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Re: Re(2): Media Conglomerate Packages

Fraser Elliott (FElliott@beap.com)
10/27/1999 9:20:00 AM

I agree wholeheartedly with Michael.  In my buying experience, bundling =
almost never makes it easier to get a good deal.  Radio combos and trombos =
work great for the sellers because they can sell a property on the =
shirttails of a better one.  Certain large magazine companies are fond of =
bundling and they make it very difficult to cherry-pick their properties.  =
I want full flexibility when I'm buying and bundling hinders flexibility.  =
Dealing with large multi-media packages makes it really difficult to get =
the absolute best out of each medium, whether that's pricing or quality of =
vehicle.

Fraser Elliott
Vice President
Group Planning Director
Barkley, Evergreen & Partners
Kansas City, MO

>>> Micheal Bispo  10/27 8:54 AM >>>
My concern with consolodation is when we find ourselves in a "forced"
package situation.  I've experienced this to a lesser degree with radio in
that, let's say an owner has two stations in-market, one that fits my
target profile and one that does not.  To get both stations on the buy,
the rep would offer a "package" deal that would give an overall attractive
CPR, but with a portion of the weight going to the less than desirable
station.  Not wanting to spend money on a station that I feel does not
either demographically or psychographically match my target profile, I
would turn down the combo.  The result?  CPR penalties on the desired
station cost.

It can go both ways, in terms of also giving you exposure to a whole new
group of people at a discounted rate.  However, I just would be pretty
judgemental of the packaged stations to ensure they are there because they
will benefit the client.  Not because they need to improve thier bottom
line on an underperformer.

Micheal Bispo
Media Supervisor (yup, they promoted me)
MaxxMedia Inc.
Toronto, Ontario, Canada


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