TV AD Costs-Local & National
A TV ad is a 15 to 60-second video that’s aired during television show breaks to market a business’ products or services or to build brand awareness. Businesses pay $5 to $34 per 1,000 viewers for a local TV ad and an average of $115,000 for national 30-second ad airings.
TV ad time is expensive, which is why you shouldn’t spend a lot of money on your creative ad elements. We have partnered with EliteLive365 to help keep costs low by connecting with a team who can produce your TV ad for you. These experienced professionals will record your ad, complete editing work, or prepare graphics for as little as $250/project. Click here to get started with EliteTVnetwork.
Factors That Determine Television Advertising Cost
Television advertising is priced on a cost-per-thousand (CPM) basis, which is the cost for your ad to be seen by 1,000 people. The CPM varies widely depending on a few different factors, the biggest of which is location. To get estimate costs for airing a 60-second Television commercial in different markets, consider the following figures from the experts at Casual Precision, a media agency that specializes in offline advertising (TV and radio).
To determine your approximate ad costs, divide the total viewership by 1,000. Then, multiple this number by your market’s CPM rate above. For example, if you want to show your commercial in Los Angeles and your local station tells you that 500,000 people will see your ad, then your cost equation will be (500,000 / 1,000) x 34.75. This equals a total ad cost of $17,375.
Due to the massive growth in digital advertising, TV advertising has undergone certain changes or re-branding. These changes or trends have constantly evolved over the years in a bid to ensure that TV advertising stays relevant. These trends have successfully culminated in TV advertising becoming a lot more effective and worthwhile.
Who TV Advertising Is Right For
The expense of TV advertising—averaging $5,000 per million viewers of a local airing and $115,000 for a national airing of a 30-second commercial—is often a deterrent for budget-strapped small businesses. However, it does create sales-generating buzz around products, particularly those with a pleasant aesthetic. For example, restaurant, car dealerships, travel, health and fitness, and fashion brands all benefit from the visual appeal of TV ads.
These Niches can benefit most from TV advertising:
Car dealerships: Many people purchase cars based on their visual components (space, color, number of seats, and luxury amenities, for example). A TV advertisement helps car dealerships advertise these features.
Restaurants: Everyone needs to eat, so the limited targeted options of TV advertising is not an issue for most restaurants; in fact, it offers a wider audience than most magazine or newspaper ads. In addition, the visual component of TV advertising allows restaurants to showcase their in-store experiences and beautiful dishes to create more appeal.
Travel and hospitality businesses: Travel and hospitality businesses sell experiences. Experiences are best showcased audio-visually. TV advertising allows businesses to explore vacation destinations with breathtaking graphics and sound.
Health and fitness businesses: Health and fitness brands advertise by showcasing the cosmetic results of their programs, equipment, and services. TV advertising accomplishes this more effectively than static ads, revealing fit customers who are athletic, happy, and handsome.
Fashion brands: Like health and fitness brands, fashion advertising entices people to purchase based on looks. The best way to advertise these looks is via a visual medium like television, where customers can see the glamour of various clothes as people wear them.
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About The Producer
Tonya Pugh is the Producer/Developer of EliteTVnetwork, FortuneStreamsTV and EliteLive365TV. She is also a Videographer and has a full in-house Studio Production Company. She enjoys reading, writing and gardening.