TV Advertising Facts

Television advertising is considered the most effective advertising mode and format; the benefits and ability to reach mass audiences is reflected by the high prices of advertising especially during popular television events. Advertising revenue provides a majority of funding for television networks.

  1. Benefits

    • On average, although brand and product category play an important role, a $1 million increase in television advertising expense increases sales by $4.5 million according to the 2007 PWC Payback Study.

    Cost

    • During Super Bowl XLI, widely recognized as the biggest day for advertisements, due to over 90 million viewers, the cost of a 30-second commercial slot was $2.6 million.

    Demographics

    • Advertisers like to focus on the 18-49 age demographic; that is why "Grey's Anatomy" can charge $419,000 per commercial slot while "CSI" can only charge $248,000 per commercial despite averaging almost five million more viewers per show.

    Amount

    • A typical hour long television program in 1960 used to run for 51 minutes, not counting advertisement time while a similar show today only runs for 42 minutes, excluding advertisements.

    Length

    • In the 1960s, average advertisements ran for one minute; currently most advertisements are 30-seconds long, while some advertisements are only allotted 15- second time slots.

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