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Web Sponsorships Analysis of Digital Media. Appendix C: Appendix G: Appendix L: The Show 09 Screenshot…………………………………………………… Appendix N:
Advertising Age, 79 44 , Rothenberg, R. August Pioneers at the Growth Frontier. Retrieved February 2, , from http: Schumann, David W. Internet Advertising: Theory and Research. Lawrence Erlbaum Associates, Incorporated, Advertising Age. Smith, Kelly. May 11, Stafford, Marla R. Faber, eds. Sharpe Reference, Stencel, M.
Anti-Viral Marketing. CQ Weekly, 67 3 , Sunkist Freestyle Challenge. Tapscott, Don. Grown Up Digital: McGraw-Hill Professional.
Thompson, Clive. New York Times. CNN Money.
Webisode Definition. Wertime, Kent, and Ian Fenwick. What is an advertorial? Screensavers -Made to prevent burn Screensavers are likely in on computer screens to decline to its dullness and lack of interactivity.
Toolbars -Used to simplify Toolbars are likely to content increase or stay the same due to its -Information is given convenience. Coca-Cola 5, Private label 6. Other 3.
Total 13, Coca-Cola Total 3, Coke Classic 1, Total 2, Pepsi 1, Cadbury Total 1, Pepper 6. Book on making Sunkist interactive and an analysis on specific digital media. Flag for inappropriate content. Related titles. Jump to Page. Search inside document. Internet Ad Expenditure by Format …………………………………………. Internet Ad Expenditure by Format ……… Segment Performance-Diet Carbonated Beverages………………………………… Leading Companies…………………………………………………………………..
Brand Share-Regular Carbonated Beverages……………………………………… The objective of the Internet advertising report is to gain a deeper understanding of weblogs, web sponsorships, advertorials, interstitials, bookmarks, toolbars and screens savers. A blog is an online journal that contains the author's thoughts, feelings and reflections on virtually any topic. Consumer generated media, such as blogs, are projected to grow exponentially due to the high volume of content creators and content users.
Advertorials are advertisements designed to simulate editorial content, while offering valid information of a product or service. Interstitials are one of the earliest forms of Internet advertising. Interstitials are a formal name given to Internet ads opened with or in place of designated browsers that confront the viewer head on.
Toolbars are a row of icons on a computer screen that activate a desired function when clicked. The Internet is constantly bombarded with advertising, so companies needed to find a way to promote their brands without being too intrusive. Screensavers are computer programs that display various images on the screen that is on but not in use Merriam- Webster. This medium for advertising is relatively new and has not been tapped into. The Internet has been the fastest growing communication vehicle throughout history, reaching over 50 million users in a mere five years.
Therefore, it is vital for advertisers to be updated on new digital media developments. First, since the Internet is virtually boundless and is not restricted by space and time, marketers are able to provide a tremendous amount of information. Hyperlinks on Internet advertisements make it easier to refer viewers from source to source. Second, the Internet provides consumers direct response capabilities.
Third, the Internet enables companies to make transactions with minimal overhead costs. Then, in late , Hewlett Packard and Skyline online agency created the game Pong, a tennis sports game featuring simple two-dimensional graphics, embedded within a banner ad. Ever since then, different forms of Internet advertisements arose: With the growth of traffic on the Internet, companies reevaluated where they should spend their advertising dollars.
Now, advertisers can track how long people have watched the advertisement, interacted with it, and clicked on it Double Click Trends in Internet Users Many Americans have replaced television with the Internet, as a means of fulfilling their entertainment and informational needs. Adults ages comprise the majority of Internet users. Eighty seven percent of adults in this age segment use the Internet.
Seventy seven percent of White and non- Hispanic adults have means of accessing the Internet. Seventy four percent of adults who live in the suburbs use the Internet.
There is a strong correlation between Internet users and those with a higher household income and education. Ninety five percent of adults who have earned a college degree use the Internet Demographics of Internet Users. Technology savvy adults utilize multiple high-tech products and services. The majority of this group tends to be under the age of 45 and invest in real estate, stocks and bonds.
During their leisure time they enjoy attending art festivals, going on cruises, and shopping. To keep themselves healthy, they diet, exercise and partake in outdoor activities. This segment owns smart phones, digital video recorders and cameras SRDS: Lifestyle Market Analyst. Past, current and future projected expenditures on Internet advertising Internet advertising expenditures are defined as the costs that companies incur to invest in Internet advertising.
See Appendix A. Search engine optimization expenditures made up 41 percent of revenues; Display advertising, Classifieds and Lead Generation made up approximately 34 percent IAB Internet Advertising Revenue Report. See Appendix B. See Appendix C. Search engine optimization expenditures made up 44 percent of second quarter expenditures. Display advertising, classifieds, lead generation and rich media made up approximately 49 percent of second quarter expenditures IAB Internet Advertising Revenue Report.
See Appendix D. See Appendix E. Unique benefits and opportunities of internet advertising for effective advertising campaign The recent growth in Internet usage has transformed the Internet into a very promising advertising medium. I wager that by January almost all forms of tangible media will be either in sharp decline or completely extinct in the U.
Companies have adopted the technologies necessary to allow their consumers to access their services online. Amazon, Kindle and Random house are both publishing an extensive collection of e-books. Websites such as Netflix are literally running competitors such as Blockbuster into bankruptcy. All major U.
Even the video game companies are urging players to buy new games via a built in Internet connection on their game consoles. One of the benefits of digital media is the growing concern for the ecological future of our planet. Internet advertising has provided advertisers with an environmentally safe way to reach the public. Perhaps the most appealing benefit of online advertising is its cost effectiveness.
Though some forms of Internet advertising can get relatively expensive, many are economical when compared to the price of magazine or television ad space. Current issues and future challenges of Internet advertising One of the biggest issues regarding Internet advertising is the concern that online users have about their privacy.
Banner ads, buttons and pop-ups, some of the more primitive forms of Internet advertising have seen a decline in prices. However, advertising on high-traffic websites is on the rise. Companies are spending small fortunes on online campaigns in an attempt to separate themselves from the clutter. It is important to conduct an in depth-analysis of these forms of Internet advertising because the Internet has become one of the leading tools used in advertising.
Analysis Definition of Internet Advertising Considering that television is the most representative of traditional media, we have decided to compare the characteristics, advantages and disadvantages of television and the Internet.
Comparisons between advertising on the Internet and on television Internet advertising is a form of digital communication in which marketing messages are disseminated through the World Wide Web.
These messages are meant to entice viewers to purchase a product or service. Forms of online advertising include blogs, advertorials, interstitials, social networks etc. Online advertising is unique in that it is flexible and interactive.
It is also more efficient to target and track. The Internet is considered to be a more interactive medium than television. People who access the Internet can create accounts on Web sites, which personalizes their experience. The Internet also enables users to control their messages and communication with companies in a timely manner.
This allows companies and consumers to engage in two-way communication rather than one-way persuasion as in television Faber 9. The Internet is a more informative and entertaining medium to educate consumers about products and services Schumann Consumers are only exposed to information about a company through their commercials and infomercials.
Investing in Internet advertising cost much less than airing commercials. It is vital that companies allocate their advertising dollars towards particular mediums cost efficiently. Schumann Another advantage of investing in Internet advertisements is its ability to be gauged. Companies can also gather information and characteristics of their consumer audience making it easier to segment and target the market. Ad spending on television and the Internet differed significantly. Ad spending in both of these media are estimated to grow in the coming years, however television will remain the leading medium in which companies advertise Predictions for For further comparisons between the advantages and disadvantages of advertising through television and the Internet, refer to the appendices.
See Appendix F. Introduction of specific forms of Internet advertising analyzed There are many forms of Internet advertising. The forms that will be analyzed in this report are blogs, web sponsorships, advertorials, interstitials, toolbars, bookmarks and screensavers.
A blog is a personal online journal that mirrors the personality, reflections and thoughts of the author, and are sometimes intended to influence the reader Blog. Advertorials are types of print advertisements that are designed to simulate editorial content.
Interstitials are advertising messages that take the form of a window and are inserted between the editorial contents of a page. A screensaver is a desktop program that displays various images and animation, while the computer has been idle for a preset period of time. A bookmark is a menu entry or icon on a computer that is usually created by the user and that serves as a shortcut to a previously viewed location. Blogs contain the author's thoughts, feelings and reflections on just about anything.
Typically, blogs also contain hyperlinks to related materials Webster. Blogs have grown quickly since the turn of the millennium and the total number of blogs on the Web is hard to measure.
Technorati, which measures blog usage annually, reports million blogs on the Internet since It is estimated that 12 million U. It is also estimated that 57 million U. That same year, the first free blog site was created. It was not until that blogs began to generate advertising revenue when Google's AdSense began to match advertisements to blog content. There are several different ways blogs can be used for advertising.
With it, ads are placed with blogs that are related to the product or service. Bloggers make money when the ad is clicked. Through this, the blogger gets a cut of the purchase.
With inline sales, a program scans the blog, highlights words that have an advertisement associated with it, and pays the author when the ad is opened Carr. Only eight percent of bloggers report receiving actual income from their blogs, and only about half of this population uses advertisements for revenue. One reason for this is audience fragmentation. As audiences divide, traditional advertising becomes less effective.
The highly desired year old demographic is becoming harder to reach with traditional media, but easier to reach through blogs eMarketer.
Blogs are effective tools for advertisers because they generate word of mouth advertising. Many times, this can be more effective than traditional advertising. When compared to other forms of online advertising, blogs are more credible. Because blogs are updated more often than static Web pages, they are shown higher on a search engine list.
This means more people are likely to see the blog and the advertisement. One example of company that has recently implemented blogs as part of their advertising campaign is Ford.
The idea of the campaign is to draw a younger, more technologically savvy consumer who would not be as receptive to traditional media to the brand Kee. According to Andy Beal, a highly respected Internet marketing consultant, brand managers can use blogs to basically flood consumers with their brand.
Brand managers can take advantage of blogs by having people write about a brand and utilizing search engine optimization. This will allow the product or service to rank highly and numerously on consumers search results page.
This creates brand awareness and, ultimately, the brand itself online. Beal also points out that blogs can a very important tool in reputation management; they can contain positive remarks or can be used to correct any misinformation.
Web Sponsorships Today, sponsored events generate more total dollars than all media advertising combined Harvey Sponsorships were the original form of advertising on radio and television, and it is no wonder they have moved to the Internet.
The relationship between the sponsor and the viewer is strengthened through the interactivity of the Web site Chaffey.
Sponsorships on the Internet are a major form of advertising used by many Web sites. They are one of the fastest growing forms of advertising on the Internet, and sponsorship revenues are expanding faster than banner revenues Harvey Because there was a general lack of awareness, confidence and overall understanding of the use of interactive sponsorships, the Interactive Advertising Bureau established guidelines for rich media ad formats in There was a 6.
As opposed to buying the traditional second spot on Television, many brands are turning toward different formats to get their brand noticed. They are creating new ways to get FedEx incorporated in the programming. One online research study looked at the psychological effects of sponsorship congruity on e-newspapers and found that sponsorship congruity had a linear effect on sponsor evaluations.
Therefore, if the sponsor and the content of the article were congruent, the sponsor had higher evaluations, and if there was low congruity, the sponsor had lower evaluations. In some cases, this can have a negative effect.
For example, on some news Web sites, it is hard to distinguish between the article and the sponsor, leading to skepticism about the credibility of the news article and the motives of the sponsor. Overall, the study found that context type is a very important factor for sponsorships in order to increase brand awareness, brand preference and purchase intent for the product Rogers In , Disney offered online sponsorship opportunities to advertisers for the first time in the United Kingdom and across Europe.
According to Alex Baillie, commercial director at Walt Disney Internet Group, Disney decided to offer online sponsorships because of the success they have had in the United States. Among the sites offered was the official film site for High School Musical 3: Webster's Third New International Dictionary first acknowledged the advertorial in , and since then they have been blurring the line between content and paid promotion Advertorial.
This medium has unique characteristics and benefits for advertisers and consumers, but some publishers snub advertorials for ethical reasons: Even so, consumers are times more likely to read an advertorial than an advertisement, which may be why it is growing in popularity, especially in mainstream media Internet publications Benefits Revisited In the Digital Age, Internet advertisers use advertorials to enhance the credibility of their brand promotion and message.
Advertorials are especially useful for message strategies that focus on the benefits a product can provide a consumer. Advertisers can capitalize on the additional copy space, typically an entire page, and give consumers a lengthier, compelling selling message that results in "a more informed customer who's more committed to taking action.
Advertisers must realize the unique challenges of this medium. Unethical advertorials, especially involving the pharmaceutical industry, have resulted in consumer backlash and questions of legality.
Drug marketing company Healthology paid journalists to make webcasts endorsing their drugs on the Web sites of large newspapers like Los Angeles Times and New York Times. The company came under scrutiny because journalists never revealed the webcasts as paid Healthology promotional videos News Sites Run Unmarked Unfortunately for consumers, no law states that advertorials must provide a disclaimer that they are actually an advertisement or promotional feature.
Therefore, it is up to the ethical judgment of advertisers to clearly distinguish promotion from content Advertorial Basics National Geographic has successfully and ethically adopted the advertorial. However, it clearly distinguishes paid spots so readers understand the origin of the article National Geographic Overall, the advertorial can be used effectively for a successful campaign if advertisers follow a general guideline: Advertorials are recommended for campaigns with the main goal of a more informed consumer on product benefits and features.
Interstitials Interstitial is a formal name given to Internet ads opened with or in place of designated browsers that confront the viewer head on. One of the earliest forms of Internet advertising, the interstitial, arrived in the late s and has since evolved into multiple variations. Despite these attempts at growth, the ads have failed to generate any significant headway. Since , interstitials have yet to account for more than five percent of the revenue created by Internet advertising each year Schumann As new formats of digital media reach the Web, the minimal effectiveness has made them an unappealing target for current and future expenditures.
So ineffective, that their use is in serious decline, and many Internet advertising bureaus no longer include interstitials as a category Schumann What started as pop-ups, the interstitial category has since expanded with new display possibilities. Pop-ups were originally created to provide information or assistance to the Internet user without interfering with their original content. It was not long until advertisers took advantage of this new opportunity.
This lead to the creation of pop-unders, a similar window that appears beneath the browser and remains unseen until the window is closed. These were slightly more effective as they were less intrusive and made it hard to decipher which site it came from. Pop-overs soon followed; like pop-ups, but remained attached to the active window, these are known as floating ads or hover ads. Snap backs and pop-overs are different than earlier forms of interstitials as they are applied to a semi-transparent layer that rests on top of the original window Wertime Although interstitials account for only a small portion of ad expenditures, they are one of the most controversial forms of Internet advertising.
Interstitials are perceived to be intrusive because they put audiences in a forced exposure mode Schumann Before many browsers and security software started blocking forms of pop-ups, interstitials were everywhere on the Internet. Consumers searching for specific information and resources are more likely to react negatively, while more lackadaisical surfers are likely to take the time to react to entertaining, informative or fitting material Schumann This would suggest using interstitials in more relaxed settings that cater to surfers who freely comb over different content.
Sites like YouTube. If you were able to reach these users with an ad that relates to their viewing interest, you could optimize interstitial spending. The use of interstitials has become a dying practice over the past five years. With advanced browsers and limited user acknowledgment, there is a small window for pop-up success. The last several years has presented Internet users with more novel interstitials.
Web publishers have tried to create new approaches. Web video site Dailymotion. These bubbles would appear while surfers browsed content and user-generated videos Sergio. The inability for interstitials to effectively reach consumers has made their demise inevitable. Toolbars A toolbar is a row of icons on a computer screen that activate a desired function when clicked. This is where toolbar advertising came about. When the first toolbar was introduced in by the Xerox Alto computer, advertising was not what their intention was.
Early forms of toolbars allowed the user to modify and customize the icons for their specific needs. It was not until , when the Internet became a reality and had over five million users, that advertisers and marketing began to realize the effect the Internet would have on the industry Advertising Timeline.
Currently, toolbars are used to simplify access to content. For example, Conduit network worldwide provides solutions for web publishers to increase site traffic. They currently have over , publishers including major brands such as Fox News, Lufthansa, Major League Baseball, Greenpeace, TechCrunch, Softonic, and many other organizations in over countries worldwide.
Subscribers can add the specific toolbar as simple as adding an RSS feed Conduit. The users of this medium vary on the toolbar they choose. For example, a baseball enthusiast would choose the Major League Baseball toolbar. This user would most likely be a male. Ultimately the demographics of the user depend on the toolbar they choose. The purpose of the toolbar is to turn the content on the Internet into a tangible desktop tool. The most successful application was the creation of the WeatherBug.
The WeatherBug icon was viewed by millions and gave weather information to millions of users. The success was quickly noticed by advertisers and competitors such as Weather.
Cydoor Desktop Media is a company that has ads running on the toolbar, which are highly targeted to an audience. Companies like this are focusing on the power of in-application promotion. Because Cydoor is serving about 10 million impressions a month to 75 million users through desktop applications, publishers should take advantage of this profitable tool Turn Content into Tools.
Due to the originality of ads, companies such as Cydoor Desktop Media are constantly thought of as spyware even though the information given from the user is voluntary. This causes a problem with many users because many users have spyware software. Screensavers According to the Merriam Webster Dictionary, a screensaver is a computer program that displays various images on the screen that is on but not in use Merriam-Webster.
As a medium of advertising, it is just being discovered and has a high growth potential if used correctly. Until very recently it was not even thought of as a possible advertising medium. They were made to simply prevent burn in, which occurs when an image is stationary on the screen for an extended period of time. This was the start of a genre, which took off soon after this.
There exists an opportunity to turn a screensaver into a complex marketing and advertising channel. People who elect to receive the screensaver must input their interests based on topic and then have the relevant information streamed to their screensavers.
This would allow for mass customization, which makes this medium more dynamic than any traditional medium ever could.
If the screensaver contains sections for user ratings and feedback, not only can the best-rated commercials be rotated more often, but the advertisers can also gain valuable insight on the reactions of their desired demographics. This would deliver non-intrusive, relevant advertising that also provides users a channel for direct feedback. Using screensavers as an advertising medium may in turn result in more receptive consumers and in turn, more sales NCST.
Netpresenter, a company from the Netherlands, created a program named Netpresenter 1. This company has been a frontrunner in digital advertising since then. Today, more than one million employees use NetPresenter solutions. However, none of these were as important as Sony, which is now running NetPresenter on over 5, PCs, as well as on plasma screens in public areas in over 25 locations across Europe NetPresenter.
Other companies such as Oxigen, Anark Digital Services and Think are developing screensavers to reach consumers History of Screensavers. A Think client, United Blood Services, has also set up a screensaver ad. Over a long period of time, the display time of a screensaver is much cheaper than using TV and radio.
This allows the company to reach more people for less money. The demographic that will be first to use screensaver ads are college students. This form of advertisement will probably begin to be widely used in universities all over the nation.
About 4. This creates large opportunities for advertisers. Many screensaver sites offer free screensavers, in which they attach adware to them in order to advertise. One major drawback with screensavers is that people can attach spyware and viruses to the download, which may harm your computer.
Overall, screensavers allow advertisers to customize their messages according to their target audience. Bookmarks By definition, a bookmark is a menu entry or icon on a computer that is usually created by the user and that serves as a shortcut to a previously viewed location. This medium for advertising is relatively new and has not yet been entirely tapped into.
A bookmark on a computer has the ability to develop word of mouth. For example, if a consumer views a great advertisement on a certain website; then they can show others the advertisement quickly by clicking the bookmark in order to directly get to that certain advertisement. These devices are allowing users to download certain applications on phones which serve as a bookmark to a certain website.
On the iPhone, they have applications for YouTube and Facebook. These bookmarks send the user to the site in order to access the information quicker than it would be without the bookmark. This medium has potential to grow into a possible full-fledged advertising campaign, but more research into this medium is needed in order to expand on it. The ever-changing appearance and abilities of the online world make it an exciting new platform for advertising.
Its accessibility and overwhelming practicality is what makes it an attractive tool for advertisers.
As technology rapidly advances, these advertisers scramble to adapt their message to the newest features. This report reveals the intimidating progression of cyberspace as elements that were groundbreaking a decade ago are considered irrelevant today. The simplicity of pop-ups and other interstitials are no longer met with attentive eyes. The unavoidable waning of this medium is a testament to the pace of Internet culture. As advanced browsers provide more pop-up blockers with each version, advertisers are hesitant to invest in interstitials with newer and more promising ad forms on the horizon.
Like sponsored events, web sponsorships involve a company paying money to advertise on a Web site. Screensavers as an advertising medium have been around for over 10 years. It has allowed for customization, which has enabled users to view material relevant to their preferences. In recent years, there has been a decline in screensaver downloads.
In the future, advertising on screensavers will begin to diminish on an individual scale but can still be useful to place on plasma televisions in public places.
Advertorials are advertisements that simulate editorial content, represent an emerging Internet advertising medium that offers advertisers and consumers unique benefits. Ultimately, incorporating advertorials leads to a higher level of perceived credibility and a more informed, action-taking consumer.
Bookmarks have increased in popularity and have opened many opportunities for companies to advertise. The bookmark craze on mobile phones has a strong foundation to grow in the future, even to the point that one day a campaign may be centered on the PDA bookmarks.
Relying on advertisements to educate themselves on products and services is becoming less attractive because of its deceptive nature. They believe that advertisements are embellished to make positive associations with the product or service advertised.
This voice can be used to make a convincing advice prior to making a purchase decision. Web sponsorships allow for added brand value because they build on the existing relationship between the consumer and the web site; therefore, more and more advertisers are using web sponsorships. The icons on a toolbar provide quick and convenient access to commonly-performed operations. Toolbars are a huge draw for advertisers who see the potential of having their product name or message appear as a permanent fixture on PCs and desktops.
The convenience of this feature provides potential for this medium to grow. With the decline of interstitials and screensavers, there is the rise in blogs, web sponsorships, and toolbars. Although difficult, this feat can reap great rewards. The possibilities of the Internet allow users to access information, generate word- of-mouth, and create immediate sales. See Appendix G. Sunkist soda comes in a variety of flavors, including but not limited to: Sunkist belongs in the soft drink industry, which includes carbonated soft drinks, bottled water, sports drinks, energy drinks, and fruit beverages.
Though bottling companies have been experiencing declining revenues throughout recent years; Dr. The primary market we have chosen to focus our marketing efforts towards is the younger demographic, men and women ages They are tech-savvy and opinions are heavily weighted with parents when making purchasing decisions regarding technology and electronics.
Our secondary target market is men and women ages 35 , specifically past Sunkist consumers. This demographic includes Baby Boomers and Generation X and has a high discretionary income. Since digital media has been highly accepted and adopted into our environment, it is only appropriate that our integrated marketing communications plan consisted of digital media.
Our integrated marketing communications plan for the primary target, men and women ages , is: In respect to our secondary market, men and women ages 55, are: Through our integrated marketing communications plan, we hope to generate brand awareness within our primary market and relate a feeling of nostalgia to get the secondary market to drink the orange soda once again. Carbonated soft drinks make up the majority of this industry, comprising Though revenue is considerably abundant, the soft drink industry has been experiencing a year-by-year decrease in revenue since A current trend within the industry is kicking the habit of drinking high-sugar sodas and choosing a healthier alternative such as diet drinks and waters instead.
This can be attributed to a larger, national trend of people trying to live healthier lifestyles. Advertising agencies benefited from the new business of producing radio programs, earning commissions on airtime costs and talent fees during an otherwise shrinking economy.
The sponsor system seemed to serve the needs of the developing commercial broadcasting industry; many believed that it would last. In print media, publishers and editors provided editorial material; advertising agencies brokered the sales of interstitial blank pages to advertisers seeking the attention of readers of that editorial material. Though they wrote advertising copy that filled those blank pages, agencies did not charge advertisers for copywriting; instead, they charged a commission on the sale of space by publishers to advertisers.
Complaints about hard sell strategies had followed. Although the United Kingdom had instituted a centralized, tax funded system of programming, the political climate in the United States was hostile to tax-supported programming, where it was perceived as a merger of state power and media as well as a violation of the First Amendment.
Network control would prevent advertiser abuse of airtime and provide editorial oversight as in print media. However, NBC executives regarded advertiser control of rented airtime as too well established to change. Development of present sponsored program has gone too far. This frustrated the agencies trying to prevent offensive advertisers from driving away audiences for other sponsors. He hoped that such centralized control would reduce the potential for audience alienation.
The problem of schedule control Sponsorship allowed advertisers to fill their rented airtime any way they and their agencies wished without regard to the programming before or after. The two national networks differed in how to adjudicate access to airtime that became available.
CBS gave preference to higher paying advertisers while NBC gave preference to advertisers with seniority. Both network time sales policies, however, prevented the building of audience flow, the movement of audience attention from one program to the next. A large portion of an audience tuned in to an 8: In a letter to NBC executives, adman William Benton suggested cross promotion between programs in order to build audience flow. The problem of balancing entertainment and advertising As the responsibility for program selection fell largely on the advertising agencies, they had to balance the interests of audiences with those of the advertisers.
The question of entertainment versus advertising is fast reaching the state of a perennial bugaboo in connection with commercial radio broadcasts. Showmen, actors, script and continuity writers insist on cutting the selling talk to the minimum. On the horns of this dilemma the radio advertising men balance themselves as best they can. The radio performer must approve of the product she promotes: There must be complete esprit de corps between sponsor, agency and artist. However, some questioned the usefulness of such an association.
These and other problems with managing the demands of show business fickle audiences, constant need for new material, talent management, high failure rate drove adman Jack Boyle to suggest in —as had Benton in , and An Advertising Executive in — that the stress of developing programs be removed from sponsors and agencies and shifted to broadcasters.
The problem of sponsor meddling As early as , admen complained that radio sponsors would ignore their professional advice, meddle in issues of which they knew little, and stubbornly insist on having their way. In the novel, Vic Norman joins an ad agency to oversee the radio programming of the Beautee soap account.
Evans, like Hill, demands total fealty from his agency; he intimidates underlings by performing such stunts as spitting on a conference table. He lectures Norman on advertising strategy: His refusal to cater to Evans redeems Norman. Downloaded by [Cynthia Meyers] at Take back your networks. Take back your stations and do your own programming without benefit of what any sponsor thinks any program should be. It works with newspapers and magazines— why not with radio?
If advertisers sometimes butt into the jobs of the [radio] writers and directors, so, too, does the money on Broadway and in Hollywood dictate to the creative echelon. But advertising men are attacked for doing what bankers and other angels [Broadway investors] do.
Other admen, however, believed that radio advertising needed improvement. Adman and former congressman Bruce Barton of BBDO declared in an interoffice memo that This formula by which the listener is treated as a moron was unquestionably effective when it was evolved by Mr. However, sponsor control of programming limited efforts at reform. Weaver observed the problems of sponsorship from the perspectives of agency, talent, and sponsor. NBC and CBS were finally interested in wresting program control from advertisers, but were still reluctant to take on production costs.
Unlike other broadcast reformers, Weaver viewed television mainly as an advertising medium, a medium that could outperform radio, but only if the flaws of radio, such as sponsor program control, were corrected.
In a speech to NBC executives, Weaver noted: Weaver pushed for network-owned programs, such as Today and Tonight, that could attract audiences to network-produced content and sell interstitial minutes to multiple advertisers.
Nonetheless, some admen resisted the shift away from single sponsorship. Network program ownership prevented the removal of a successful program to a competing network. What may be less obvious is why some members of the advertising industry welcomed the transition to television as an opportunity for changing the broadcasting business model of sponsor program control. A few advertisers dominated the schedule, and audiences were limited to the programming those advertisers sponsored.
Advertising agencies faced new competitors for program production. Program packagers such as Goodson—Todman and Barry—Enright could reap economies of scale by producing several programs in the same genre or format, such as quiz shows.
Packagers could get by with a much smaller staff than an advertising agency, which had to serve multiple clients and their various advertising needs. Advertising agencies had no ownership or copyright claims to any programs, but packagers could benefit from shares in program ownership. By the mids, Hollywood film studios also entered filmed series production, providing high-quality, recorded, recyclable programs; by the s, film studios dominated television program production.
Corporate image advertisers—the sponsors of anthology dramas like The U. Steel Hour—may have felt harmed ceding their programming prerogatives to networks, since for such institutional advertisers, product sales were a secondary consideration. However, most advertisers, especially packaged goods advertisers, benefited from being relieved of the burden and expense of programming. They no longer had to link a product to one specific program or star—a tight association that inspired much of the fear behind the broadcast blacklisting phenomenon in the early s.
Advertisers enjoyed greater mobility and flexibility in reaching audiences. They were free to follow targeted audiences to the programs that audiences preferred by buying single minutes of time in those programs.
Network program control allowed networks to charge higher market rates for interstitial minutes. Individual advertisers found it cheaper to pay for one interstitial minute at a high price per minute than 30—60 minutes of airtime at a lower Downloaded by [Cynthia Meyers] at Advertising agencies, of course, expanded into the production of television commercials and the buying of television time, a more profitable business for them than full program production.
Advertising agencies likewise reconsidered the assumptions underlying many of their radio advertising strategies. Detachable advertisements were also mobile: Consequently, television advertisements no longer depended on associations with a particular program or star, freeing up advertising agencies to develop new advertising strategies.
Many admen understood the drawbacks of sponsorship: Although structural factors, such as the economics of television program production, impaired the viability of the sponsorship model once the radio network era ended, anti- sponsorship efforts within the advertising industry were also crucial in ending it. Former radio admen such as Weaver made concerted efforts to reform the business model of broadcasting—not to transform it into a non-commercial medium but to reform it by centralizing program control in the networks.
Networks, believed Downloaded by [Cynthia Meyers] at This study of the anti-sponsorship discourse within the advertising industry during the radio network era of US broadcasting gives us a fuller understanding of the debates that once raged over commercial broadcasting.
This debate over sponsorship occurred not among critics of radio commercialism but within the advertising industry and, just as important, among those admen who had built careers in commercial radio. And, whatever their individual responsibility for its altered form, US commercial television, once sponsorship declined, did develop into the largest and most effective advertising medium of the twentieth century. British public service radio and commercial competition, —45 Eastleigh, UK, Street points out that the UK policy of tax-supported non-commercial programming monopolized by the BBC was strongly contested by rival populist commercial broadcasters in the s and s.
Walter Thompson , men dominated the field. Jennifer Holt and Alisa Perren eds.