Based upon the type of format the customer desires.
Banner ads
Rich-media enhanced banner ads
Button ads
Interstitial ads
CPM rate based on number of viewers
Rates vary based on the volume of monthly page views
4. RADIO RATES
Types of Radio Advertising
1. Network radio advertising
2. National spot radio ad
3. Local radio advertising
Spot radio refers to geographical area where an ad runs
Spot commercial are ad messages of one minute or less on network or spot radio
Drive time and run-of schedule (ROS) allows a radio station to decide when to run the ad.
5. TELEVISION RATES
Rates vary with the time of day. Prime time (7:00 p.m.-10:00 p.m.) most expensive
Advertisers try to play their messages during the time slots that enable them to reach the most customers
D. PROMOTIONAL BUDGET FOUR METHODS
Promotional Budget considers not only the cost for developing and placing or airing advertising but also the cost of staffing the department or campaign.
4 Common promotional budgeting methods are:
Percentage of sales method – budget based on a percentage of past or anticipated sales
All you can afford method – first pay all expenses then apply remainder of funds to promotional activities
Following the competition method – advertiser matches its competitor’s promotional expenditures
Objective and task method – company determines goals, identify steps to meet goals and determines cost for promotional activities to meet goals
