Media Buys: When, Why and How to Make Them
Posted April 29, 2020 in Articles
Deciding how to spend your company’s marketing budget is not an easy task. Especially today, there are more marketing channels than ever, and getting your company’s products or services in front of the right target audience at the right time can prove extraordinarily challenging.
What about media buys? Twenty years ago, placing an ad on cable or broadcast television was almost guaranteed to earn a significant amount of relevant exposure. The fact that viewers had relatively few options meant that advertisers had a captive audience; and, as long as an ad set the right tone, the probability of a significant return was high. But now, Netflix is commercial-free, Amazon Prime only shows ads for Amazon Prime, and there is no shortage of other on-demand online platforms. Then, of course, there is social media, and Google continues to earn well over $100 billion from ad placement every year.
How Can Companies Make Effective Use of Media Buys in Today’s Environment?
Clearly, media buys still work. So, how can you make them work for your company? When considering media buys, some of the key factors that need to be analyzed include:
- • Which medium (or media) should you choose? Which media outlet(s) will provide the greatest return on investment (ROI) for your particular product or service and target market? Before dumping a significant portion of your company’s marketing budget into one channel, you need to be confident that you have made an informed decision.
- • How much should you invest? Regardless of whether your company’s marketing budget is a limiting factor, you must also carefully consider the right amount of spend—as this will have a direct impact on ROI. If your budget is limited, this will narrow down your options in terms of media placement as well.
- • When should you buy? From time of day to month of the year, timing can be a huge factor in the success of media buys. Should you invest in a single high-exposure event (like a major sporting event), or should you make several strategically scheduled buys over time?
- • What type(s) of ad(s) should you run? Even a well-timed buy on the right media outlet will not be effective if the ad your company runs falls flat. Here, too, there is quantitative analysis to be done, and conducting competitive research prior to developing your company’s advertisement(s) can demonstrably increase ROI.
- • How can you measure performance? Finally, in order to judge success and determine what changes you may want to implement for future media buys, you need to know how you are going to measure your ad’s performance. Without specific quantitative measures, even if you see an increase in revenue, you won’t know whether (and to what extent) your media buy is responsible.