TV Advertising Budget Allocation Suggestions

You have decided a TV advertising budget is necessary for your next automotive ad campaign. You’re looking to build name recognition for your dealership, and maybe even brand recognition if yours isn’t one of the more household names. You have chosen wisely. But making the decision to have a TV advertising budget is only part of the equation. The next question should be, Based on my needs and my budget, should I advertise on Broadcast TV, Cable TV, or both?

What Should My Broadcast TV Advertising Budget Be?

Broadcast TV includes stations like ABC, CBS, NBC and FOX. Broadcast TV is king when it comes to generating as many viewers as possible, as quickly as possible (think: reach). As a rule, broadcast TV is more expensive, but because of the large area of reach it is often a very smart investment. It also offers a smaller cost per thousand (CPM). 

What Should My Cable TV Advertising Budget Be?

Examples of cable networks are TNT, TBS, Lifetime, ESPN, and hundreds more. While reaching a smaller audience, cable has its advantages, too. Cable is purchased in “zones,” with each zone being a portion of a larger market. For that reason, cable provides the opportunity for more precision audience targeting, and offers a wide array of networks and programs on which to advertise. Second, because it’s cheaper, you’re able to run your ads more often (think: frequency).

Is Broadcast or Cable (or Both) Right for My TV Advertising Budget?

There is no cookie-cutter answer for this question. Each dealership’s situation is different. You need sufficient amounts of reach and frequency to make your campaign effective. For example, if you’re a small-to-medium-size dealership you wouldn’t do large amounts of broadcast TV because the frequency would suffer despite a larger reach. Conversely, a large dealership could saturate certain zones with a wave of cable ads, but they would miss out on the reach that broadcast TV provides. If you fall somewhere in the middle, your automotive advertising agency can help you decide what’s best for you. Finding the right mix of both is the key.

Free TV Advertising Review

Want to find out what it takes to get your dealership on the TV airwaves? Would you like to discover if your TV advertising budget is being spent to its fullest? JKR Advertising is offering a FREE TV Advertising Review that will enable you to find out, with no strings attached. Simply fill out the form on this page, or call us at (321) 397-0777 today.