well to establish their respective brands as household names.  As an average Jane consumer, I enjoy watching the Aflac duck risk his life on a daily basis, I’m charmed by the Geico gecko, and I think the Fidelity green line is ingenious.  These memorable campaigns are great at keeping their brands top of mind and may be enough to attract the low hanging fruit, but I would argue that a more aggressive approach is sometimes needed in order to attract the consumer base a little further out of reach. 

To bridge the gap between advertisements that I, as a consumer, perceive as sheer entertainment and those that will influence my behavior, these companies need to complement their national campaigns with advertising strategies that deliver a more personalized touch.  Their services need to be presented as tangible and easy to obtain, I need to feel like a qualified potential client, and most importantly, I need to be assured that there is a real person behind the catchy message who wants to meet me and is waiting just down the street to be my new agent, advisor, or consultant. 

People in the high hanging fruit category like me don’t want to call 1-800 numbers and talk to someone across the country who doesn’t know us.  We’re perhaps a little too timid to walk into an office without a friendly invitation, and we might not even realize there is a local branch of a well-known company in our area.  Through local marketing efforts, these national companies can give me a map to their office, a picture of a person to meet, and phone number that will be answered by someone in my same county, let alone continent. 

National companies can equip their local affiliates with the tools and resources they need to complete the challenging puzzle of local advertising.  Witty campaigns are a great start, but co-op programs, locally customized advertising material, and a smart media planning strategy are what it takes to fill in the missing pieces.  These local marketing ideas can transform amusing ads into influential ads that will, (to continue with the allegory), give a tree a good shaking to knock the top fruits from their secure holding and bring them falling into the net below.

Local Internet Marketing - Status Update

Friday, March 5, 2010 by Shane Vaughan
Good article from ClickZ here reporting on a BIA/Kelsey report that scopes the local internet marketing landscape. 

The net result is that the report expects to see local internet marketing and advertising grow about 19% through 2014 and will be 25% of total local advertising. 

Whether you're a national brand trying to help your local affiliates be successful or you're a local business looking at your marketing plan, you should take a long look at your local store marketing strategy in light of these numbers. 

Are you prepared to respond to this shift?  Do you have the creative and strategy/implementation pieces in place to keep pace with this industry trend? 

Local media buying and local media planning are changing dramatically and it's critical that you're aware of these changes and are responding correctly. 

Balihoo can help.  Check out our Local Marketing Automation whitepaper or contact us and let's discuss how we can help keep your business on the forefront of marketing effectiveness. 

Attention Media Vendors/Warren Buffet: Don't Forget The Little Guys Interested in Local Advertising/Investing

Friday, February 26, 2010 by Alex Fascilla
Warren Splits Berkshire Stock With One Swift Move of His HandAs of the writing of this blog on February 26th, 2010, one share of Berkshire Hathaway stock will set you back approximately $119,010.  That's for one share. Some think (Jim Cramer, relax, I can already see you getting all 'Mad Money' on me concerning Berkshire: "Buffet's a pretentious hack!" you yell) you'd need some major time to see meaningful gains on a single share of stock that's as expensive as that. Typically, that'd be correct.  But that share would have cost you about $101,751 on January 26th 2010... a price just barely out of reach of what I could have afforded on my media buyer's salary. Sarcasm aside, really a pretty nice return on a single share that costs as much as most people's entire portfolios.

"But what about us little guys, Mr. Buffet?  Can't you, nay, won't you just split the stock so we can own a little piece of Berkshire? ...Please?"  Traditionally, Mr. Buffet has responded with, "No."  See, he prefers "owners" rather than "traders".  Someone in it for the long haul. Like him. Someone who wants to enjoy making that first life-changing gain when they're too old to enjoy it.  That was, of course, the case until Jan 20th, when shareholders (all 12 of their super-rich asses) approved a 50-1 split of the stock.  The price of one of these Class-B shares? As of today, about $79.  Dammit, still out of reach!

Let's focus on the "little guy" in this example.  Let's pretend Berkshire's Class A stock (the really expensive one) is a major metropolitan newspaper like Portland's The Oregonian.  Let's also pretend that the "little guy" is a store owner with a single store in the Portland DMA--Designated Market Area--engaged in local advertising that wants to place an ad in The Oregonian.  (Also, before our director of media buying jumps all over me, we're going to need to pretend there isn't such thing as wasted reach). 

Previously, it would have been cost-prohibitive for this local advertiser to engage with The Oregonian--much like it was for me to buy that share of BRK.A back in January.  However, The Oregonian, realizing they were losing potential business with these single-shop store-owners, effectively 'split' their paper, creating zoned editions that only go to certain zip codes and feature ads that are more geared toward those in those particular zip codes. The Oregonian essentially issued some Class B stock!  The result is cheaper placements, better-targeted local advertising for clients, increased ad sales (and hopefully subsequent increased sales for their advertisers), and excellent fodder for a blog such as this.  

Local store marketing and the ensuing media planning strategy for one that owns a single store in a metro area as large as Portland will never be easy.  But when media vendors adapt and generate creative ways to "give the little guys a shot", all benefit.  Oh, also, Mr. Buffet, how about some Class C? I know our tax brackets are so disparate you'd think I lived in Cambodia, but something in the $10-$15 dollar range would be perfect. See you at the shareholders meeting!   

Are Advertising Demographics Dead?

Tuesday, February 23, 2010 by Tiffany Schrenk
 I recently ran across the attached article entitled, "Are Demographics Dead?", and before reading I immediately thought to myself, "I sure hope not!"  In the media world demographics are one of the most commonly used tools to guide our research and decision making during local media planning. Demographic profiles such as age, gender, household income, etc. define a certain media type and it's audience. 

Luckily, as discussed in the article demographics are not dead they are just being redefined.  Researchers are diving even deeper in to certain groups and subsequently identifying their life-stages.  Eight have been established thus far: teens, college students, recent graduates, single no kids, new nesters, established families, married couples with no children and empty nesters. It's interesting to see the differences between these groups in terms of habits, finances, opinions, attitudes, and how all of these attributes change as individuals progress through life stages. The study's sponsors are continuing the research to more clearly define these differences in hopes of employing them in the media word.  If successful it will be an incredibly valuable tool in local marketing strategy and execution of local media buying.

What happens in Vegas...

Friday, February 12, 2010 by Tiffany Schrenk
Before moving to beautiful Boise this past spring I lived and worked in Las Vegas for over five years in local marketing and media. Over the course of those five years I've seen the city change time and time again.  From the booming housing market to the "burst of the housing bubble", imploding casinos right in the middle of the city and jaw dropping casinos built in what seemed like a matter of weeks (ie The Wynn). So, in all honesty, nothing really surprises me.  Vegas always finds a way to reinvent itself and continue to pull people in from around the globe (usually hauling an enormous drink served in a plastic replica of the Eiffel Tower and wearing flip flops).

However, I recently learned of the latest attraction at the MGM Grand, the CBS Television City Research Center.  Real research conducted in Las Vegas of all places- this is new... and might I add-brilliant!  Vegas contains the perfect sampling of people from all across our country.  Carrying with them different habits and preferences. 
Here's the short and sweet of this process. Guests can receive tickets either at the front desk, concierge, or ticket counter (for FREE). Participants then enter into one of four studios for a viewing of CBS and Viacom Network's latest programming. After viewing they are instructed on how to use their personal test pads and monitors to rate the experience. Television City also offers parting gifts as they exit- hats, t-shirts, pins, and key chains. They can also enter to win a $5,000 home entertainment system. Nielsen (a partner in TV City) then compiles the research and sends it to top networks executives giving them real-time responses in turn changing the course of programming.  It's amazing to think that media planning strategy could be affected this quickly. 

I can't say that I'm surprised at this new and innovative way to gain access into people's viewing habits.  Although, I am surprised that it's been made into such a Las Vegas "attraction".  I guess this is one time when what happens in Vegas, doesn't stay in Vegas! 


Right Place... Right Time... Right Product

Wednesday, January 27, 2010 by Tiffany Schrenk
 I recently ran across an article in Forbes Magazine entitled, "The Ted Turner of Rural TV".
(See link for full article: http://www.forbes.com/2010/01/06/rfd-cable-gottsch-business-media-farm-tv.html). 

I thought to myself, "Seriously?  Rural TV?  How successful could it really be?".  Well, after reading the article... VERY.  Patrick Gottsch, founder of RFD-TV (a 24 hour cable television network for rural America) has launched an entertainment medium that had not been tapped in to before.  With 27 million television homes outside urban areas in the US Gottsch identified a whole separate untouched audience. Beginning in 2000 with Nashville television reruns he's has since expanded his network into carrying 92 different programs.  He categorizes the network's format in four categories: agriculture, horses, country music, and rural living.  Programs range from interviews with John Deere executives discussing the new line of tractors to tips on feed and grooming for your four legged friends. 

Why is this important,or at all pertinent to your local advertising or local media planning?  Well, as a media planner at Balihoo we continually reiterate to our clients the importance of ad placement in appropriate mediums and aperture (the point and time in which your consumer is the most receptive to your advertising message and most likely to take action).  This is just another example that there are plenty of alternative mediums available to local advertisers... they just need to be sought out and occasionally risks need to be taken.  The advertisers on RFD-TV (such as Purina "Goat Chow") are seeing great results and increased sales, which makes sense... they are hitting the right target audience in the right place and the right time.  It's the ultimate goal in marketing and what local advertising is all about!  

Social Media + Yahoo Search + GPS = Big Brother? Maybe, But I'm Over Irrelevant Search Results

Monday, January 25, 2010 by Alex Fascilla
Do you feel as though that target on your back is growing? You should. Whenever I hear about the latest ad-targeting technique/software/service, I always imagine arrows tipped with arrowheads that read "Old Spice" or "Pantine Pro-V" hurling toward targets affixed to our backs that are made up of rings that say things like "Male", or: "Age 25-34", or even: "Retired-Southern-Religious, Would-Never-Drive-Anything-But-A-Buick, Lamenting-The-Days-Reagan-Was-In-Office-Senior". The shooters? Well, in that last case, probably Unger, maker of the vaunted Nifty Nabber.  In the first case, probably Unilever, the obvious scent-challenged maker of Axe products... as an aside, if you're a male aged 25-34 and you currently use an Axe product, STOP--in an attempt to smell better, you've managed to make yourself smell much worse (additionally, if a manufacturer makes a product for a sole purpose and that sole purpose is never fulfilled, it's probably time to start thinking about having another sole purpose [Tip: empty Axe bottles are great at filling that unused space in recycle bins!])

As MediaBuyerPlanner recently reported, Yahoo is working to help those advertisers (like Unilever) that engage in search and social media advertising, but yearn for better-targeting in these local internet marketing efforts.  As the article indicates, "Yahoo is developing a search app which takes into account the location of the mobile device, time of day, an event, information from the mobile user’s calendar, past behavior of the mobile user, weather, social networking data, aggregate behaviors, information about proximity of a social contact - or even the mobile user’s mode as determined by an avatar." 

Wow. That's quite a bit of data that a search from a mobile phone can deliver over a search from a traditional desktop. With internet usage and web searches on phones becoming increasingly more popular, and local advertising becoming increasingly more, well, local, Yahoo will do well to fully-develop this "contextual search results" idea.  Taking an event on Facebook, for instance, and marrying it to search results for a person searching Yahoo for a related event is just the kind of Web 2.0 synergy we've all been waiting for.  And think of how this might change franchise marketing: a consumer sees a national ad for the Flooring America name, does a quick search on their mobile device for 'Flooring America', and comes to find the Flooring America store just a few blocks from them is hosting an event that features a local designer and offers wine and cheese tasting!

Additionally, the fact that advances continue to be made in areas of search advertising just provide one more reason to include heavy internet marketing--including a social media component--as a part of any media planning strategy.  We media buyers aren't seeing large strides in demographic/location targeting in other mediums like radio or newspaper--an online presence MUST be a part of any solid recommendation.  And with The BIA Kelsey Group predicting mobile search ad revenues to grow into the billions by 2013, and Yahoo's recent progress, those that jump on the bandwagon sooner will be rewarded.  And to those conducting searches from your mobile phones: quit trying to shake the target on your back... the sharpshooters are only getting sharper from here.

Non-Traditional Media

Friday, January 22, 2010 by Sam Martin
I had the wonderful opportunity today of presenting a media plan for a local cleaning service franchisee.  The client was in a pretty unique market and really needed some creative local marketing ideas, which I was more than happy to provide.  The great thing about planning locally is that the sky is the limit in terms of what mediums we can use.  I did some research and found this really cool idea that I thought meshed really well with a cleaning service, power washing your logo on city side walks!  For one, it is an environmentally friendly form of advertising and two, its just a great idea. 

I can't reiterate enough how great it is to bring in a new client and offer some non traditional media tactics, its what makes local media buying really fun.  They are truly a great supplement to more traditional tactics like television and local internet marketing. 

Back at Last

Friday, January 22, 2010 by Katie Bergerud
I had no idea how reliant we were on HGTV and The Food Network for our local media buying and local advertising plans.  The fact that they deliver awesome audiences that rival network television and the fact that they can be zoned down to a neighborhood makes them a staple in our world.  That was until recently when working on a plan in New York.  In case you haven’t heard Cablevision and Scripps Network have been disputing agreements over carriage fees in New York, New Jersey, and Connecticut.  Finally, resolution has been made and we can move forward with timely media planning efforts in the New York area.  Thank goodness the Barefoot Contessa and Devine Design are back.  

Driving Success at the Local Level

Thursday, January 21, 2010 by Pete Gombert

Marketing is part science and part art.  Neither can succeed without the other and it is incumbent upon anyone who relies on marketing to remember that.

We recently launched a campaign for a healthcare client that had just the right amount of art and science.  This was a terribly exciting campaign for us because we were responsible for all aspects of the initiative – from creative concepting, through production, media planning, media buying, trafficking of creative, results tracking and post buy analysis.  Typically we are handed creative, or have specific media guidelines that we must work under and it can be restricting to the team.  In this case we owned it all and the execution was damn near perfect if I don’t say so myself. 

Was the creative perfect from an Art perspective? No, but it was damn good and was done at the right price.  And through leveraging our technology is now fully customizable and available for execution in all 210 DMA’s around the country.

Was the media buy scientifically analyzed eight ways from Sunday to ensure the exact right reach and frequency for the given target and market? No, but it was carefully analyzed using syndicated and proprietary research and planned with reach and frequency targets that made good sense for the creative and overall campaign strategy. 

Now here is the kicker – the campaigns costs were roughly 1/3rd of what they would have been with a traditional agency and the results have far exceeded this customers expectations.  Here is the other kicker, this is a small business – not some behemoth that cut their budget from $3 million to $1 million.  We took the costs from $75k to $25k and far outperformed expectations.   Leveraging our Local Marketing Automation technology and media buying expertise of Balihoo (science) with the creative concepting and production capabilities (art) of our creative department we nailed what is the future of local marketing – technology enabled integrated campaigns.  Damn that is nice!

Advertising the Cowboy Way

Monday, January 18, 2010 by Kallen Hayes

Here at Balihoo, I get the opportunity to work closely with our media team.  I observe and learn from them while they develop media strategies for our clients on a daily basis.  I’m continually impressed by the time and commitment they put into each advertising media plan they create.  They are extremely committed to researching every media type in local advertising markets in order to reach our clients’ diverse audiences.  The alternative media vehicles they research particularly fascinate me and have caused me to pay closer attention to the creative ways brands promote their products or services in my life.  I can always appreciate an ad that catches my attention due to its particular location, delivery or behavior.

A prime example of one of these innovative media vehicles happens to be just that, a vehicle.  Well, kind of – it’s a vehicle for horses, anyway, and happens to be owned by a good friend of mine.  This friend competes professionally in the Pro Rodeo Cowboy Association and travels the country year-round to compete in the biggest rodeos in the world.  He and his horses have traveled on nearly every main roadway through every state in the western three quarters of the continental United States.  He also happens to be part of a unique but growing group of cowboys who are sponsored by inspired companies looking to support one of our country’s most cherished western traditions. 

These partnerships are very beneficial to both parties.  The cowboys typically wear the brands’ logos on their competition attire while their trucks or horse trailers display brand decals.  This sort of advertising delivers invaluable brand exposure from the big screens of our country’s largest sporting event venues to its vast network of interstate highways.  The cowboys, in turn, are supported in their never-ending quest to reach the next rodeo and compete without the worry of expensive entry fees and fuel prices. 

My friend is sponsored by Celadrin, a joint supplement company out of California.  The partnership is a good match, and I applaud Celadrin for making rodeo a part of their integrated marketing strategy.  What a great opportunity for them to get their logo, web address, and retailers' names on a vehicle that will travel their entire trade area year-round.   Further, they are associated with a successful athlete of an extremely physically demanding sport.  Rodeo cowboys exude ruggedness, athleticism, and raw grit, all of which is admired by the large audiences professional rodeos draw.   My friend’s endorsement of their product makes sense because he uses it on a daily basis and strongly believes in its benefits, so it’s an easy sell for him when talking to friends and fans, alike.

I encourage all companies to think outside the box and consider new and innovative ways to deliver their message to their audience.  I’m not sure if I’ll see a rodeo cowboy sponsorship make its way into one of Balihoo’s recommended advertising media plans, but based on our team’s meticulous approach to scrutinizing local marketing ideas, I wouldn’t be surprised if something equally as creative and original showed up.

Return to Direct Mail?

Saturday, January 16, 2010 by Marcie Blagden-Ellison

In this economy, it came as no surprise that many businesses, both small and large, altered their marketing and advertising budgets last year. In an effort to pinch some pennies, many chose to reduce or eliminate direct mail from their advertising media plans entirely. This Wall Street Journal article highlights several entrepreneurs who found that eliminating old fashioned direct mail was a costly mistake.

While the affordability of utilizing local internet marketing, along with the boom of social media prompted many small companies to slash their traditional direct mail budget (according to Mintel Comperemedia, a research firm that tracks direct-mail. Marketing, U.S. consumers received 27% less direct mail in the third quarter of 2009) many businesses are recouping and preparing to return to direct mail after having experienced firsthand, that while costly, the resulting ROI made the campaign worth the cost. After all a nearly "free" email campaign that fails to result in any additional traffic, sales or interest could very well be MORE costly (time, resources) than a successful $3,000 direct mail campaign.

According to the United States Postal Service, the average U.S. consumer is exposed to
approximately 5,980 marketing messages daily. On average, they notice 52 and pay mind to only 4. So, as a local advertiser with a small budget, how do you go about ensuring that your message is one of the 4? Consider your overall message, your specific offer, your target audience and your history with direct mail. And while it is true that sometimes “you get what you pay for”, it is also true that one size doesn't fit all. What media mix works best for your local advertising will depend on your product or service, your location and your target audience.

2009 Ad Spending and Looking Into 2010

Tuesday, January 5, 2010 by Marcie Blagden-Ellison

Throughout 2009 ad spending fell at a pretty alarming rate. Having finally said farewell to 2009, ZenithOptimedia and GroupM just announced that the national revenue loss fell between 7-to-10%.

According to AdWeek, Internet will be the only medium to grow global ad spending and will do so by 9.5%. "In a time when marketing departments have to justify every dollar they spend, the rapid and clear returns offered by Internet advertising are more attractive than the longer-term brand-building benefits offered by other media."

If you are a newspaper or magazine publisher you might just be wincing (in both surprise and jealousy) at the sound of these numbers – considering that overall, the newspaper/magazine industries suffered a staggering and well-publicized 18 to 20% drop.

However, if you are a small business owner or in charge of your local marketing strategy, now is the time to perk up and revamp your plan for 2010.

Here are 2009 results and agency estimates for 2010:

• Television – Down 8% in 2009 - Up 4.6% in 2010
• Internet – Up 9.5% in 2009  -  Up 12% to 13% in 2010
• Magazines – Down 20% in 2009  -  up 1% in 2010
• Newspapers – Down 18% in 2009  -  up 1% in 2010

The Silver Lining: Ad prices have dropped substantially in many markets! You might be surprised to see how significantly prices have changed over the past year - it is time to hunker down and review (or develop) your 2010 advertising media plan.

Convention Bound

Monday, January 4, 2010 by Jill Coles

It's that time again......twice a year, the Balihoo team makes a trip national conventions for two of our large clients in the carpet industry, Carpet One and Flooring America.  This is the gathering place for Impact of Business Travellocal franchise carpet store owners to come together for all things hardwood, laminate, carpet and installation.  But convention isn't just about carpet, this is the place to make connections, meet peers, learn about new products and programs meet with vendors and most importantly (in our eyes), learn more about how to improve their local advertising to drive new leads to through their doors.  
 
As I booked my flight, my room and began to prepare for thetrip to DC, I was reminded of how the meeting and business travel industry has come under attack in the past few years.  I ran across this article, www.Meetingsmeanbusiness.com, which brings up some really interesting facts about the value of face-to-face meetings.

  • For every dollar invested in business travel, companies realize $12.50 in incremental revenue. 
  • More than half of business travelers stated that 5-20% of their company's new customers were the result of trade show participation.
  • According to business traveleres across all industries, 25% of existing customers and 28% of revenue could be lost to competitors could be lost if customers were not met in-person.

Convention has proven time and time again to be the best place to educate store owners on the value of marketing, developing a media planning strategy and the benefit of using the franchise marketing software made available to them by their franchisor. 

We find it to be worth the time and investment to travel and build relationships with face-to-face meetings.  Hopefully all of our carpet store franchisees will feel the same.  See you at convention!

Top 10 Media/Marketing Tech Innovations of the Decade

Thursday, December 24, 2009 by Tiffany Schrenk

As we begin inching toward the close of 2009 signaling the end of this decade, it's interesting to look back at what's been accomplished in the media and marketing tech world. The advances that have been made directly effect how I plan and purchase media and how the people I work with on a local advertising level choose to spend their ad budgets. 

Check out this article in Advertising Age from this month's issue.  It's the full list of the Top 10 Media/Marketing Technology Innovations of the past decade:  
http://adage.com/article?article_id=141029 

Obviously, each of the top 10 innovations impact those of us in local marketing and media. Although, one in particular stands out as top of mind for our clients in each annual advertising media plan I present. Referring to the DVR or Digital Video Recorder: "Is anyone seeing my ad or are they just skipping through it?" The penetration and usage of the household DVR directly effects how we negotiate and subsequently purchase television advertising.  It is important for media professionals to not only do our research but also have the discussion with both network and cable television sales representatives about how their programming is impacted and what programs they see being DVR'd most often.  With 30% of American TV households participating in DVR usage (and that number continuing to grow) it cannot be ignored.

Take a few minutes to check out the above article- you'll be surprised how many of the "Top 10" directly effect you, not only in business but in your daily life.


 

Who is Watching PBS? Soon We Might Actually Find Out...

Wednesday, December 23, 2009 by Alex Fascilla

Public Television.  Although it may not be the most popular media vehicle for advertisers in this age of Twitter, a burgeoning blogosphere, and increasingly interactive outdoor advertising, it’s still a perfectly viable, albeit decidedly un-sexy, medium to consider in media planning strategy when attempting to reach a more…   how do I put this delicately?  Distinguished audience.  It’s fairly well-known in media circles that PBS reaches an audience that tends to be older, more affluent, and thus more likely to purchase luxury goods and services.  We think. 

Because of the rules that surround ‘advertising’ on Public TV, advertisers aren’t technically ‘advertising’ at all, they’re underwriting or sponsoring given programming—“Nova this evening is brought to you by Lear, specializing in all of your private jet setting excursions.”  These sponsorships are not allowed to feature calls-to-action or pricing information of any kind—additionally, (or perhaps interestingly is a better word) if you’re selling personal products, soap, etc., you might be out of luck: they’re reviewed on a case-by-case basis and if your ad features any “waist-to-knee” footage, you’ll receive a large “REJECTED, OVERT PBS VIOLATION” stamp on your sponsorship submission.  The collateral damage that results from these stringent FCC-enforced rules is a complete lack of ratings information.  Without ratings information, media planners are acting on a gut-feeling when recommending PBS to those dedicated to retail marketing.  “Well, we feel like this is a good fit for your Nantucket-based-boutique-400-thread-count-seersucker-robe business, but you’re just going have to trust us as we have NO data to back up our feeling.”

Until now. I found recently via MediaBuyerPlanner that PBS recently signed with ratings company Nielsen in an attempt to hopefully shed some much-needed light on what we’ve suspected all along: the Antiques Road Show has a lot of viewers.  Kidding aside, this is a very good thing: PBS is helping us planners to be surer about our choices, in turn allowing us to make our clients and their local advertising more successful.  Armed with the appropriate ratings data, we can either abandon previously-recommended PBS sponsorships or—and PBS is hoping it will go this way—ramp them up.  Don’t be surprised to see luxury goods producers/Centrum Silver clamoring for PBS underwriting in the coming months.  I just hope I can get through Masterpiece without constantly being reminded of the fact that I’ll probably never own a Rolex; amid my frustrations, however, I will thank them for “bringing me that programming”.  


The Week - Part of Your Integrated Marketing Strategy?

Friday, December 18, 2009 by Shane Vaughan
Note:  This post originally appeared on Balihoo's old blog on 12/16/09 by Katie Bergerud

I’ve worked in media for nearly 10 years and one of the best parts of my job is staying on top of new media outlets and what they can offer my clients.  About 5 years ago I was visited by a media sales executive presenting a new publication – The Week

Typically when a new publication is released the circulation is sketchy at best and the editorial can be dismal but this one captured my attention.  The Week was inspired by a briefing developed during the Carter administration to keep the President up to speed on all domestic and international news stories that hit during that week.  It was designed in a way to be read by President Carter in about 45 minutes on short Air Force One flights.  The briefing covered all major stories globally and highlighted coverage from liberal, conservative, and local news outlets to deliver a balanced perspective on the issues covered.  The Week has continued in this format and distills the best of U.S. and Foreign Press into 44 pages and is read by roughly 500,000 readers every week. 

I rarely endorse a media property but this one is worthy of sharing.  If you're in the process of developing a media planning strategy or integrated marketing strategy that hits this demo, it's worth a look.  It is the only news outlet that I read faithfully and without it I would have no idea how The Wall Street Journal, The LA Times, and The Al Sabah in Baghdad covered this week’s events in Iraq.  In today’s world of media there is an abundance of politically diverse and passionately unique perspectives covering every story - The Week allows me to sort through it all.  A must read in my opinion.

Tags:  media planning strategy, integrated marketing strategy, integrated marketing plan

So You Wanna Advertise On Satellite TV…

Tuesday, December 8, 2009 by Shane Vaughan

Note:  This post origninally appeared on the old Balihoo blog on 11/10/09 by Sam Martin

More often than not when I am briefing a client for a media plan, I am asked a question surrounding the idea of local advertising on satellite television. This is obviously an important and key element of any integrated marketing plan.  My only response to this is that currently it is not possible to advertise locally on Direct or Dish TV. To be honest, I just wasn’t personally satisfied with this answer so I decided to do a little digging and what I unearthed was quite interesting.

There is an obvious demand out there from advertisers to get on satellite television. Satellite TV penetration seems to be growing, I see plenty of advertisements for it but to get actual penetration numbers has proven to be quite difficult. I spoke with a representative that buys satellite TV nationally and he alluded to the fact that Dish and Direct are neither required nor apt to give out their penetration numbers in fear that their competitors (standard cable) will use those numbers against them. This makes sense, as he continued to say that it is safe to assume that 20% of a market subscribe to one form of satellite TV. If this was not just an assumption, standard cable companies would love to use this to their benefit to form an argument on why not to go with satellite TV.

Enough of that, why can I still not execute local advertising on Dish or Direct TV? An article published in June of 2009 states that “DirecTV has banded together with Invidi Technologies to begin offering advertisers the ability to serve geo-targeted ads across its satellite network.” (http://tiny.cc/h2OJ5) That’s good news! Well sort of. If you are one of the fortunate ones that live on either the East or West coast you can take advantage of this service but for us, who are (in this case) “unfortunately” more centrally located, you will have to wait until 2011. A mere year, which I can use to my advantage perhaps to hone my TV buying skills and follow the triumphs and pitfalls of the beta group. A new, pretty cool twist on things, “beginning in 2011, advertisers will be able to target ads based on zip code, political district and at the household level, by picking up info from set-top boxes.” (http://tiny.cc/h2OJ5)

So now I have a more concrete answer to provide when clients ask me about local advertising on Direct or Dish TV, which makes me feel better. Just over a year we must wait my fellow non-East/West coast media buyers until we can get our eager clients on satellite television. I am actually looking forward to it though; the article mentions the juggernaut that is Google getting its fingers in the game, so who knows what that will bring…