QA9

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School

University of Massachusetts, Amherst *

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Course

SCH-MGMT 6

Subject

Marketing

Date

Jan 9, 2024

Type

docx

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Uploaded by BaronElkMaster518

1. How many households are expected to watch each program? Hint: One rating point represents one percent of households (HHS) in the TV market. Sunday Night Football 9,132,400 The Big Bang Theory 5,895,600 The Voice 4,508,400 How I Met Your Mother 3,699,200 Agents of S.H.I.E.L.D. 3,583,600 2. Calculate the cost per thousand (CPM) and cost per point (CPP) for each program. How should advertisers use these measures when planning a television media buy? Sunday Night Football 65.04 The Big Bang Theory 53.77 The Voice 58.68 How I Met Your Mother 45.53 Agents of S.H.I.E.L.D. 47.36 The cost per point (CCP): Sunday Night Football 75,189.87 The Big Bang Theory 62,156.86 The Voice 67,839.74 How I Met Your Mother 52,635.94 Agents of S.H.I.E.L.D. 54,751.61 3. In order to create a successful advertising budget, marketers must get industry-specific statistics on the advertising-to-sales ratio. Industry averages are useful benchmarks that assist businesses in figuring out what proportion of sales to set aside for advertising. The previously mentioned variables, together with market maturity, competitive intensity, product type, brand positioning, regulatory contexts, and customer behavior, might cause fluctuations in these percentages across different industries. By examining industry averages and trends from reliable sources, such trade journals and websites, marketers may gain a better understanding of the market and establish competitive yet realistic advertising budgets.

4. Disparities in advertising-to-sales ratios between rival firms and the industry average can result from different business strategies and market positioning. Differences in target markets, product lifecycles, brand strategies, financial standing, and overall marketing goals can all contribute to variations. Businesses may use resources differently depending on their positioning and goals, which can affect their advertising-to-sales ratios. Different methods to market leadership may also produce differences. While competitors may invest more in gaining market share, established corporations may preserve their position by constant advertising.

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