Local Broadcast vs. the Interconnects
Target your best prospects, maximize reach, keep your message out there and protect your most effective ad dollars. How? Through television advertising. These advertising strategies are important at any time, but when the economy and business climate are uncertain they become essential for advertisers.

If Television is the right medicine in a troubled ad economy, Broadcast Television is the right prescription. A look at Broadcast Television vs. Cable Interconnects, comparing everything from delivery to cost efficiency to accountability, illustrates why.

TVB has developed a number of Comparative Values presentations for numerous markets. We believe that each presentation is objective, based on “level playing field” data and focused on advertiser needs. Nielsen Media Research provides the data; Jon Mandel, Mediacom's Co-CEO, calls the presentations “phenomenal.” See for yourself.

The following excerpts feature illustrations of the dramatic differences between local broadcast and local cable TV. Each complete market presentation is readily available to advertisers and agencies. Scroll to the bottom of this document to contact TVB to arrange either an in-person or web cast presentation of “Comparative Values in Local Television.”

Television remains the most powerful communication tool available to advertisers today.

Click here for more on TVB's Media Comparisons Study.

Local TV maximizes the targeting potential of the medium…but not all Local TV is the same!

The proven, unmatched power of Television has never been more important to advertisers, and geographically targeted local TV maximizes that potential. It is not only critical to use and manage the medium with great care but to also be aware: not all Television is the same. Subscriber growth for Hard-wired Cable is over, and DBS continues to grow rapidly. This is a problem for advertisers because local cable commercials are not seen in ADS homes. DBS subscribers receive the national ads from the satellite; there are no locally inserted commercials.

For more on ADS, be sure to check out “Why are Alternate Delivery Systems (ADS) an Issue for Advertisers?” Click here

When compared with Local Cable, Local Broadcast still dominates.

Local cable ratings are equal to local broadcast ratings, or so the interconnects would like you to believe. Before you factor in ADS systems, non-insertable networks and missed cable homes, the numbers do look compatible. After the needed adjustments, local cable’s slice of the pie gets a lot smaller. In the market of Denver, for example, the Feb’08 m-su 6a-2a Total Adult 25-54 ratings for local broadcast was 10.2, while local cable was 8.5.

Local Cable ratings are splintered and unstable, while Local Broadcast remains as the viewers’ choice.

In Pittsburgh, for example, 195 of the Top 200 programs in Feb’08 were on local broadcast, while only 8 on local cable. In addition, 87% of all ad-supported Cable programs achieved less than a 1.0 HH Rating in Feb'08.

Click here for a look at the national top 100 programs.

Local Cable CPMs are higher than Broadcast

A basic premise of Cable sellers is that adding low-rated Cable to high-rated Broadcast builds reach more efficiently because it lowers the CPM. That's true – for Network TV, but it's not true for Local, a critically important distinction. Cable Network CPM's are substantially lower than Broadcast, but Local CPP's and CPM's, when derived from accurate numbers, are higher than Broadcast.

Click here for more on the “Cable Rate Estimator.”

How to use Local Cable

There are appropriate reasons to purchase Local Cable, and with diligent stewardship (actual ratings, competitive pricing, schedule verification and posting to ratings) local cable can be an effective television vehicle.

Click here to arrange a live or web cast presentation of
      “Comparative Values in Local Television.”

 




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