Posts Tagged ‘Political Advertising’

Sparks fly in Presidential Jobs Ads…Literally

Friday, January 13th, 2012

Presidential campaign ads are formulaic. In many cases, the viewer sees a montage of established symbols flashed across the screen: American flags flying, wheat fields rustling, Main Streets lined with shoppers, people going to work. Symbols are a powerful way of quickly relating a message to an audience. American flags, for instance, are used to represent freedom, while wheat fields are used to represent prosperity. But which symbol best represents 21st century jobs? The welder. Nothing like sparks flying off a grinder to tell people: this candidate embodies the dynamism of the American economy.

In an effort to track the general messaging behind this year’s presidential ads, Smart Media Group has kept a playlist of all of the television-worthy spots uploaded to YouTube by the presidential candidates, Political Action Committees and issue groups. So far, SMG has tallied 98 different broadcast-quality ads that have been uploaded to YouTube and relate to the 2012 GOP primary election. Of those 98 ads, 22 are negative ads (22 percent), 67 are positive ads (68 percent) and 9 are “contrast” ads, or positive/negative (9 percent).

SMG also has counted eights ads that have featured a table saw with sparks flying. Of these eight ads, five have been positive ads, two have been negative ads and one has been a contrast ad. Watch how each candidate lets the welder tell a story:

1 “Believe in America

Mitt Romney was the first the candidate to feature the welder in his ad, “Believe in America.” It was an attack ad on Obama. Not too many sparks flying, but definitely bright.

2 “America’s CEO

Friends of Herman Cain produced this positive ad called “America’s CEO.” It features a much more impressive shot of sparks flying.

3 “Rebuilding the America We Love

Newt Gingrich entered Iowa with this positive ad, “Rebuilding the America We Love.” It looks like the whole factory is ablaze!

4 “Freedom and Opportunity

Mitt Romney released a positive ad called “Freedom and Opportunity.” This shot is a bit more complicated, with the candidate actually walking behind the welder.

5 “Best Chance” & “Very Best Chance

Rick Santorum also featured the grinder in his positive ad aired in South Carolina, “Best Chance” and version 2, “Very Best Chance“. This is a great, full screen shot of a welder working hard.

6 “Timid vs. Bold

Newt Gingrich featured this table saw in his contrast ad, “Timid vs. Bold.” This shot is a nice switch up from the traditional close up of the welder.

7 “Mitt Romney: Job Creator?

MoveOn.org aired this Romney attack ad on cable networks in New Hampshire. It’s a nice shot of the man working with the grinder.

8 “Leadership

The Pro-Perry Make Us Great Again PAC aired “Leadership” in both Iowa and South Carolina. This may be the best shot of a welder and sparks flying.

Did we miss any welders? Which ad is your favorite?

A version of this post was also published on Campaigns and Elections’ blog, Campaign Insider.

The Illusion of Holiday Ad Spending

Tuesday, December 20th, 2011

Around the holiday season, news reports of crowded malls and commercials for surprise Lexus’s fill the airwaves creating a sense of a crowded marketplace for advertisers. Kantar Media predicts an increase in 4th quarter spending as well as an increase overall as compared to 2010. How does this change affect advertisers in a now apparently crowded marketplace?

When looking at Kantar Media’s data across multiple months and advertising categories, the effect of the holiday shopping blitz is minimal. While the numbers are certainly higher in November and December in the retail category, it is not worthy of an increase of station rates and lack of inventory. While 21% of the dollars spent by retail advertisers are in November and December, it is hardly a gigantic increase over the two smallest months, January and February at 15%. When compared to other categories (ex: auto, political, and telecom), retail only increases from 30% of the marketplace in October to 36% in December. Once you include all the categories, December is not even the highest spending month, which is May and October (due to political ad spending).

Knowing that advertising dollars are spread out more thinly over different categories and months, stations in fact do not jack up rates to capitalize on the shopping buzz, but rather wait for the hectic political season.

Secret to Success This Electoral Cycle: Money, Data, Adaptability — and a Narrative

Wednesday, October 5th, 2011

From Advertising Age, 10/4/2011

http://adage.com/article/special-report-advertising-week/election-12-narrative-data-bad-twitter-behavior/230209/

Advertising Week Panel Predict Billions Spent on Niche-Targeted Micro-Campaigns; Twitter as Negative Campaign Tool

By Ken Wheaton

With the 2012 electoral cycle already well underway, campaign managers overwhelmed by a wealth of new media options, thousands of bytes of data, billions of dollars in advertising spending and multiple third-party players should remember this: “Story telling in political advertising is more important than ever.”

That was Catherine “Kiki” McLean, senior partner, global head of public affairs and managing director for Porter Novelli Public Services, at an afternoon Advertising Week panel discussion about political advertising. Ms. McLean, who worked on Hillary Clinton’s presidential campaign, joined Purple Strategies’ Rob Collins, Smart Media Group’s Kyle Roberts, ASGK Public Strategies’ Eric Sedler and Time Warner Cable Media President Joan Hogan Gillman.

The panel kicked off not with an obsession over what Facebook will mean for the candidates or how Twitter will change everything, but rather with four old-fashioned TV ads, chosen by panel members based on their strengths and, in one case, its weakness. The unfortunate ad was for Maryland gubernatorial candidate Bob Ehrlich, who lost his last try for office.

The problem, said Ms. McLean, wasn’t the tone or even the message, but that the ad “told you nothing about what it would be like” if Mr. Ehrlich won the election. The other three ads — one of which was not a political ad, but an Allstate ad about the recession – ranged from humorous to serious but all had clear narrative voices.

Of course, having great ads will be just one part of an increasingly complex equation. The number of candidates might not be any higher than in previous years, but the number of groups — from candidate’s campaigns to political party committees to SuperPACs — spending money will be up dramatically. While the national media will be caught up in a presidential contest likely to approach $3 billion, Smart Media’s Mr. Roberts pointed out that in 2010 one congressional contest in Roanoke, Va., saw $8 million in outside money. That’s only expected to increase this time around.

Note to media companies, Mr. Roberts said only half-jokingly: “We need a lot more inventory.”

Time Warner’s Ms. Gillman, who has a background in politics, was quick to point out that Time Warner, which happened to sponsor the panel discussion, was in a position to help candidates (as are, one assumes, other cable providers). But cable companies, she added, have had to adapt with the times. Political campaigns are now optimizing their messaging in close to real time and local cable providers have no choice but to be able to put an ad up — or take it down — within a 24-hour time frame.

She also raised the point of data mining and niche targeting, which cable providers, as well as various online outlets, now make available to candidates.

Mr. Sedler, who founded ASGK Public Strategies with top Obama campaign advisor David Axerod, picked up on the data theme. “There is so much data … you’re going to see dozens and dozens of micro campaigns underneath macro campaigns.” He envisioned, for this cycle, “hundreds of campaigns that will be visible only to niche audiences.”

That, of course, is where online and mobile come in — banner ads, YouTube videos, candidate web pages, blogger outreach. And social media?

The panelists spent little time discussing the flavor of the last three years until asked to do so by an audience member. Those spending hours and hours of time on Twitter and Facebook might be forgiven for thinking that large percentages of the billions to be spent will be funneled that way, but the seasoned political consultants see the platforms as an efficient way to, well, preach to the choir and keep the believers engaged.

“Smart campaigns are going to spend significant resources to build a social-media voice” prior to and during next summer, said Purple Strategies’ Mr. Collins. After all, “picking up a Facebook friend on Oct. 31 is not the best use of that platform.” (Mr. Collins, noting the possibility of ad oversaturation and voter exhaustion, emphasized the need for campaigns to distinguish themselves early in the cycle. “Before Labor Day, spending can move numbers,” he said. “After Labor Day, it just locks in numbers.”)

Mr. Sedler noted that the best use of Facebook is as a “mobilization platform not a persuasion platform.” Though he did note that it’s changed dramatically since 2008 now that, theoretically at least, 50% of voters can be reached through the platform.

Perhaps his most interesting comment was made about Twitter. Seen typically as a conversational medium and portrayed as something that’s done good (Haiti and Tsunami relief efforts, Democracy movements), it’s also been a quick way to spread gossip and, from time to time, false information.

Mr. Sedler seemed to think political operatives might be unable to resist the dark side of the medium. “Twitter was a non-actor in 2008,” he said, but “my sense is you’ll see a lot of negative stuff put out via Twitter.”

Political and Issue Advertising

Tuesday, May 31st, 2011

Why do agencies generally pay more money for issue ads? Are stations providing the lowest unit rate, even for political issue groups?

Experience says in retail media buying and planning one must contact stations, request avails and notify stations of the client, flight dates, and demo.  Typically, stations send the rate card and then buyers negotiate the rates based on cost per point. Agencies user their historical cost per point to help gauge a market cost per point. Simple enough.

So here I am at a political/advocacy shop. Candidate buying varies slightly from retail with the biggest difference being posting and the rate card structure.  Political windows are one unique aspect to political media buying – 45 days before a primary race the political window opens up and 60 days before the general election the window reopens.  During that time the stations must give candidates the lowest rate a station has to offer for a specific time period. When stations send candidate cards they must have the various levels of rates that will clear. The lowest rate is supposed to go to the candidate if the flight falls into the window. 

Interestingly enough, when agencies negotiate buys outside of the window, stations are not required to give political candidates the lowest until rate. At this time agencies must acquire regular rate cards and negotiate based off of those. I am currently in a situation in a state wide race and I was able to place a few weeks outside the window. Now we are going to be approaching the window when the rates are going to be lower. To be continued…

Why are issue groups automatically moved to the top of the card? “Highest level on the card” is what most reps say. But why? Because it HAS to run. The Fixed Non-preemptible rates simply mean that clients want their spots to run as ordered with no problems. But the problem the definition of this level is that some stations send makegoods and the resulting GRPs don’t match what was originally placed. When things are placed at the lowest level they are more likely to be pre-empted, but most of time it runs! Well I am going to get to the bottom of this. Over the next few months I am going to document and research issue rates. Smart Media Group has a very good reputation of negotiating and collecting public files. We have proved many times over to be getting a better rate for our candidates. I am hoping to prove the same thing with issue.

I quote a friend who works in radio sales, “oh whenever we get an avail for issue we always bump up the rates by at least 50%”. Really? Is this fair? Issue advertisers are helping stations make up their loss budgets. That is obviously my opinion on the matter. This statement alone makes me want to investigate.

Metro Advertising Opportunities

Wednesday, February 16th, 2011

 Recently when riding the metro with nothing to read, I noticed two particular advertisements that peaked my interest and specific needs I had at the time.  Bose was advertising their newest set of in-ear headphones, which grabbed my attention since my current headphones are wearing down, and a McCafe advertisement sounded good on the cold winter day. However, the two advertisements did not mention where I could pick up the new headphones and warm coffee, as seen in examples below (courtesy CBS Outdoor).

 

Even though there are roughly 100 McDonalds locations in the DC metro area and Bose’s website is listed on the ad, it would be beneficial for these companies to add locations to the creative.  A simple “One block from Rosslyn station” or “Sold at L’Enfant Plaza” could prevent me from going to Starbucks instead and would drive up sales. These ads are available to target locally by metro line and station, and are common on the metro already with local ad campaigns such as new jet fighters near the Pentagon station, and health care reform near the Capitol South station.  Bose and McDonald’s could coordinate with local branches/retailers to target their customers, which is common with auto dealerships on print and TV. Bose and McDonalds could take its cue from Home Depot and Fuddruckers, which already have ads that mention locations as seen in the examples below from other subway systems:

 

While these large corporations with enormous marketing campaigns might not bother with this level of targeting, there is unlimited potential for creative metro advertising for local businesses.  Companies with one location only need to advertise near their closest station or mention the one address on all their creative. Meanwhile mid level local advertisers with multiple locations can utilize the different lines to better target their customers with some creativity. Here are some examples:

  •  “Boss make you angry over the TPS reports today? Take it out tonight at a LA Boxing Gym next to the Braddock Road and Foggy Bottom stations on the blue line.”
  •  “Long winter expected? Don’t get caught in the cold without a new winter coat from Burlington Coat Factory. Available at the Silver Spring and Greenbelt stations.”
  • “Just finish your book? Check out the new Tom Clancy bestseller at the following Barnes and Nobles locations on the red line, Bethesda, Dupont Circle, Metro Center, and Union Station.”
  • This targeting even applies to political advertising as well. “Bob Smith voted against the Purple line last session.  Vote for Mike Jones in November to shorten your commute.”

The cost for this type of campaign is reasonable as well.  The monthly fee for 250 Metro ads roughly equals the same amount as 50 radio spots on the top stations, 25 cable ads on ESPN/CNN/Fox News and 20 television commercials on the local four stations. Imagine how much money Verizon would have saved on advertising when they had exclusive service rights to the Metro if they ran ads “No bars down here? Switch to Verizon today.” Maybe one day these companies will seize this opportunity to reach an audience staring at an ad for 30 minutes.

A “Super” Opportunity for Political Advertising?

Wednesday, February 2nd, 2011

                While most of the discussion leading up to the Super Bowl focuses on the matchup between the two teams, much of the attention during and after the game will be about the commercials. While the cost of a 30 second spot will be between $2.8-3 million dollars this year, the game averages over 100 million viewers. That is a lot of eyeballs watching a spot about your new soda or movie, especially since viewers will not be DVR/TiVoing past the commercials.  Would such high exposure be beneficial for political campaigns as well?

                While placing an ad in the Super Bowl would break the budget for most political campaigns, it would be an efficient avenue for both national and local campaigns. Even though the Super Bowl is the most watched program of the year and is seven times the rating of an average Sunday night show nationwide, at $3 million a spot, it is a hundred times more expensive.  While the earned media attention about the commercial would be a great kick off for a national campaign for president, the importance of the primaries of Iowa and New Hampshire would render the national attention ineffective.

                However, on a local level, placing a political ad in the Super Bowl would be more efficient, especially in the cities vying for the title. In battleground primaries cities such as Cedar Rapids, Iowa, a presidential candidate can introduce themselves to half the viewing public for the same efficiency as a spot in “Dateline”, “CSI”, or “NCIS”.  Meanwhile a candidate running for a statewide office in Pennsylvania this year could spend $75k in Pittsburgh, reaching 88% of the audience for the same cost per viewer as “Grey’s Anatomy” and “60 Minutes”. The following chart reflects this efficiency in the Steel City.

                Regardless of the outcome of the game, with the earned media potential and added focus on the commercials, advertising in the Super Bowl might be a winning idea for a politician.

Smart Media Group Honored to be part of Historic GOP Wave

Wednesday, November 3rd, 2010

Smart Media Group was proud to play a role in the historic Republican victories on Tuesday. In an election cycle with record political spending, the Alexandria based advertising agency helped candidates and issue groups navigate a cluttered environment. “Every year political advertising budgets increase and so many elections are decided by a few hundred votes. Hiring an agency with a record of winning big political races makes a big difference. Our experience provided a competitive advantage to our clients and resulted in better ad placements for the lowest price,” said Smart Media Group’s President Kyle Roberts. Smart Media Group congratulates the following clients:

Senator-Elect Jerry Moran

Senator-Elect Marco Rubio

Congressman Frank Lucas

Congressman John Sullivan

Congressman Joe Wilson

Congressman-Elect Robert Hurt

Congresswoman-Elect Kristi Noem

Congressman-Elect Ben Quayle

Congressman-Elect Kevin Yoder

Governor-Elect Bill Haslam

Governor-Elect Rick Snyder

New York State Senator George Maziarz

New York State Senator Roy McDonald

Republican Governors Association

Republican State Leadership Committee

Journalistic Standards Rise as The Wall Street Journal Cites SMG’s Twitter Account

Tuesday, October 26th, 2010

Wall Street Journal 10-25-2010

Political Ads Inundate Media Markets

Rates Soar Fivefold in Cities With Tight Races, Like Syracuse and Seattle, Prompting Candidates to Find Creative Solutions

By Elizabeth Williamson and Suzanne Vranica

U.S. political candidates have amassed more advertising cash this year than ever before. The hard part is finding places to spend it.

In the busiest markets, which include California, Nevada, Arizona and Florida, prime spots are virtually closed to nonpolitical advertisers until after Nov. 2.

Ad rates are up fivefold in markets with newly tight races, including Syracuse, N.Y., the site of two toss-up House races, and Seattle, where Democratic Washington Sen. Patty Murray is fighting a surge by Republican challenger Dino Rossi.

The glut has forced candidates and their ad buyers to wait, innovate or try to game the system.

Given its small budget and soaring prices, the Louisiana Democratic Party couldn’t afford to run in prime time a documentary-style, two-minute ad about Republican Sen. David Vitter’s admitted past ties to a Washington madam. Instead, it ran late-night ads for a week in early September. A longer version ran on two separate websites.

Vitter spokesman Luke Bolar said Democratic nominee Charlie Melancon “is obviously really desperate if he has to resort to personal attacks to duck and divert attention from his abysmal voting record on the issues.”

A Supreme Court ruling in January freed corporations and unions to spend unlimited amounts on independent campaign advertising. Combined with a series of competitive races in high-priced television markets, ad spending is on track to top $4.2 billion this year, compared with about $2.5 billion in 2008.

“It’s the strongest market I have ever seen for a non-presidential race,” said Paul Wasserman, general sales manager at WLPG in Miami, an ABC affiliate owned by the Washington Post Co., where ad rates adjacent to news programming, a favorite slot, have doubled from pre-election levels.

As a result, digital-ad agencies have seen political spending on the Web change this season, with more campaigns paying to run video ads on Web sites. Previously, they would post TV commercials on YouTube and hope they went viral.

After the Supreme Court ruling, one veteran buyer booked nine months’ worth of prime TV spots in expected competitive states on behalf of outside political groups backing Republicans, the buyer said. That locked out some Democratic buyers, he said, and locked in a low rate. The buyer cancels unneeded time two weeks in advance, as is generally required in such contracts.

Ad buyers with union clients are doing the same, said Eric Adelstein of Chicago-based buyers Adelstein Liston. “You try to max out the best-rated stations first” for groups, he said. Some stations have started turning down ad buys from candidates, because by tradition they pay a lower rate than independent advocacy groups.

Smart Media Group, a suburban Washington ad buyer with GOP clients, maintains a Twitter feed of Democratic ad cancellations. The feed alerts Republicans to buying opportunities, and serves as a barometer of Democrats’ shifting spending priorities.

In California, some GOP-backing groups are finding inexpensive time on Christian and talk-radio stations instead of regular broadcast and cable TV. Online, conservative groups compete for spots on the Drudge Report, while liberal groups vie for placement on the Huffington Post Web site.

In Illinois, ads for federal and local races have jammed Chicago news broadcast schedules, forcing some political buyers to chase tiny audiences in the wee hours, use cable, or make a single, expensive network buy, for example, during a football game.

The Susan B. Anthony List, an antiabortion group, is doing a lot more direct mail. Postage alone comes to $300,000. “We’re keeping the postal service in business by ourselves,” said group spokeswoman Kerry Brown.

Some things haven’t changed this year from prior campaigns: production quality. Revere America, a nonprofit that supports opponents of the health-care overhaul, is saving money with ads that superimpose candidates’ names and faces in several races across the country over the same generic video and voiceover.

Political campaigns “will always have sloppier creative ads,” said Josh Koster, managing partner of Washington-based agency Chong and Koster, who is advising a number of candidates for the midterms. “Where else do you see ads that go from script to airing in less than 24 hours?”

Political Ad Men for Mad Men

Friday, September 24th, 2010

After cable stalwart Mad Men won its third straight Emmy for Best Drama last month, broadcast stations were airing reruns and reality shows.  Meanwhile, cable networks, like American Movie Classics (AMC), which airs the 1960’s Madison Avenue advertising agency drama, were starting their fall schedules right as political campaigns were in full swing. While cable shows have been winning awards and increasing ratings for years, it is interesting to see how an older skewing show like Mad Men coincides with targeting voters efficiently.

When looking at the ratings and rates in Hartford, CT and New York City, Mad Men is actually quite efficient compared to broadcast shows. In Hartford, a spot during an episode of Mad Men only costs $700 and gets a 4.6 rating for an adults 35 or older demo. Meanwhile, comparably rated broadcast prime time shows, like Dateline, How I Met Your Mother, and Law and Order are double or triple the cost. In New York City, a spot on Mad Men is $7,000, but earns the same ratings as CSI, Survivor, and Amazing Race, which go for $17,000-$20,000. While the audience size for cable is smaller than broadcast, the Hartford and New York City markets have two of the top six cable penetrations in the country at 82%, making a comparison of ratings possible. The chart below shows the Cost Per (ratings) Point efficiency of Mad Men in these markets.

Mad Men’s older skewing viewership also coincides with the targeted older voter audience. According to Arbitron research, 58% of voters in statewide elections in Hartford are 50 or older, while only being 46% of the eligible population, and 56% to 46% in New York City.  This data correlates with AMC viewership as well in these markets.  In Hartford, when comparing voters to a base of adults 21 or older, AMC is the fourth highest percentage increase among the top 15 networks.  In NYC, it jumps up to third highest out of 20. Meanwhile, according to Nielsen research, in New York City, 46% of viewers who watch Mad Men are 50 or above and in Hartford it is 62%.

Buying spots in Mad Men over the expensive broadcast alternative will help target this key older voting demographic while making the most of advertising dollars.

In-Game Political Advertising: Does Retail Success Prove Political Value?

Thursday, September 16th, 2010

     As the 2010 Midterm Election heats up, so does the arena of political advertising. Candidates’ campaign budgets for purchasing media are beginning to balloon as races become more competitive across the country. Looking back to October 2008 then, candidate Barack Obama, became the first presidential candidate in the United States to purchase advertising space in the video game market. According to the Obama campaign’s pre-general election filing records, Obama spent $44,465.78 for online video game advertising with the Massive Corporation—a very affordable expenditure for a presidential campaign with deep coffers. Clearly not a keystone of the Obama media campaign, the video game advertising exploration was notable as well as novel however to the political world.

     Certainly criticism exists. Granted the purchase was well timed (October 6-November 3, 2008) during a critical month of the election. The timing of the ad purchase also leads you to believe that the funds were used after ad purchases of a far higher priority took place. Regardless, the purchase begs several questions. Could that $44.5k been spent more efficiently on a television buy in a competitive swing-state market? The purchase was specifically targeted to include ten battleground states (Ohio, Florida, Iowa, Colorado, Indiana, Montana, North Carolina, New Mexico, Nevada, and Wisconsin). However, by law a citizen must be 18 years of age and registered to legally vote in the United States. What percentage of audience met those criteria in an online gaming community? Massive Corporation, the in-game ad firm places restrictions on various advertisements, such as tobacco or alcohol related ads due to the age restrictions of the specific games in question, providing further hesitation to legitimize the target voter demographic in question.

     Interestingly, this week the Nielsen Company released the findings of a study regarding the effectiveness of in-game advertisements. This was the first time that a study of this kind was performed.  The analysis included more than 100,000 U.S. households and focused on many of the same game titles that were purchased by the Obama campaign back in 2008. The study found that “in-game advertising increased household dollars spent on Gatorade by 24%, and offered a return on investment of $3.11.” These results are extremely energizing and enlightening. Whether or not political advertisements will be met with the same success as retail advertisements is still open for debate, research, and review. Another unknown is whether or not voters will see an increase in in-game ads in upcoming elections. Certainly the presence of in-game ads is directly proportional to the size and scope of a particular campaign budget. This being said, the past decade has been witness to an explosion of new mediums of political advertising, as well as the continuous growth of campaign funds. One thing is for sure, political advertising in future elections will continue to take voters by surprise by appearing in unexpected forms.

The Nielsen Company Study