Return Channel Targeting and Simplicity: Radio vs. Social Media

Return Channel Targeting and Simplicity, Social Media, Radio, Jon-Luke RamosReturn channel targeting and its simplicity are two very important aspects of what makes good advertising. These are steps that are outside the realm of the ad itself but are what is going to get you the sales you want. Making the customers job easy is what will make them want to buy your products or services.

Social media seems to have the upper hand when it comes to return channels. Being on the internet it can take all of 2-3 minutes for someone to find your promotion, click the link, and buy. This is what makes social media a great tool that has revolutionized the consumer market. When you post a targeted promotion on a discussion group or other social network you can then set a highly targeted landing page right to what you are promoting.

Radio on the other hand has a few minor setbacks. Since the majority of radio advertisements are heard in the car there is no way for an instant response like with social media. After your audience hears the promotion they can either call in, which is not as common today depending on the business, or wait until they can get to a computer. This elapsed time can cause your audience to forget, rendering your ad ineffective. Say your audience does remember and makes it home to their laptop ready to check out your site, unlike a highly targeted social media landing page you will more than likely need to set a more generic landing page seeing as you would have had a widely targeted promotion on the radio considering the size of the audience. This just adds another hitch to the long sales process.

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Audience Target Efficiency of Radio and Social Media

Audience Target Efficiency, Conversion Rate, Radio, Social Media, Discussion Group

Audience target efficiency is a simple measurement of how effectively your promotions are targeting the market you are looking to expose your brand to. This can be measured throughout all advertising methods to see which have the best conversion rate and will overall help you get the business you want.

Radio has an audience that often varies with people of different interests and backgrounds. Sure you can advertise on a station that most likely has the listeners you want to target but their interests and activity with the radio just may not be enough to get a large amount of conversions. Considering a station of about 100,000 listeners only about 2% of them may have a current interest in what you are promoting. This is where radio lacks a high conversion rate because of its difficulty to target your desired audience depending on your products and services.

Social media is another story in the case of audience target efficiency. Promoting your brand on discussion groups or in other social media avenues can help you narrow your focus down to a select few that without doubt have interest in what you have to expose them to. In a discussion group with a size of 1000 members you can expect about a 30% conversion rate, which is a relatively large percentage since participants in the group have an interest already. These higher conversion rates make social media look more appealing when it comes to audience target efficiency but it takes a good social media agent to find just the right networking sites and groups that will give you the best ROI.

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Cost Per Insertion: Radio and Social Media

For an average radio station with about 100,000 listeners, a decent advertisement will cost you about $50, thats 50 cents CPM. This is a great traditional method that has helped drive marketing campaigns for decades now. Measuring radio promotional costs seems to be much easier than measuring social media costs, but it is still nearly impossible to track your customers to see just how each one of them heard and gained interest of your product or service.

Social media involves more costs in certain areas. In the case of an online discussion group, there will be an initial labor cost depending on you or your employee who is searching for the ideal discussion group, one that shows the most promise in having interest in your promotions. Next is the post itself, an additional labor cost is added for the writing of the post and the later follow-ups needed to facilitate prospective consumer interest. Say this takes about 1 to 3 hours total of labor time at an average of $20/hour, now that looks more costly than radio, but the impressions are far greater on specific discussion groups than a radio station with a much more diverse audience that may not be the slightest bit of who you want to target.

This perpetuates the ongoing battle of advertising methods and which ones are going to give you the highest benefit with the lowest possible costs. A larger audience can be exposed to your ads sometimes with a lower cost, but the return may not be near the return you want. Then theres the more concentrated route of social media groups which can yield a high percentage of impressions but with more costs. The decision is yours.

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Radio and Social Media Reach

Big Questions:
How many people will see or hear my message?
How much does it cost to deliver my message?
Active Listening/Viewing – Radio tends to reach more people than on a social media discussion group but that doesn’t always mean they all are paying attention. Social media audiences tend to be more active considering the online group interactivity.
Group Size Impact – Determining which groups to promote on whether it be through LinkedIn, Facebook, or another channel can be quite the balancing act. You want a large amount of people in the group, but not too large. There will be less exposure in larger groups because of all the digest, remember, you probably are not the only one trying to market on that outlet. Then again you don’t want a group that’s too small since that would just be a waste of labor.
Audience Profiling – As already discussed there is a large audience exposed to radio promotions but they may not be the ones who you’re trying to reach. Social media can allow you to focus on certain groups and demographics to best market your brand, product, or service. With radio this is not as easy but certainly possible, certain stations will tend to have different types of listeners that you may be trying to market to.
Geographic Targeting – Both radio and social media can be used when trying to target a certain geographic market. Radio advertisements can be played across local, state, national, and even international stations which can allow you to target just about anywhere in reason. This is also the case with social media, there are thousands of groups oriented around a certain city, region, or state, this also makes targeting a geographical spot easier.
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Radio Broadcast and Social Media Cost Comparison

Radio and Social Media Comparison Table, Advertisement, Social Media Marketing

Reach The number of listeners or members that are exposed to the content advertised.
Active Listening The audience reached that actively engage and listen to the promotion.
Impressions Per Action (Frequency) Ratio of interested individuals in the audience.
Return Channel Simplicity Simplicity involves an instant response which is greater in social media because of the platform’s quick interactivity.
Return Channel Targeting – Involves having a highly targeted landing page for the audience who expresses interest
Commercial Offer Capability – 100% of offers can be discussed for Radio, but only 1:5 for social media due to its nature.
Audience Targeting Efficiency (Conversion Rate) Percent of audience with legitimate interest and most likely to buy product or service.
Overall Efficiency Overall interest percentage
Number of Leads Number of obtained sales leads
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How to Compare Radio and Social Media Promotion

Radio has been a strong advertising channel for nearly a century and for good reason. It’s ease and tremendous reach to the public gives it an edge over many other marketing methods, but a new promotional platform still in its infantile stage is coming on to the scene with great promise, Social Media. Comparing the two can be difficult and a lack of knowledge in regards to which can help generate more business can lead to a wasted budget, a poor brand reputation, and less sales. This article will discuss comparisons between social media and radio promotion and what you can do to generate more sales leads and improve your marketing campaign overall.

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How to Justify the Money Invested in Social Media Marketing

You are a marketing officer and you want to justify your Social Media budget to your CFO. This can be a daunting task considering the struggle it is to find a legitimate ROI from marketing through Social Media channels. Without justification from your financial counterpart a variety of results can occur such as a decrease in overall marketing budget, poor online brand reputation, and complaints by superiors on social media marketing failures. This article will provide 5 steps on how to convince your CFO that Social Media is a profitable marketing channel worth investing in.

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