Method and apparatus for determining an effective media channel to use for advertisement

• US 7,895,075 B2
• Filed: 08/11/2005
• Issued: 02/22/2011
• Est. Priority Date: 08/12/2004
• Status: Active Grant

• Current Assignee: Cable Television Advertising Group LLC
• Original Assignee: Cable Television Advertising Group LLC
• Inventors: Gettys, David, Gilbert, William
• Primary Examiner(s): Weiss; John G
• Assistant Examiner(s): Hamilton; Matthew L
• Application Number:
  US11/201,330
• Publication Number:
  US 20060036489A1
• Time in Patent Office: 2,021 Days
• Field of Search: 705/14, 705/14.41
• US Class Current: 705/14.41
• CPC Class Codes: G06Q 30/02 Marketing; Price estimation or determination; Fundraising
• CPC Class Codes: G06Q 30/0206 Price or cost determination based on market factors
• CPC Class Codes: G06Q 30/0242 Determining effectiveness of advertisements

Abstract

A method and apparatus for determining the effective of advertising resource in a particular media channel such that one can determine where best to advertise their individual products for their business.

Claims

1. A non-transitory computer readable medium including a set of instructions, for execution by a computer, comprising:

instructions for processing customized, market-specific consumer data to determine a cumulative reach value, for each of a plurality of media channels, based on a number of individuals exposed to each of said plurality of media channels for an hour or more for a previous week;

instructions for processing the data to determine an index to market value, for each of said plurality of media channels, that compares, as a ratio, a percentage of respondents from a selected target group that answered a question to a percentage of all respondents that answered the question;

instructions for calculating a qualitative target value, for each of said plurality of media channels, by multiplying the cumulative reach value and the index to market value; and

instructions for calculating a qualitative target value cost, for each of said plurality of media channels, based upon the qualitative target value,

wherein lowest qualitative target value cost identifies the media channel upon which advertising resources are most effective.

2. The computer readable medium of claim 1, wherein the set of instructions further comprises instructions for ranking the plurality of media channels based upon the qualitative target value.

3. The computer readable medium of claim 1, wherein the set of instructions further comprises instructions for selecting the media channel with the lowest qualitative target value cost to use to advertise.

4. The computer readable medium of claim 1, wherein the media channel is a television network.

5. The computer readable medium of claim 1, wherein the media channel is a radio station.

6. The computer readable medium of claim 1, wherein said calculating the qualitative target value cost for each of said plurality of media channels comprises:

determining a spot rate;

determining a target demographic rating;

determining a number of households in a market that receive the media channel;

calculating a delivered number of impressions by multiplying the number of households and the rating;

calculating a total cost by dividing the spot rate by the delivered number of impressions; and

calculating the qualitative target value cost by dividing the total cost by the qualitative target value and multiplying by a factor of 100.

7. The computer readable medium of claim 6, wherein the set of instructions further comprises instructions for calculating a cumulative reach efficiency factor, for each of said plurality of media channels, by dividing the total cost by the cumulative reach value.

8. The computer readable medium of claim 6, wherein the target demographic rating is an average quarter hour rating expressed as a percentage.

9. A computer, comprising:

processor configured to;

receive customized, market-specific consumer data,

process the data to determine a cumulative reach value, for each of a plurality of media channels, based on a number of individuals exposed to each of said plurality of media channels for an hour or more for a previous week,

process the data to determine an index to market value, for each of said plurality of media channels, that compares, as a ratio, a percentage of respondents from a selected target group that answered a question to a percentage of all respondents that answered the question,

calculate a qualitative target value, for each of said plurality of media channels, by multiplying the cumulative reach value and the index to market value, and

calculate a qualitative target value cost, for each of said plurality of media channels, based upon the qualitative target value,

wherein lowest qualitative target value cost identifies the media channel upon which advertising resources are most effective.

10. The computer of claim 9, wherein the processor is further configured to rank the plurality of media channels based upon the qualitative target value.

11. The computer of claim 9, wherein the processor is further configured to select the media channel with the lowest qualitative target value cost to use to advertise.

12. The computer of claim 9, wherein the media channel is a television network.

13. The computer of claim 9, wherein the media channel is a radio station.

14. The computer of claim 9, wherein said calculate the qualitative target value cost for each of said plurality of media channels comprises:

determine a spot rate;

determine a target demographic rating;

determine a number of households in a market that receive the media channel;

calculate a delivered number of impressions by multiplying the number of households and the rating;

calculate a total cost by dividing the spot rate by the delivered number of impressions; and

calculate the qualitative target value cost by dividing the total cost by the qualitative target value and multiplying by a factor of 100.

15. The computer of claim 14, wherein the processor is further configured to calculate a cumulative reach efficiency factor, for each of said plurality of media channels, by dividing the total cost by the cumulative reach value.

16. The computer of claim 14, wherein the target demographic rating is an average quarter hour rating expressed as a percentage.

17. A method for determining an effective use of advertising resources, comprising:

receiving, by a processor, customized, market-specific consumer data;

processing, by the processor, the data to determine a cumulative reach value, for each of a plurality of media channels, based on a number of individuals exposed to each of said plurality of media channels for an hour or more for a previous week;

processing, by the processor, the data to determine an index to market value, for each of said plurality of media channels, that compares, as a ratio, a percentage of respondents from a selected target group that answered a question to a percentage of all respondents that answered the question;

calculating, by the processor, a qualitative target value, for each of said plurality of media channels, by multiplying the cumulative reach value and the index to market value; and

calculating, by the processor, a qualitative target value cost, for each of said plurality of media channels, based upon the qualitative target value,

wherein lowest qualitative target value cost identifies the media channel upon which advertising resources are most effective.

18. The method of claim 17, further comprising ranking the plurality of media channels based upon the qualitative target value.

19. The method of claim 17, further comprising selecting the media channel with the lowest qualitative target value cost to use to advertise.

20. The method of claim 17, wherein the media channel is a television network.

21. The method of claim 17, wherein the media channel is a radio station.

22. The method of claim 17, wherein said calculating the qualitative target value cost for each of said plurality of media channels comprises:

determining a spot rate;

determining a target demographic rating;

determining a number of households in a market that receive the media channel;

calculating a delivered number of impressions by multiplying the number of households and the rating;

calculating a total cost by dividing the spot rate by the delivered number of impressions; and

calculating the qualitative target value cost by dividing the total cost by the qualitative target value and multiplying by a factor of 100.

23. The method of claim 22, further comprising calculating a cumulative reach efficiency factor, for each of said plurality of media channels, by dividing the total cost by the cumulative reach value.

24. The method of claim 22, wherein the target demographic rating is an average quarter hour rating expressed as a percentage.