July 28th, 2010
Product that help consumers get sexier, healthier, or wealthier sell well on infomercials.
After midnight, 60%-70% of TV networks switch to infomercials – fodder for many jokes and a nine-billion dollar industry. Paid programming offers a very small cost per impression because even during overnight hours, 106 million potential customers could elect to watch paid programming. And networks are hungry for programming simply because there are so many of them; because infomercials fill that gap, they are very cost-effective for advertisers. On some networks, a half-hour TV show can air on national television for as little as $1000.
Television is an invasive advertising medium; commercials appear on television whether we want them to or not. Thirty-second TV commercials are an interruption to programming, however, and receptivity is not guaranteed – in fact, it’s only about 20%-30%. However, television advertising costs are based on how many people are watching the program that the commercial interrupts; it includes viewers who don’t watch your expensive 30-second commercial because they are throwing a load of clothes into the washing machine or using the remote to check out what other networks have to offer. In contrast,
because viewers choose to watch infomercials, receptivity is 100%.
Most infomercials market products that enhance one of only three things: sex, health, or wealth. This covers a wide range of products, however, from books and counseling to real estate and vitamin supplements. Viewers choose to tune in to paid programming because they are interested in the information being offered. And who isn’t interested in being sexier, healthier, or wealthier? Nearly any product that enhances one of these items can be successfully marketed with an infomercial, and success can even be predicted with testing.
An infomercial company can arrange of a test of your company’s product via a small network of around two million households for about four months; the data from the test can be used to determine whether a regional or national rollout will be successful. This type of testing underscores the results-driven nature of paid programming; success is predicted based on the number of phone calls and website visits, not the number of impressions. Testing minimizes costs while maximizing ROI, since the data can also be used to fine-tune the program and its markets.
Spending fewer dollars on production and more on airtime also helps maximize ROI; in many cases, a $10,000 program will work just as well or better than a $100,000 program. It pays to invest the extra dollars in properly placed airtime – and in determining how all those extra orders will be filled!
Tags: infomercial, infomercial company, infomercials, paid programming
Posted in Advertising, Infomercials | 2 Comments »
July 20th, 2010
ROI for a successful infomercial will increase over time.
ROI is more important than ever in today’s marketplace. Businesses have streamlined their advertising budgets along with the rest of their processes, and those who are accountable for those budgets need to know that they are getting the best return on investment possible. Here’s how to maximize the ROI on your infomercial campaign.
- Improve your website. Infomercials are usually structured as a half-hour of programming interrupted with “commercials” that are calls to action for the product or service airing every few minutes. Many of today’s viewers will go to the website featured on the call to action instead of calling the toll-free number, so your website must be conducive to purchase. Make sure this is done and that the infomercial and the website flow together seamlessly.
- Research your competitors. Don’t forget to include research from a viewer’s perspective. Watch their infomercials, then use both the toll-free numbers and websites to order products. Create a grid in Excel and record all of your experiences by company. Distill the research down to a report and compare and contrast the results to make better decisions about your infomercial campaign.
- Ask for a trial week. This will help nail down the best days and times for air. The infomercial company can help you narrow this down with quantitative data showing when products or services similar to yours have sold best historically, but a trial week provides you with the data you need on your particular product to substantiate media-buying decisions. Your media buyer can also use this data to negotiate more favorable rates.
- Do a split test. As you make decisions about the look and feel of your infomercial, keep a record of your second choices so you can have a second program created for a split test. This helps assuage niggling doubts about what will work best if you go through the process and will also help you support your final decision with quantitative data.
- Make a commitment. Once your trial period and split test are complete, evaluate the data with an eye towards making a firm commitment to your infomercial for at least 90 days. It will take at least this long to evaluate the results, and if the testing was done properly, ROI will increase over time. If you make changes to the program and/or media placement, you run the risk of diluting your message. If a competitor takes a time slot you’ve abandoned, they will be the ones who benefit from your campaign.
Ensuring ROI on an infomercial campaign requires a little extra work and some creative thinking, but in today’s highly competitive marketplace, it’s worth it.
Tags: infomercial, infomercials
Posted in Advertising, Infomercials, Television Advertising | 1 Comment »
July 16th, 2010
A TV commercial done properly will help your company generate revenue.
Selecting a production company for their company’s television commercial is a decision that is fraught with stress for many business owners and key decision makers. It’s easy to become nearly paralyzed at the thought of making a relatively high-dollar investment in something that will be seen by thousands, if not millions, of customers and potential customers, not to mention colleagues, family, and friends. A TV commercial shapes perception of your company, for better or worse, and on top of that, will be a failure if it doesn’t increase revenue. So how do you make the best decision when choosing a production company for your TV commercial? Here are some tips.
- Compare costs. Budgetary considerations are the prime objection most businesses must overcome to invest in a TV commercial. But make sure you compare apples to apples when comparing price. Consider the value you are getting for your advertising spend in addition to bottom-line figures.
- Find a company that will produce a targeted message to a targeted audience with targeted ad placement. Television sets are in 99% of US households, but you don’t need to advertise to 99% of households to increase revenue and market share. Avoid production companies that will use a shotgun approach that dilutes your message and wastes your money.
- Consider quality as well as price. You should easily be able to view commercials made by the companies you are considering on their websites or YouTube channels. If there aren’t any posted from your particular industry, ask to see them.
- Ask about turnaround time. In the digital age, turnaround time should be short – within a week. Shooting the commercial shouldn’t take more than a day of your time.
- Consider how the commercial fits in with the rest of your advertising and marketing mix. Tell prospective production companies about the other advertising you are doing – radio, print, and online campaigns. When properly integrated, a TV commercial will boost the effectiveness of other marketing efforts.
- Select a production company with a broad range of services and industry experience. Besides having the connections to negotiate inexpensive airtime, the company may be able to offer options you haven’t considered. For example, you may be able to bundle advertising services for additional discounts.
- Don’t make a decision by not making a decision. The recession has eliminated many companies who were operating on tiny margins or at a loss, and competition is more cutthroat than ever. You simply can’t afford to ignore the power of TV advertising.
Tags: tv commercial, tv commercial production, tv commercials
Posted in Advertising, Television Advertising | 1 Comment »
July 12th, 2010
SEO is critical to your company's credibility.
Search Engine Optimization (SEO) is a rather murky area of internet marketing for many business leaders. In that sense, it is not much different from the origins of other forms of marketing and advertising, all of which at some point suffered from being the new kid on the block. But understanding SEO, at least enough to take advantage of it, can be a boon for many businesses whose competitors are not doing so and is a necessity for those whose competitors are doing so. Here are the answers to some FAQs about SEO that will help you get in on the ground floor of this marketing opportunity.
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Tags: Internet Marketing, search engine optimization, seo
Posted in Internet Marketing | 1 Comment »
July 4th, 2010
Starring in their own infomercials is a somewhat frightening prospect for many people, but it has so many benefits for your business that you’ll want to get past your fears. The fact is that your customers want to see you in person – in fact, they are excited to see you in person! Earning recognition will help you sell your product or service because customers will grow to know, trust, and appreciate the face behind the name.
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Tags: infomercial, infomercials, paid programming
Posted in Television Advertising | 1 Comment »