ComBase Member Sales Seminar

1
ComBase Member Sales Seminar

Cariboo Press, Kelowna, BC June 16, 2005 Elena
Dunn, ComBase
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Agenda

• Intro to ComBase Methodology, Specifications
• Why You Need Research, ROI
• How to use the data
• Readership Presentation Chart Examples
• How to Help Your Newspaper -- Advertising
• Main Competitors and How They Sell
• Media Strengths and Weaknesses
• Local Advertising Examples
• Other Opportunities from the Research
• Success Stories
• Whats Next for ComBase?

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• Methodology and Specifications

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Specifications

• Random telephone sample
• 10-minute telephone interview
• Unlike a poll, interviewing over at least 20
  weeks true average readership and to get our
  response rates
• Minimum 40 response rate in each market this
  is what makes the results reliable
• No respondent substitution
• Interviews balanced by day of week (for the
  dailies)
• Geography defined by Statscan
• Dailies measured using same methodology as
  NADbank
• Sufficient sample basic demo breaks

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Demographics English-Speaking Adults 18 Only

• Gender
• Age
• Family Status
• Education
• Employment Status
• Personal Income
• Occupation

• Mother Tongue
• Home Language
• Residence
• Dwelling Type
• Household Size
• In Household
• Household Income

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Print Media Measured

• All community newspapers
• Daily newspapers including nationals
• Alternative entertainment newspapers
• Farm publications
• Street papers
• Shoppers/coupon clippers, traders, pennysavers
• Ethnic and Aboriginal press
• Editions measured separately

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ComBase Print Media Definitions

• Average Issue Audience based on Read Last
  Issue model followed by PMB
• Five measurement periods
• If published daily Read Yesterdays Issue
• If more than 1/week Read in Past 2-3 days
• If weekly Read in Past week
• If bi-weekly Read in past two weeks
• If monthly Read in past month
• Weekend or weekend-like editions measured
  separately
• Cumes 4 issue and 5-day

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Media Questions

• Average Issue, Cumes
• Preferred community newspaper where more than one
  is read
• Newspaper ratings (scale 1-10)
• Amount read
• Radio stations listened to yesterday, most often
  (customized by market)
• Radio and Television hours (quintiles)

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Why Do ComBase and Why Do We Do It This Way?
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What Our Customers Said

• We were the only mass medium without a national
  study, therefore we werent on the radar
• 80 of advertising dollars are planned on
  computers in Toronto (CMDC Conference Apr. 10)
  we need to be in their computers
• We need objective readership research
• It has to be title-specific
• It has to be available through our planning
  software
• Study specs have to match those of other media
  databases
• It has to be a national study
• Study has to be independent of the industry
• Current proprietary studies are not used
• Main competitors for national dollars are radio
  and dailies

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Why you need the Research Total Ad Expenditures
10.8 Billion
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Whats the ROI?

• Community newspapers are 6th place in share of
  total ad dollars, last in National
• We are not keeping up with the growth in national
  ad spending, losing to radio and dailies
• 1 more National dollars means 53.7 million
  (camera-ready, no salesperson, higher margin)
• 1 more Local dollars means 32.5 million
• Growth in Main Street dollars, though local
  is disappearing, even in rural Canada

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How to Use the Data
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(No Transcript)
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Asterisks, Sample Size

• Minimum 75 interviews per newspaper
• Allows for overall readership , plus many 50/50
  splits
• means fewer than 40 interviews
• means fewer than 20 interviews
• Asterisks do not mean data is unusable, e.g. left
  handed Italians earning 100M per annum
• Most asterisks will go away once second wave is
  completed

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Competitive Markets

• Competitive newspapers always have different
  distribution areas (footprints)
• Therefore, cannot make claims vs. competitor
  unless geography is identical
• Your tables are based on your own area, but
  charts are based on common areas
• Agencies only plan on the same geography
• If your competitor is a daily, radio or TV, the
  market must be comparable to NADbank, BBM and
  Nielsen

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Factors Affecting Readership

• Method of distribution
• and strength of print competitors
• Size of market measured household penetration
  within that area
• Amount of overlap between markets
• Content (e.g. Shoppers vs newspapers with
  editorial products)
• Paid vs free is NOT a factor

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Kelowna (CA) Readership

• Geography is the Census Agglomeration (defined by
  Statscan)
• Same as NADbank and BBM
• Population 18 118,500
• 150 sample in Kelowna
• To be merged with second wave for a total of 300
  interviews

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Readership Overview(Kelowna, BC)

• Readership of community newspapers in Kelowna is
  higher than readership of daily newspapers
• 74 of adults report reading ANY community
  newspaper
• 37 of adults report reading ANY daily newspaper
• And 41 report reading ONLY community newspapers
  and NOT a daily newspaper

Source ComBase 2003 National Study Base
Population Kelowna CA (118,500)
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Newspaper Readership Overview(Kelowna, BC)

• Readership of The weekday or weekend Capital News
  is 65
• The weekday Capital News has 59 readership and
  the weekend edition has 49 readership
• Readership of The Westside Weekly is 21
• Readership of The Daily Courier weekday is 37
• Readership of The Okanagan (the weekend edition
  of the Daily Courier) is 15 on Saturday and 18
  on Sunday

Source ComBase 2003 National Study Base
Population Kelowna CA (118,500)
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Readers Per Copy(Kelowna, BC)

• Kelowna Capital News
• Circulation in Kelowna CA 37,184
• Total Readers 77,400
• Readers Per Copy 2.1
• The Kelowna Capital News averages 2.1 readers for
  every issue!

Source ComBase 2003 National Study Base
Population Kelowna CA (118,500), Circulation
based on distribution area measured in ComBase
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Demographics Overview

• Because of their high reach, community
  newspapers attract a desirable audience
  comprising of
• Home owners
• Families with children
• Educated consumers
• Professionals
• Young people 18-34
• High income earners
• Ethnic populations, including aboriginals
• More women than other mass media

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Reach by Demographic Sector(Kelowna, BC)
59 of women and 60 of men in Kelowna are
reading The Capital News.
Readership
Source ComBase 2003 National Study Base
Population Kelowna CA (118,500)
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How Much of the Paper is Read (Kelowna, BC)

• Readers of each paper were asked how much they
  read
• 34 of weekday Capital News readers tend to read
  All of the paper
• 32 of The Courier weekday readers tend to read
  All of the paper
• 28 of Westside Weekly readers tend to read All
  of the paper

of Readers
Source ComBase 2003 National Study Base
Population Kelowna CA May not total 100
due to exclusion of Refused/Not Stated responses
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Number of Issues Read (Kelowna, BC)

• Kelowna readers are loyal
• 69 of Capital News readers read all 4 of the
  last 4 issues
• 75 of Westside Weekly readers read all 4 of the
  last 4 issues

of Readers
Source ComBase 2003 National Study Base
Population Kelowna CA May not total 100
due to exclusion of Refused/Not Stated responses
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Newspaper Ratings (Kelowna, BC)

• Readers were asked to rate newspapers in City
  using a scale of 1 to 10 where 10 would be
  interpreted as extremely good and 1 as
  extremely poor.

Source ComBase 2003 National Study Base
Population Kelowna CA
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Preferred Newspaper (Kelowna, BC)
57 of Kelowna adults report The Capital News as
their preferred community newspaper
Source ComBase 2003 National Study Base
Population Kelowna CA
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Media Habits Newspaper vs. Radio(Kelowna, BC)
Radio is a very fragmented medium. None of the
radio stations on their own can claim reach as
high as a single insertion in The weekday Capital
News.
Source ComBase 2003 National Study - Radio
Stations Listened to Yesterday Stations with
less than 2 reach not shown Base Population
Kelowna Capital News Distribution Area (118,500)
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Media Habits Newspaper and Radio (Kelowna, BC)

• The Capital News Outperforms Radio
• One insertion in The Capital News reaches more
  than the top radio station in Kelowna
• (59 vs. 19)
• To reach the 67 listening to Any Radio Station
  you would have to buy spots throughout the day
  all 13 radio stations available in Kelowna!
• Radio Reach is Limited!
• 34 of the population cannot be reached with
  radio advertising
• Did Not Listen Yesterday (24)
• Listened to CBC (10)

Source ComBase 2003 National Study Base
Population Kelowna CA (118,500)
see previous slide for specific station reach
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Media Habits Radio (Kelowna, BC)
Lightest

• Time Spent Listening to Radio in Past 7 Days
• 38 of the population falls into the lightest
  listening categories (1 and 2), making them
  harder to reach with Radio
• 24 spent less than 0.5 hours listening to any
  radio station
• 19 report heavy radio listening (category 5)

Heaviest
Source ComBase 2003 National Study Radio
Quintiles Base Population Kelowna CA
(118,500) Quintile Hour Definitions indexed to
National Habits Radio 1 (Light) lt 0.5 hrs 2
0.6 to 3.4 hrs 3 3.5 to 9 hrs 4 9 to 23 hrs
5 (Heavy) 23 hrs
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Media Habits Television (Kelowna, BC)
Lightest

• Time Spent Watching TV in Past 7 Days
• 43 of the population falls into the lightest TV
  watching categories (1 and 2), making them
  harder to reach with TV
• 27 spent less than 4 hours watching any
  television programming in the past week
• 15 report heavy TV watching (category 5)

Heaviest
Source ComBase 2003 National Study
Television Quintiles Base Population Kelowna
CA (118,500) Quintile Hour Definitions indexed
to National Habits TV 1 (Light) lt4 hrs 2 4.1
to 9.4 hrs 3 9.5 to 14.9 hrs 4 15 to 22.9
hrs 5 (Heavy) 23 hrs
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Exclusive Readership (Kelowna, BC)

• 30,800 Kelowna adults are exclusive readers of
  the Capital News these adults report not having
  read any other papers in Kelowna
• That represents 26 of the Kelowna population who
  cannot be reached by advertising in any other
  Kelowna publication
• 49 of Kelowna adults are exclusive readers of
  the Capital News and cannot be reached with The
  Westside Weekly
• 32 of Kelowna adults are exclusive readers of
  the Capital News and cannot be reached with any
  edition of The Daily Courier/Okanagan

Source ComBase 2003 National Study Base
Population Kelowna CA (118,500)
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Cross Readership (Kelowna, BC)

• 30,500 weekday Daily Courier readers report also
  reading The Capital News
• 69 of weekday Daily Courier readers can be
  reached using the Capital News
• 64 of Okanagan Saturday readers report also
  reading The Capital News
• 62 of Westside Weekly readers report also
  reading The Capital News

Source ComBase 2003 National Study Base
Population Kelowna CA (118,500)
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Kamloops Readership

• Kamloops This Week has 39,900 weekday readers and
  25,800 weekend readers
• Kamloops Daily News has 31,700 weekday readers
  and 26,900 Saturday readers

Source ComBase 2003/2004 Study
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Vernon Readership

• The Morning Star has 33,300 weekday readers and
  29,900 weekend readers
• The Okanagan has minimal presence in Vernon with
  only 2,800 Saturday readers and 2,900 Sunday
  readers

Source ComBase 2003/2004 Study
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Penticton Readership

• The Western has 21,000 weekday readers and 20,300
  Friday readers
• The weekday Herald has 19,500 readers
• The Okanagan has 10,200 Saturday readers and
  7,800 Sunday readers

Source ComBase 2003/2004 Study
37
Prince George Readership

• The Free Press has 32,400 weekday readers and
  29,800 weekend readers
• The Citizen has 31,100 weekday readers and 29,700
  Saturday readers

Source ComBase 2003/2004 Study
38
Okanagan Readership

• In the combined market area of Penticton/Kelowna/
  Vernon the Community Papers reach 124,800
  readers (64) and the weekend editions reach
  108,000 readers (55)
• The Daily Papers combined reach 65,100 readers
  (33)
• The Saturday Okanagan reaches 30,700 readers and
  the Sunday Okanagan reaches 32,200 readers

• Source ComBase 2003/2004 Study
• Capital News, Western, Morning Star Daily
  News, Herald

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• How to Help your Newspaper -- Advertising
• Know the Media Strengths and Weaknesses

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Strengths Summary

• Reach (the most number of people) Television,
  Print
• Targetting (only want certain people)
  magazines, radio, direct mail, yellow pages
• Frequency (need to hit people over and over
  again) radio, outdoor, specialty TV

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Community Newspapers

• Strengths
• Selectivity of markets
• Life-stage relevance
• Community involvement
• Shelf-life
• Flyer connection
• No avails problem
• More flexible than dailies
• Copy platform
• Inexpensive production costs
• Small market retail connection

• Weaknesses
• High absolute cost of national campaign
• Difficult to plan and research
• Non-standardized sizing
• Rate inconsistencies
• Weekly issuance restricts usage
• Frequency building takes time
• Reproduction inconsistencies
• They havent proven readership
• Irrelevant to agency media buyers lifestyles

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Daily Newspapers

• Weaknesses
• High absolute cost of national campaign
• Declining readership of local dailies
• High cost of building frequency
• Short lifespan
• Reproduction inconsistencies
• Rate inconsistencies
• Difficult to create mood or display emotion
• Historical arrogance
• Most vulnerable to Bill Gates Ted Turner
  (corporate ownership)

• Strengths
• Selectivity of markets
• Broad based reach
• Wide range of editorial targetting
• Penetration of most income groups
• No avails problem
• Timeliness news value
• NADbank proven readership
• All ABC audited
• Colour, inserts, banners, earlugs
• Frequency opportunities exist
• National/local advertiser tie-in
• Short lead time
• Inexpensive production costs

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Television

• Weaknesses
• Only 30 seconds requires concise message
• Wasted circulation reaches the masses
• Mute buttons the remote
• Long lead time to buy efficiently
• High absolute costs
• Market fragmentation, e.g. digital and specialty
  channels
• Perceived real production costs
• Clutter
• Multi-spotting wear-out nuisance
• Sellers market
• Summer drop-off
• National buys consume best inventory

• Strengths
• 98 ownership HH penetration
• Sight, sound motion
• Intrusive-forces you to notice
• Permits demonstration
• Flexible
• national, regional, local
• network, cable, spot
• Program strategy or GRPS
• High Immediate Awareness
• Horizontal and/or vertical
• Not just 30 second spots anymore!

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Radio

• Strengths
• Targetability
• How many in your home/car?
• Portability
• Buyers Market
• Economical
• Immediacy
• High immediate frequency
• Community involvement
• Strong promotional vehicle

• Weaknesses
• Only 30 seconds requires concise message
• Wasted circulation reaches the masses
• In car button-popping
• No eye appeal
• Expensive coverage
• Expensive as a Reach builder
• Background vs..... foreground
• Still using diaries for audience reporting
• National buys consume best inventory
• Digital radio, unlimited free music online

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Magazines

• Weaknesses
• Low reach per title
• Long closing dates except newsweeklies/TV books
• Higher production costs than newspaper
• No ear appeal
• Time-restrictive for use as frequency builder
• Not effective for time-limited offers
• Shelf life works against it
• Product Editorial together skeptical
  consumer
• Proliferation of U.S. titles

• Strengths
• Selectivity of target audience
• Business or Consumer Press
• By geography, income, interest
• Long shelf life repeat exposure
• Pass-along readership
• Regional flexibility
• Coffee table factor
• Excellent 4-colour reproduction
• Horizontal and/or vertical medium
• Match product to editorial
• Proven coupon redemption
• Measurable (coupon codes)

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Outdoor Billboards/Posters

• Strengths
• Dominate the landscape
• Mass coverage
• Creature of habit frequency
• Market route selective
• Location identifier
• Constant message
• Surprisingly flexible

• Weaknesses
• Hardest to plan from out of market
• Market restrictions
• Limited creative message
• Wasted circulation
• Limited avails
• Long closing dates in large markets
• National coverage is expensive
• Blight on the Landscape

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Transit

• Strengths
• Cost-efficient reach
• Mass city coverage
• Repetition continuity
• Market route selectivity
• 4-colour reproduction
• Multiple creative options

• Weaknesses
• Mass coverage
• Limited message
• Long closing dates
• Interior downscale in demographics
• Difficult to gauge and measure returns
• Weather
• U.S. image
• Avail perception

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How to Sell Against Them
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Main Competitors How They Sell(positives)

• Dailies
• Sell their coverage
• Publish every day (immediacy)
• Claim to reach whole province
• Willing to deal to cut out a competitor
• Good research if NADbanked
• Paid
• Audited
• No seasonal audience drop-offs

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Main Competitors How They Sell(negatives)

• Dailies
• Claim their reach is across all sections
• Use weekly reach, CUMES (Vancouver Sun)
• Research limited to large markets
• Do not negotiate
• Dont guarantee positions
• Complacent, assume theyre indispensable
• Can be order takers (generally highly paid,
  unionized)
• Forced buy (e.g. CanWest)
• Readership trends high in smaller markets
  (50-60) much lower in large, competitive
  markets (30-35). In decline overall for the
  past 10 years. Losing women and young readers

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Questions to Ask Dailies

• What does one insertion give the advertiser
  (average issue reach)?
• Whats the reach of the schedule?
• Where are their NADbank numbers? How much of
  their circulation is wasted because its out of
  your retail area?
• Whats the cost per thousand?
• Is it better than yours?
• Would adding an ad in your paper increase reach,
  while reducing cost?

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Radio

• Weaknesses
• Only 30 seconds requires concise message
• Wasted circulation reaches the masses
• In car button-popping
• No eye appeal
• Expensive coverage
• Expensive as a Reach builder
• Background vs..... foreground
• Still using diaries for audience reporting
• National buys consume best inventory
• Digital radio, unlimited free music online, iPods

• Strengths
• Targetability
• How many in your home/car?
• Portability
• Buyers Market
• Economical
• Immediacy
• High immediate frequency
• Community involvement
• Strong promotional vehicle

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Radio How They Sell

• Use spots, not reach
• Use share, not reach
• Claim they reach everyone, but radio is not a
  REACH medium
• ROS (Run of Schedule) does not equal drive time
• Regional buys with pooled dollars
• Discount print reach
• Aggressively use promotions (inflate their value,
  contra)
• Aggressively use their on-air personalities
• Claim wide reach areas without accounting for
  geographical barriers
• Undersell one client to attract others

54
The Language Agencies Speak
Agencies plan using Reach and Frequency
objectives, ratings and CPM. Just what the heck
is a GRP anyway? Rating Point A percentage of a
defined target group (population), in a defined
geographic area, watching a specific program, at
a specific point in time. Reach The number of
different people exposed to an ad campaign a
minimum of once during a given time frame
usually 1 or 4 weeks. Frequency The average
number of times that each person sees/
reads/hears a message during that same time
frame. GRPS (Gross Rating Points) The sum of
the rating points generated by each show that an
advertiser purchases. The Formula Reach x
Frequency GRPS
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Ratings Live In EMAs, CMAs, DMAs, CAs
Over the years, various technical committees have
visited and re-visited market definitions in an
attempt to accurately reflect urban growth and
continually shifting retail trading zones. At the
foundation of all these acronyms, are Statistics
Canada definitions starting with the lowest
common denominator, enumeration areas (EAs).
These EAs are then clustered together into CAs
or CMAs and ultimately assigned to TV and/or
radio markets. All this data lives in the
computers of media planners.
56
Questions to Ask About Radio

• Whats the reach? (how many of your customers
  does the radio buy reach?)
• Can they prove reach?
• When do the spots run?
• Can you review the radio schedule?
• Do you have a benchmark for success?

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Questions to Ask Radio

• Whats the reach? (how many of your customers
  does the radio buy reach?)
• Can they prove reach?
• When do the spots run?
• Can you review the radio schedule?
• Do you have a benchmark for success?

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Share vs Reach
Population
We have 50 of the market
Total Radio Listeners
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The Language Agencies Speak
They plan using Reach and Frequency objectives,
ratings and CPM. Just what the heck is a GRP
anyway? Rating Point A percentage of a defined
target group (population), in a defined
geographic area, watching a specific program, at
a specific point in time. Reach The
unduplicated number of different people exposed
to an ad campaign a minimum of once during a
given time frame usually 1 or 4 weeks. Frequency
The average number of times that each person
sees/reads/hears a message during that same time
frame. GRPS (Gross Rating Points) The sum of
the rating points generated by each show that an
advertiser purchases. The Formula Reach x
Frequency GRPS
60
GRPs Huh!?
61
Media Terms Summary

• Reach is what advertisers buy. It equals the
  unduplicated
• of people in the target group, or
• Net number of people in the target group
• Reach rating Average quarter hour
• Reach is ALWAYS unduplicated people are only
  counted once
• Share, gross impressions, coverage are not reach

62
Consultative Approach to Selling Advertising
63
The Sales Representative Whats your job?

• Sell your paper but so much more
• Educate your clients on advertising, other media,
  customer service, packaging they look to you
  to be the advertising expert
• Stop selling ads, sell campaigns
• Stop viewing your customers as wallets
• Sincerely try to help them be more interested
  in how theyre doing, not on getting an
• Help them stay alive!

64
Whats Your Mindset?(courtesy WOW Communications)

• Traditional Rep
• I must make this sale
• Concerned for self
• Canned sales pitch
• Achieving budget

• Sales Consultant
• How can I help them achieve their objectives
• Concern for customer
• Listening to their needs
• Developing long-term relationships

65
How Should Advertising Be Planned?

• Objectives
• Marketing
• Sales
• Other
• USP or selling proposition
• Target Group
• Geography/Distribution
• Seasonality/Timing

• Budget
• Priorities and biases
• Competitive data
• Yardsticks for success.

66
Target Group Analysis How do we do against the
KEY demos?

• Female audience
• Women are a hot target group
• Young adults
• Moving away from traditional media for news
• Ethnic audience
• Analyze by Mother Tongue

67
Readership by Demographics BC
68 of adults 18-34 read last weekday issue of
their community newspaper compared to 41 who
read their weekday daily newspaper.
Source ComBase 2003/2004 National Study
68
Importance of Female Audience

• Rona hardware retailer targets female shoppers --
  When it comes to renovation spending, women rule
  the roost. "Women make 75 per cent of the
  renovation decisions in the household, so it
  makes sense to tailor our stores more closely to
  their needs (Vancouver Sun, March 18)
• Cordless drill for the bride? Canadian Tire aims
  to redefine gift registry Jennifer Huk and Kyle
  Grey didn't exactly opt for his and hers cordless
  drills. But they did add a self-propelled
  lawnmower and a barbecue to their wedding gift
  registry. (Edmonton Journal, March 23)
• Canadian Tire on a roll to food, movie rentalsNo
  longer content to sell mostly hardware and
  gasoline, Canadian Tire Corp. is aiming to pump
  up sales by providing busy commuters with
  prepared meals and movie rentals at its "next
  generation" convenience stores. (Vancouver Sun,
  May 12)

69
Importance of Female Audience - BC

• Declining television viewing
• 46 are light TV watchers (less than 9.5 hours
  weekly)
• 20 didnt watch any TV yesterday
• Declining daily newspaper readership
• 29 cannot be reached with dailies
• Declining radio listening
• 39 cant be reached with radio
• But, increasingly important to media planners

We have the BC female audience! 79 read any
community paper (weekday/weekend)
70
Importance of 18-34 Year Olds

• Declining audiences in most traditional media
• Difficult to reach -- media grazers
• 27 cant be reached with dailies
• 32 cant be reached with radio
• 23 didnt watch TV yesterday
• Much sought-after by all advertisers
• Desirable for print as well 24 Hours, Dose
• Community papers reach 71 of 18-34 year olds in
  BC

Data on BC 18-34 year old adults
71
Importance of Ethnic Audiences

• It can be difficult to reach ethnic communities
  with traditional media
• Community newspapers reach ethnic adults very
  effectively compared to other traditional media
• ComBase measures Mother Tongue defined by
  Statscan as language learned first in childhood
  and still understand

Source ComBase 2003/2004 Study
72
Ethnic Analysis in ComBase

• Due to sample sizes not all markets can be
  analyzed stick to provinces and CMAs where
  available
• National (all markets combined) population
  6,093,100
• British Columbia population 2,543,600
• Ontario (excludes Toronto) population 707,400
• Vancouver CMA population 1,607,200
• Toronto CMA population 3,758,000
• The following Mother Tongue categories were split
  out
• English
• French
• Japanese/Chinese
• Vietnamese/Other Asian
• Native American (Cree/Ojibway)
• Other Mother Tongue (German, Greek, Italian,
  Polish, Portugese, Spanish, Scandinavian, Dutch,
  Welsh, Ukranian, Russian, Arabic, Tagalog)

Source ComBase 2003/2004 Study and ComBase
2001 Pilot Study (Toronto CMA)
73
Mother Tongue Readership Analysis
Half of Chinese/Japanese read the the Richmond
Review. Including Other Asian Mother Tongues the
reach climbs to 52 or 12,800 adults.
Weekday Readership
Source ComBase 2003/2004 National Study
Richmond, BC Population - 134,300
74
Selling with ComBase Actual examples

• Chrysler PEI vs Daily Newspapers
• Home Depot Cornwall vs. Daily
• Auto dealers Sudbury vs. TV
• Victoria vs. Radio

75
Sales Presentation Island Press, PE

• The local GM/Chrysler dealers (who are also the
  Local Dealer Advertising Reps) have been
  impressed with the ComBase numbers. We are able
  to show them that even if they advertised 6 days
  a week in the dailies they are still missing 27
  of the PEI market. When you are selling cars or
  anything that market is huge!
• Jan MacNeill
• Advertising Manager, Island Press

76
PEI Automotive Background

• ComBase data confirmed what the GM Island Rep
  already knew they should be in the Island
  weekly papers.
• GM used to advertise in both papers and then
  pulled out. Local dealers always wanted to
  include the weeklies on the buy but could never
  convince Head Office or their advertising agency.
  At a meeting last year Corporate finally told the
  dealer to show them how to increase their reach
  without spending additional money. The local car
  dealer feels this is the first time he has had
  something concrete to take to them ... real
  numbers that mean a lot to him will increase his
  car/truck sales.
• Last month Chrysler finally took the information
  to a Regional Meeting. They are currently in one
  paper and the publisher is trying to get them
  into their second paper also. In both cases the
  papers feel they were never even on the map and
  now at least GM and Chrysler are considering them!

77
Selling with the Data Schedule Analysis (PEI)

• An actual schedule of ads for a Car Company that
  ran in the daily newspaper in April 2004 was
  analyzed
• The following analysis shows 2 schedules the
  actual schedule and an alternative including
  community papers
• 4 insertions in the daily actual
• 2 insertions in the daily PLUS 1 insertion in
  each of the two community papers

Source ComBase 2003 National Study Base
Population (12,100)
78
Reach/Frequency Schedule Analysis
Source ComBase 2003 National Study Base
Population Paper 2 , Paper 3 Distribution
Areas (12,100) Paper 1 - .67 line rate process
colour 625 Paper 2 - .27 line rate process
350 / Paper 3 - .54 line rate process 350
79
Reach/Frequency Schedule Analysis

• The Alternative schedule shows that the addition
  of community papers does not need to be more
  expensive
• Reducing the insertions in the daily newspaper by
  2 affords at least 2 more insertions of the same
  size in community papers
• Including 2 insertions in the community papers
  means
• Overall reach increases by 58!
• Net reach is increased by 6,800 adults
• Total cost is 1,389 less
• Gross Impressions increase by 2,400
• CPM Gross Impressions is 190 cheaper
• By adding community papers the efficiency of the
  media buy is increased without spending any
  additional media dollars

80
Home Depot

• Cornwall CA

81
Cornwall Market

• ComBase measures the market of Cornwall at both
  the CA level and the newspaper distribution area
  level
• There are 64 interviews in the Cornwall CA as
  part of Wave 1 representing an adult population
  of 43,700
• The newspaper distribution area is a slightly
  larger geographic area with 75 interviews
  representing an adult population of 47,100

82
Home Depot Targets

• Home Depot analyzes four target groups comprised
  of age and income demographic variables
• DIY age 25-49 with HHI 50K
• HP age 35-54 with HHI 50K
• D age 35-64 with HHI 50K
• HID age 25-54 with HHI 75K

83
Target Definitions and ComBase

• Since we are only working with Wave 1 data the
  sample size is not sufficient to allow such
  detailed demographic analyses
• ComBase is designed to combine two waves of data
  (to be released Fall 2005)
• For Home Depot target definitions, ComBase Wave
  1 data can only accommodate the age breaks with
  sufficient sample

84
Target Definitions and ComBase
Cornwall CA
Media decisions should not be made at this level
of target definition until wave 2 data is
available.
85
Income in the Cornwall CA

• StatsCan provides the following data on income in
  the Cornwall CA
• Median Family Income 47,990
• Median Household Income 37,758

86
Home Depot Advertising

• Home Depot ran a full page spot colour ad in the
  Saturday Standard Freeholder the last weekend of
  May
• The daily newspaper was selected based on
  analysis of the four target groups (age and HHI)
  and available budget

87
Home Depot Advertising

• The following analysis is based on modified
  target groups with age breaks only in order to
  have sufficient sample
• The Saturday edition of the Standard Freeholder
  is compared to the community newspaper The
  Seaway News (Friday) - based on what actually ran
• Insertions costs have been included to show a CPM
  analysis

88
Campaign Analysis in Cornwall CA
Each cell shows Net Reach, Reach , CPM Reach
Standard Freeholder Full Page 1,895/Half Page
948 235 Spot Colour Seaway News Full Page
1,295/Half Page 648 100 Spot Colour
89
Reasons to Include Seaway News

• The Seaway News reaches a comparable of Home
  Depot targets in an age only analysis
• A combination buy is more cost efficient and
  reaches more of Home Depots identified targets
• By including the Seaway News on Friday
• Net reach increases for all targets
• Reach increases for all targets
• CPM Reach is reduced for all targets

90
IMS Reports Home Depot Targets
91
IMS Reports Home Depot Targets
92
Sudbury TV Presentation

• This specific presentation has helped us get
  about 60,000 of advertising from two of our
  local car dealers.  One car dealer was spending
  approximately 50,000 and the other was spending
  10,000 annually with the local TV station. Now
  they are spending that money with us.
• Karsten Johansen
• Associate Publisher, Northern Life, Sudbury

93
Who Is Watching Television in Sudbury?

• Who is Watching TV?
• Who Do You Want to Reach
• Demographic viewer profiles
• Other Media Habits of TV Viewers
• Radio and Newspaper
• Reach of TV Viewers Increases Dramatically with
  Multiple Insertions in the Northern Life
• Media Strengths and Weaknesses
• Reaching TV Viewers Effectively
• What is ComBase?
• Study Overview

94
Who is Watching TV? (Sudbury, ON)
Lightest

• Time Spent Watching TV in Past 7 Days
• 28 of the population falls into the lightest TV
  watching categories (1 and 2), making them
  harder to reach with TV
• 11 spent less than 4 hours watching any
  television programming in the past week
• 38 report heavy TV watching (category 5)

12,900
19,900
20,200
20,500
44,800
Heaviest
Source ComBase 2003 National Study Base
Population Sudbury CMA 118,400 Light
Viewers 32,800 Heavy Viewers 44,800 Light
Viewers less than 9.5 hours weekly Heavy
Viewers 23 hours weekly Quintile Hour
Definitions indexed to National Habits
95
Who Do You Want to Reach?

• Comparing the demographics of Light TV Viewers
  and Heavy TV Viewers there are many differences
• Light TV Viewers (32,800 adults)
• Tend to be women, between 35 and 49
• A higher percentage live in households with
  income over 50,000
• More of them are employed
• Heavy TV Viewers (44,800 adults)
• Tend to be men
• More are between 18-34 or over 50 years old
• A higher percentage live in households with
  income under 50,000
• More of them are unemployed or retired

Source ComBase 2003 National Study Base
Population Sudbury CMA 118,400 Light
Viewers 32,800 Heavy Viewers 44,800 Light
Viewers less than 9.5 hours weekly Heavy
Viewers 23 hours weekly
96
by Demographic Sector(Sudbury, ON)
Heavy TV viewers are mostly men over 50 Light
TV viewers are mostly women 35-49.
of Demographic Sector
Source ComBase 2003 National Study Base
Population Sudbury CMA 118,400 Light
Viewers 32,800 Heavy Viewers 44,800 Light
Viewers less than 9.5 hours weekly Heavy
Viewers 23 hours weekly
97
by Demographic Sector(Sudbury, ON)
Sudbury adults in households with incomes over
50,000 tend be light TV viewers, while those
with HHI under 50,000 tend to be heavy viewers.
of Demographic Sector
Source ComBase 2003 National Study Base
Population Sudbury CMA 118,400 Light
Viewers 32,800 Heavy Viewers 44,800 Light
Viewers less than 9.5 hours weekly Heavy
Viewers 23 hours weekly
98
by Demographic Sector(Sudbury, ON)
Heavy TV Viewers are more likely to be retired or
unemployed.
of Demographic Sector
Source ComBase 2003 National Study Base
Population Sudbury CMA 118,400 Light
Viewers 32,800 Heavy Viewers 44,800 Light
Viewers less than 9.5 hours weekly Heavy
Viewers 23 hours weekly
99
Other Media Habits of TV Viewers (Sudbury, ON)

• What Other Media Are TV Viewers Turning to?
• Light TV Viewers
• are listening to radio, but are listening to
  non-commercial CBC radio (48 listened to CBC
  yesterday)
• almost a third find time to read the daily paper
  and 21 read the community paper
• Heavy TV Viewers
• prefer reading newspaper over listening to radio
• 53 didnt listen to radio yesterday
• but 41 read any community paper and 38 read
  their daily newspaper

of Viewers
Source ComBase 2003 National Study Base
Population Sudbury CMA 118,400 Light
Viewers 32,800 Heavy Viewers 44,800 Light
Viewers less than 9.5 hours weekly Heavy
Viewers 23 hours weekly
100
Newspaper Habits of TV Viewers (Sudbury, ON)
76 of Heavy TV Viewers Read NL Weekday

• Light TV Viewers
• are lighter media consumers overall
• they are mostly reading the weekday Sudbury Star
  and the weekday Northern Life editions
• Heavy TV Viewers
• are strong readers of both dailies and
  communities
• they overwhelmingly prefer the Northern Life
  weekday and Sunday editions

of Viewers
Source ComBase 2003 National Study Base
Population Sudbury CMA 118,400 Light
Viewers 32,800 Heavy Viewers 44,800 Light
Viewers less than 9.5 hours weekly Heavy
Viewers 23 hours weekly
101
Reach Frequency Increase with Multiple
Insertions
Light TV Viewers

• Reach against Light TV Viewers climbs
  dramatically over multiple insertions
• A single insertion reaches 45 of Light TV
  Viewers, but 8 insertions reaches 70, with an
  average frequency of 5.22!
• With the Sunday edition, 29 of Light TV Viewers
  are reached with a single insertion, climbing to
  34 with 8 insertions

1.00
1.65
2.88
4.06
5.22
1.00
1.87
3.55
5.17
6.77
Reach (Average Frequency in white)
Source ComBase 2003 National Study - Average
Frequency shown in white Base Population
Sudbury CMA 118,400 Light TV Viewers Population
32,800
102
Reach Frequency Increase with Multiple
Insertions
Heavy TV Viewers

• Reach against Heavy TV Viewers starts high
  continues strong
• A single insertion reaches 76 of Heavy TV
  Viewers, and 8 insertions reaches 81, with an
  average frequency of 7.51!
• With the Sunday edition, 67 of Heavy TV Viewers
  are reached with a single insertion, climbing to
  76 with 8 insertions

1.00
1.95
3.82
5.67
7.51
1.00
1.90
3.66
5.39
7.10
Reach (Average Frequency in white)
Source ComBase 2003 National Study - Average
Frequency shown in white Base Population
Sudbury CMA 118,400 Heavy TV Viewers Population
44,800
103
Reaching TV Viewers Effectively

• In Sudbury 28 of adults watch less than 9.5
  hours of television per week, compared to 38 who
  watch more than 23 hours weekly
• Demographic comparison shows vast differences in
  these groups light viewers tend to be women
  35-49 and employed while heavy viewers are either
  young or old males, unemployed or retired
• Light TV Viewers are lighter media consumers
  overall they listen to radio but mostly non
  commercial radio, and they are mostly reading the
  weekday editions of newspapers in Sudbury
• Heavy TV Viewers prefer to read newspapers
  instead of listening to the radio, and they
  overwhelmingly prefer the Northern Life, both
  weekday and Sunday editions
• Reaching both Light and Heavy TV Viewers can be
  achieved very effectively using multiple
  insertions in the Northern Life reach and
  frequency increase dramatically with multiple
  insertions

Source ComBase 2003 National Study Base
Population Sudbury CMA 118,400 Light
Viewers 32,800 Heavy Viewers 44,800 Light
Viewers less than 9.5 hours weekly Heavy
Viewers 23 hours weekly
104
Community Newspapers vs. Radio

• Vancouver Island News Group
• Victoria, BC

105
ComBase Radio Data

• The following questions are asked in the ComBase
  questionnaire relating to Radio
• Number of minutes listened to radio in the past
  week
• Stations listened to yesterday (unaided)
• Stations listened to most often (unaided)

106
Media Habits Newspaper vs. Radio (Victoria, BC)
Radio is a very fragmented medium. None of the
Victoria radio stations on their own can claim
reach as high as a single insertion in either the
weekday Vancouver Island News Group papers or the
Weekend Edition.
Source ComBase 2003/2004 Study - Radio
Stations Listened to Yesterday Victoria
stations only (8) Base Population Victoria
CMA (259,700)
107
Media Habits Newspaper and Radio (Victoria, BC)

• The VI News Group Outperforms Radio
• One insertion in The VI News Group papers
  combined reaches the equivalent of all radio
  stations combined
• (49 vs. 49)
• To reach the 49 listening to Any Radio Station
  you would have to buy spots throughout the day,
  every day on ALL Victoria radio stations!
• Radio Reach is Limited!
• 35 of the population cannot be reached with
  radio advertising
• Did Not Listen Yesterday (27)
• Listened to CBC Only (8)

see previous slide for specific station reach

Source ComBase 2003/2004 Study Base
Population Victoria CMA (259,700)
108
Media Habits Radio (Victoria, BC)
Lightest

• Time Spent Listening to Radio in Past 7 Days
• 40 of the population falls into the lightest
  listening categories (1 and 2), making them
  harder to reach with Radio they only listen
  less than 3.5 hours weekly!
• 22 spent less than 0.5 hours listening to any
  radio station
• 19 report heavy radio listening (category 5)

Heaviest
Source ComBase 2003/2004 Study Radio
Quintiles Base Population Victoria CMA
(259,700) Quintile Hour Definitions indexed to
National Habits Radio 1 (Light) lt 0.5 hrs 2
0.6 to 3.4 hrs 3 3.5 to 9 hrs 4 9 to 23 hrs
5 (Heavy) 23 hrs
109
Reach Non-Listeners with Community Papers in
Victoria

• 45 of Victoria adults who reported not listening
  to the radio yesterday and 70 of CBC listeners
  can be reached with weekday editions of the VING
  papers
• Half the non-listeners and 75 of CBC only
  listeners can be reached with a combination of
  weekday and weekend VING community papers

Readership
Source ComBase 2003/2004 Study Base
Population Victoria CMA (259,700)
110
Community Newspapers vs. Radio

• Single radio stations in Victoria are less
  effective than community papers to reach the
  population
• a single insertion in the weekday community
  papers reaches the same of the population (49)
  as buying ALL Victoria stations (every day, all
  day)
• 40 of the population only listens to the radio
  less than 3.5 hours per week
• 35 of the population cant be reached with
  commercial radio
• 27 didnt listen yesterday and 8 only listened
  to the CBC
• Community papers in Victoria can reach those that
  are NOT listening to commercial radio
• 75 of CBC only listeners can be reached with
  weekday/weekend community papers

111
Other Opportunities

• Distribution, Editorial, Promotions, Pricing

112
Other Opportunities from ComBase

• Distribution Benchmarks
• How does your newspapers readership perform vs..
  other papers in your region?
• V.s. other papers in your circulation category?
• V.s. other paid or free papers.
• Have you identified your strongest market?
• Are you trying to go too broad?

113
Other Opportunities from ComBase

• Editorial Benchmarks
• Whos reading? (men/women, young/old)
• Whos not reading compared to other newspapers?
  Why?
• Do they read only some of your product?
• Do they read infrequently?
• How do they rate your product?
• What else are they reading?
• How good is your RPC number?

114
Readers Per Copy Calculations

• Divide the circulation in Measured Area (not
  always 100 of your total circ submitted to
  ComBase)
• By the total number of readers in the same area
• Average for home-delivered papers, usually
  broadsheets 2.5
• Average for single copy (tabs) 3.5
• Usually mirrors the average number of adult
  persons per household in your market (available
  from Statscan)

115
Other Opportunities from ComBase

• Promotional Opportunities
• Which radio station is the best fit with your
  paper for promotional opportunities (e.g. if you
  cant get the advertiser out of radio, but want
  to capture some of his budget)
• For advertising opportunities (to sell
  newspapers)
• To promote special editorial features, events,
  contests, circulation drives

116
Other Opportunities from ComBase

• Pricing Benchmarks
• How does my Cost Per Thousand compare to other
  papers in your region? In your circulation
  category?
• How does it compare to your main print
  competitor?
• Is it worth an advertisers money to add your
  paper to the buy to get the extra reach?

117
Cost Per Thousand Calculation

• Price of ad
• Divided by reach (number of readers)
• Calculated by target group
• More expensive to reach elusive targets (e.g.
  professionals, self-employed, women)

118
Is ComBase Working?
119
Impact of ComBase

• Advertiser/ Agency Requests 1,200
• Over 40 advertising agencies/clients have
  subscribed to the database
• Publisher/ and Other 140
• Continue to add new members Sun Media, Osprey
  et. al.

120
Impact of ComBase

• Newspapers aggressively using their data on the
  street, other media are taking notice
  Canwest, SK radio station
• Newspapers using material in media kits
  examples on the ComBase website
• Numerous publisher seminars done in regions
  across Canada
• One on one agency training sessions

121
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122
(No Transcript)
123
Impact of ComBase

• CanWest purchased database, as did Sun Media and
  the Victoria Times-Colonist
• NADbank changed their bylaws to allow for
  community newspaper membership
• NADbank now measuring community newspapers in
  major markets
• Financial results for companies with both dailies
  and communities show its the community
  newspapers that are driving the growth

124
ComBase Is Paying Off

• Sudbury Northern Life took 60,000 out of TV
  (auto dealers) as a result of ComBase data
• I received good news that I'll be getting the
  Safeway flyer for the Chronicle. If it wasn't for
  ComBase I'm sure I wouldn't have been able to
  sell it.
• Clark Pepper, Shellbrook Chronicle, SK

125
ComBase Is Paying Off

• Ad West tracks increases of over 250,000 lines
  and 2 million insert pieces directly to ComBase
  in only three months (SK, AB, MB) - thats a full
  page, per newspaper, per quarter
• AdReach notes that new and repeat business grew
  by 30 in 2004
• To date AdReach up 1.2 million vs. budget in
  2005
• AdReach attributes this growth to a combination
  of CMC and ComBase

126
ComBase Is Paying Off

• ComBase adds the credibility to what we already
  know locally ... it is just now we are able to
  walk-the-walk and talk-the-talk with ad agencies,
  decision makers, etc.
• Sold John Deere agency with ComBase data four
  new ads in West Prince Graphic.
• I think as far as National Advertising goes, we
  were always hit or miss ... now we are on the
  radar and it is credible!
• Jan MacNeil, Island Press, PEI

127
ComBase Is Paying Off - Government

• SWNA Executives met with Provincial Cabinet
  members recently to introduce them to ComBase
  data. The message we left them with is that we
  can now scientifically prove that we are reaching
  a minimum of 511,000 people in this province and
  that is far superior than any other forms of
  media and therefore must be taken seriously.
• Yorkton MLA Clay Serby and deputy premier agreed.
  In my view, and anybody would say that this is a
  very high penetration level, which clearly makes
  the SK weekly newspaper a very significant medium
  in terms of communicating, particularly with
  rural SK. And that was a very significant point
  that they made with us, said Serby.
• We dont have many reps in government today who
  are from rural SK and accordingly SK weekly
  newspapers are really one of our most significant
  conduits to get information to rural folk.

128
ComBase Is Paying Off - Government

• I take ComBase data out to every call and all
  are impressed with our numbers.
• Having the readership data means we are taken
  more seriously in Ottawa.
• One of the reasons is that the approval process
  for advertising spending has undergone changes
  that require at least three levels of review.
  Without readership numbers, we would not even
  pass the first of these levels.
• Eileen Barak
• Government Relations Representative for Federal
  Government Advertising

129
ComBase Is Paying Off - Government

• Elections Canada
• Revenue Canada
• First Ministers Health Conference (used ONLY
  communities)
• Canada Savings Bonds
• One Tonne (Environment Canada)
• Wheat Board
• Nearly one million dollars just last fall, more
  coming this spring

130
Next Steps

• Field work for Wave 2 began October 2004
• Wave 1 merged with Wave 2 doubles your sample
• New data released fall 2005
• Reviewing options for 2006 and beyond, including
  less expensive research