radiojunk said:
What numbers do ad agencies use most? CPP, CUME, etc? and what demographic? Does 12+ mean anything or what? I'm new to this Arbitron stuff, so please be nice. I already know I don't know.
Buyers who use ratings, such as agencies, use the rating number in the desired demo to make buys. Since rating represents the number of people in the target who will, on average, hear each spot, it allows comparing a station's rate with its delivery.
An agency will have a goal in any given market of buying at a particular cost per rating point. Stations that deliver efficiently will be bought first and most often.
When making a multistation buy, an agency will often use cume and rating (or share or AQH persons, all of which are the same thing expresssed differently) to determine the optimum reach and frequency for a campaign. This avoids buying too many stations at the older or younger (or too male or too female, etc) part of the target, or stations that significantly duplicate others with no added cume.
Clients will usually instruct the agency as to the intended demographics for a product or service, based on design criteria and research. The agency may participate in market research to determine the best sales opportunies,
25-54 is the biggest demo because it encompasses the wide variety of more specific demos we see, such as "English dominant Hispanic Females 25-44" and so on. 18-49 is growing in importance as advertisers generally find a better return on investment from advertising to younger consumers. Of significance, either as a specific target, or one that must be included in buys, are Hispanics and Blacks, who make up over 30% of the population, and as much as 70% in markets like Miami.
The FCC has become active of recent in making sure ad buys are not descriminatory because of the instances of "no Black" or "no Hispanic" buying dicates in the past, so ethnic analysis of a campaign will be very important in the future.