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Ten benefits to newspaper webinar
1. The power and value of using
newspaper in your marketing mix
2. Areas covered
• Our economy: who is shopping and who is not
• The continuing challenge to reach your ideal
buyers and avoid audience fragmentation
• Common challenges and myths about the print
market
• Assessing the audience strength that lies within
the print market
• 10 Reasons why some of the biggest companies
in America are spending MORE on print – not
less
• Strategies for you to consider in your marketing
mix
• Conclusion Q & A
2
3. Who is shopping?
• Our economic recovery has
largely left out the have-nots
• Households that earn less than
$50,000 have been extremely
downbeat
• Affluent households have been
an important element in getting
the economy back on its feet
• Just 18% of households earn
more than $100,000 a year, but
account for one-third of all
household spending
Source: June, 2011: USA Today, Recovery helps affluent families while cash-strapped suffer 3
http://www.usatoday.com/money/economy/2011-06-26-consumer-confidence_n.htm
4. It’s more important now than ever
before that YOU REACH your
highly desired consumers..
But, there are challenges with that
4
5. The commercial noise
today is almost deafening
• In the 1970s, consumers were
exposed to about 500 ads per
day
• Today, the average consumer
receives up to 30,000
commercial messages each
day
• And since consumers have a lot
more media options, your
audience is much harder to
reach
• This is called fragmentation,
and it’s affecting every business
in the world
Source: QRS: “Don’t Interrupt Your Consumer; Engage Them.” 2011. http://www.qsrmagazine.com/outside-
insights/don-t-interrupt-your-consumer-engage-them
The Washington Post, "Skip Past the Ads, But You're Still Being Sold." 2009; http://www.washingtonpost.com/wp-
dyn/content/article/2009/08/14/AR2009081401629.html 5
6. The number of media vehicles
has increased dramatically
Consumer magazines are up 52% since
1998
The number of web sites has
skyrocketed by 6,381% since 1997
75% more AM/FM radio stations exist
than in 1990
New online radio stations go live every
minute
There are 300% more television stations
than in 1999
Source: Arbitron Infin http://www.fcc.gov/mb/audio/totals/bt050930.html; The Influential's ; Keller & Berry; /sizeofweb.html;
http://www.boutell.com/newfaq/misc; http://news.bbc.co.uk/2/hi/science/nature/1738496.stm; Source: American Society of
Magazine Editors. “Number of Magazine Titles: A Magazine for Everyone” (database accessed 5/24/2010)
http://www.magazine.org/ASME/EDITORIAL_TRENDS/1093.aspx, ite Dial 2010: Digital Platforms and the Future of Radio,
http://www.edisonresearch.com/infinite_dial_presentation_2010_revb.pdf
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7. Common Myths about Print Advertising
Myth: Reality:
1) Of the roughly 1,400
1) Newspapers are American dailies, 12 have
dying gone out of business in the
past three years. That’s well
under 1%
2) Nobody reads 2) 71% of adults, or 165.6
million people, read a
anymore newspaper in print or
online in the past week
3) Everyone is going 3) Businesses who have
taken the plunge into
digital digital only, have not seen
the desired results.
Source: Scarborough Research: USA+, Release 2, 210, 12 months; Newspaper Myths,
http://www.iowanewspaperconnection.com/newspaper-myths/; Advertising Age, March 28, 2011:
http://adage.com/article/news/century-21-back-big-tv-buys-2012-super-bowl-spot/149615/
7
9. #1: Super Bowl Sized Audience
• The 2011 Super Bowl
had a record setting 111
million viewer audience
• On average, 152
million adults read
newspapers weekly
• 105 million adults read
the newspaper on
Sunday
• Reality? You can reach
a Super Bowl sized
audience, every
Sunday!
Source: http://www.mediapost.com/publications/?fa=Articles.showArticle&art_aid=144456&nid=123511, Scarborough
Research: USA+, Release 2, 210, 12 months
9
10. #2: Core Audience Strength
Middle/high income coverage
remains STRONG:
• 71.7% of individuals with a
household income of $100-
$250K read the newspaper
this past week
• 52.6% read the Sunday
newspaper
• 68.3% of individuals with a
household income of $50-
$99K read the newspaper
this past week
• 47.9% read the newspaper
Sunday
Source: Scarborough Research: USA+, Release 2, 210, 12 months
10
11. #3: Trusted Source for News/Information
• Newspapers and newspaper
websites rank #1 as a trusted,
credible source for local news
and information
• In a December 2010 study by
Selzer & Co., newspapers
scored higher than all other
media with:
– Connecting people to the
community
– Connecting people to
businesses
– Knowing what stories are most
relevant to the people in their
community
– Providing the most complete
news source for their
community
Source: Newspapers still most trusted 04/2011; http://www.tnp.sg/content/newspapers-still-most-trusted.
Newspaper Websites Reach Record Audiences 02/2011; http://townnewz.com/blog/newspaper-websites-reach-
record-audiences/14; Newspaper Myths: http://www.iowanewspaperconnection.com/newspaper-myths/
11
12. #4: Proven Web Synergy/Halo Effect
7-in-10 (73%)
newspaper readers
visited a website, used
online search, or
made an online
purchase following
up on advertising
they saw in the
newspaper
Source: How America Shops & Spends 2011 Prepared by Frank N. Magid Associates and NAA
12
13. #5: Weekly Reader Involvement
65.1% of all adults
read a printed
newspaper within the
past seven days
25% of adults visited
a newspaper website
within the past seven
days
Source: How America Shops & Spends 2011 Prepared by Frank N. Magid Associates and NAA
13
14. #6: Stickiness/Time Spent with Medium
• Time spent reading Sunday
print paper:
– Over 60 minutes: 45%
– 30 to 60 minutes: 32%
• Time spent reading daily
print paper:
– Over 30 minutes: 45%
– 16 to 30 minutes: 34%
Source: Newspaper Association of America, http://www.naa.org/docs/Research/newspaper-reader-engagement-06.pdf
14
15. #7: Readers Read Ads
• 84% of adult
newspaper readers
within the past month
look for both print ads
(ROP) and preprints
• 63% of these readers
look at ads while paging
through the paper
• 21% of these readers
planning to shop
actively search ads
within the newspaper
Source: How America Shops & Spends 2011 Prepared by Frank N. Magid Associates and NAA
15
16. #8: Readers Take Action
• 8-in-10 (79%) adults
respond to
newspaper
advertising and have
taken some type of
action as a result of
seeing printed ads
• 48% made a
purchase as a direct
result of newspaper
advertising
Source: How America Shops & Spends 2011 Prepared by Frank N. Magid Associates and NAA 16
17. #9: Proven Link to Retail
• Newspapers continue to
40%
lead as the destination for
35%
checking ads on items to 30%
buy 25%
• 35% of adults actively 20%
choose to read the 15%
10%
newspaper and purposefully
5%
check for advertisements 0%
and promotional messages
• 28% choose the Internet
• 9% choose television
Source: How America Shops & Spends 2011 Prepared by Frank N. Magid Associates and NAA
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18. #10: New Customer Acquisition
• Recent studies prove
ROP ads/coupons are
effective in generating
trials, getting people to
trade up/switch brands
• 69% of adults use
coupons and
newspapers are their
preferred coupon source
• $75,000 - $99,999
income group leads all
others in coupon usage
Source: Coupon Impact on Shopping Behavior Study Conducted by M/A/R/C Research, 12/2010; How America Shops & 18
Spends 2011 Prepared by Frank N. Magid Associates and NAA
19. The smartest and most powerful
companies are still using
Newspaper to acquire Affluent
attention…
20. American Express Success Study
• Newspaper programs used in past for AMEX
proved ineffective at producing desired results
and they needed a change – They called
Mediaspace
• We implemented a new approach using
newspapers and delivered more highly
visible, guaranteed ad placements – where their
clients were reading
• We also saved them $300,000/drop
• A year later, they raised their newspaper spend by
1,000%; within 18 months, over 1,500% - and are
now well into an 8 figure spend
• Clearly, this change in strategy is working
20
21. Jessica Birk says it best…
“As the leader in accountable media
solutions, ID Media looks for
partners like Mediaspace Solutions
that can save our clients like
American Express over 85% off on
their media while finding ways to
provide added value, exceptional
positioning, and improved ROI”
Jessica Birk
Senior Vice President of ID Media
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22. U.S. Census Success Study
• This critically important newspaper plan in
2010 required both deep analysis and deep
discounts to achieve their required results
• They needed to reach everybody – in large
and small markets, with a tight budget
• Plan recommendations involved both large
and small market newspapers, often with
comprehensive ZIP analysis
• Newspapers contributed to their overall
success – 72% response vs. 64% in
previous campaign
• Newspapers proved to STILL be their key
vehicle for success!
22
23. Takeda Success Study
• Takeda’s largest competitor
was about to receive an FDA
warning announcement which
was sure to make big news
• Actos wanted its brand’s
safety message in key
markets ASAP as consumers
read headlines/looked to
switch Rx
• Within 48 hours of getting go-
ahead, a 150+ newspaper
plan was fully executed with
low CPMs/100% FDA
compliance
23
24. Summary of Findings:
• Today, its harder than ever to reach your ideal buyer
• The best companies are laser targeting their
audience, using proven vehicles like newspapers to
get their attention
• If you are targeting the affluent and semi affluent
audience, print gives you the best of all worlds
• Newspapers/Magazines give you specific core
audience attention from your target audience
• Print is clearly providing a “Halo” effect with your
digital efforts
• Print is STILL one of the most proven vehicles for
direct response/branding campaigns
24
25. Who is Mediaspace?
• Mediaspace Solutions is a privately-held
company headquartered in Norwalk, CT
• We also have offices located nationwide
in Atlanta, Chicago, Los
Angeles, Minneapolis, New York and
New England
• With expert service and custom-built
technology systems, we help national
and regional advertisers maximize their
print and interactive advertising budgets
• We have an experienced and
sophisticated management team
focused on serving you and
negotiating the best possible rates and
placements
25
26. We help companies
keep their eye on the ball
• 75% of companies who outsource important
functions to other companies “significantly
outperform their peers on three key business
metrics:”
– Reduced operational expenses
– Increased profits
– MANY fewer headaches and frustrations
• No one knows your business better than you.
But by focusing on your core strengths and
your customers, you have time and resources
to stay on top of your customers’ needs
Source: Business impact of outsourcing—a fact-based analysis, IBM Global Services, 2006 [ABA2 100]
26
27. Why wouldn’t you rely on experts?
• A good advertising
solutions partner already
knows the ropes, the
organizations and the
personalities
• Is it really worth the
training time, personnel
and resources to do all
this yourself?
27
28. Let our Total Solutions Team
work for your success
• When clients work with us they are
assigned an entire Total Solutions
Team
– Account development
– Ad operations
– Finance
• You will receive regular and clear
reports on your advertising activity
• You can call anyone on your team
directly for any answers you need
• We provide customized solutions for
YOUR business
28
Note to presenter: 20,000 messages per day as of August 16, 2009 Istock 3688476 and 11534101Nothing about the 1970’s in this article: “The market research firm Yankelovich estimates that the average American living in a city 30 years ago saw up to 2,000 ad messages a day. Today, estimates range from 5,000 to 20,000 ad impressions a day. To hone in on a more accurate number, one would have to determine what exactly constitutes an ad in today's ambiguous media environment. Print, radio, TV and online pop-up and banner ads are easy to tally. But what about Internet search results, recommendations on Amazon, subtle product placements in film, music and TV, and, of course, spam? “
Note to presenter: There are 23,329 licensed television stations in the United States.Source: FCC, Media Bureau, http://www.fcc.gov/mb/audio/tvq.htmlFrom 1997 to 2006 the number of magazine readers increased from 171.4 million to 184.1 million Source: 10-Year Magazine Readership Trend 1997-2006, Mediamark Research, Inc.In 1990 there were 10819 radio stations in the US. Today there are 14420.Source: FCC Radio Licenses, accessed August 23, 2010, www.fcc.govhttp://website101.com/define-ecommerce-web-terms-definitionsA January 2010 survey showed 206,741,990 sites active online from 0 in 1995, Source: Website 101, accessed August 23, 2010, Note to presenter: “Today” for magazines is as of April 2010, for web sites is as of February 2007, radio is as of December 2009, and TV it is September 2005.IT DOES NOT INCLUDE Internet RADIO STATIONS.
Century 21 went all digital in 2009, with this change saw little to no ROI, ultimately deciding to “go back into the consumer space with all media”-Beverly Thorne, CMO, Century 21
Kevin, add numbers to this… ie: #1: A Super Bowl sized audience ,,,, lets make sure that we have the accurate number of points… whether is 7 or 8 or 9
Halo Effect Example while presenting: Apple?
Super Bowl Sized Audience – From this data and as we said before… you can reach a super bowl sized audience every who is actively searching for ads.
Note to MSS: Please provide the figures you want here. Scott Miraldi- dimensionalize bullet point three, remove percentages and look at another number (total dollars etc.)
Note to MSS: Please provide the figures you want here. Scott Miraldi- dimensionalize bullet point three, remove percentages and look at another number (total dollars etc.)
Note to MSS: We looked into this and found some stories, but we didn’t find anything that was easily recognizable or had a big wow without a lot of explanation that would drag this down. We think the better way to go would be to put one of your own success stories about this in here. DK ; terrific panel. Dk – see if can find specific companiesAre there a couple of example companies that we can refer to and drop into the script?
MSS says they will consider what logos to use and do themselves.-> CW Suggestion: Please add Fifth Third Bank or TIAA-CREF (as banking/finance is a growth category for MSS and both are among our larger accounts at MSS); on this list, I would replace CIT with Fifth Third Bank (or TIAA-CREF). Bill Aiello- The Borders Books logo should be replaced – it’s been quite awhile since they have been relevant or ran through us. Windstream is a great example of our ability to execute preprints (along with ROP) in C and D markets. The strength of MSS data allows this client to buy newspapers above and beyond local dailies Randy – we need to make a bunch of changes to this logo page so we’ll do it on our end.