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Short-Form DRTV

2Q Short-Form DRTV Media Billings Slip 4.7 Percent

1 Nov, 2010 By: Jackie Jones Response

Despite an 8.7-percent increase in the number of campaigns, top-40 spending declines 12.9 percent

Second-quarter 2010 short-form DRTV media results provided by Kantar Media showed a loss of just less than $49.5 million from 2Q 2009. Despite the 4.7-percent decline, total 2Q spending still managed to remain — though just barely — above the $1 billion mark for the fourth year in a row at $1,004,564,800.

This loss is a little more than half of the $83 million dip seen in 2Q 2009, and this year’s results mimic prior findings of declining ad rates and increased frequency of short-form campaigns aired due to bargain rates.

Indeed, the total number of unique short-form DRTV campaigns jumped by more than 100 this quarter, and both averages of money spent on a campaign based on the total and those outside the top 40 have decreased — by 12.9 percent and 14.9 percent, respectively.

Second-quarter 2010 did see a jump in spending of $8.8 million (0.9 percent) when compared to last quarter, 1Q 2010, which failed to break the billion-dollar mark.

Crafts Claim Biggest Dollar Gain

Only five of the 17 categories claimed gains this quarter when compared to the same period last year, two fewer than 2Q 2009. Echoing categorical trends seen in 1Q 2010, “Crafts, Hobbies, Sporting Goods and Toys” showed the highest dollar gain with a $21.1 million increase (26.2 percent), pushing its total to $80 million, while “Food and Beverage” earned the top percentage-gain honors, boasting a 41.3-percent increase of $5.3 million, when compared to 2Q 2009. Other categories that saw jumps in spending included “Correspondence Schools,” “Drug and Toiletry” and “Home and Building.”

“Audio Supplies and Equipment” fell 44.7 percent — a $15.1 million loss, earning biggest dollar-loser status. Similar to 2Q 2009, the “Multiple Category Ad” category again repeated as top percentage loser, with a 70.4-percent drag (nearly $2 million). Other big percentage losers included “Collectibles and Art” and “Automotive and Travel,” which dipped 62.9 percent and 57.3 percent, respectively.

A Reversal of Fortune

Cable TV was the sole outlet of media distribution to post any gains in the second quarter, with an increase of $65.6 million (8.4 percent). This is in sharp contrast to 2Q 2009 results, when cable TV suffered its fifth straight quarter of losses. Network TV, which saw a significant 52.4-percent gain in 2Q 2009, saw a steep decline of nearly $27 million, a 47.7-percent loss, the greatest percentage dip of all five outlets.

Hispanic network TV suffered the greatest dollar decline — $41.1 million — a 26.6-percent drop when compared to the same period in 2009.

1-800 Contacts Gets a Look at No. 1

The total number of short-form DRTV campaigns aired increased by 115 (8.7 percent) to 1,329. The average cost of a campaign based on the total fell by $112,341 (12.9 percent), and the average cost of a campaign outside of the top 40 decreased by a significant $61,436 (14.9 percent).

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