News U Can Use – November

Here are your media/advertising News U Can Use items for November:

These news items are brought to you by Kuk & Baldwin:

PIZZA FACTS. Did you know that some 3 billion pizzas are sold in the US every year?  The source article doesn’t say whether that figure includes frozen pies at grocery stores – but if we assume 75% or nearly 2.3 billion are ready-to-eat pies cooked up by 69,000 pizzeria outlets, that’s an average of over 33,000 pies per outlet a year.   At an average of about $12 a pie, that’s close to a $28 billion-a-year market, for an average of $400,000 plus a year per outlet in pizza revenue.   Of course, many of the smaller outlets you deal with will not be close to that revenue figure, but it can be a goal to advertise toward.   After all, 93% of Americans confess to eating at least one large pizza a month (Restaurant News).

AFTERMARKET SWEET SPOT. That’s the term for the segment of US cars on the road that can generate the most revenue to the auto repair and auto parts industries.   The sweet spot comprises vehicles 5 to 10 years old, the time period in which they have the most parts replaced and/or serviced – and it currently numbers about 90 million vehicles (up 400,000 from last year).   The 90 million figure is approximately a third of all the cars and light trucks on the road.   So at an average of a little over two cars per US household, if an area with 40,000 households has 80,000 vehicles, some 27,000 would be in the aftermarket sweet spot.   That kind of local figure is a good one to have handy when you’re talking to an auto repair shop or an auto parts dealer about YP advertising (,

ELECTRONIC EYES. Bifocals and progressive lenses have long provided a solution for presbyopia, which makes focusing on close-up objects difficult and affects people over 40 – but many wearers have trouble adjusting to these lenses.   Now, an optometrist has brought to market electronic eyeglasses that look like ordinary glasses but contain a rechargeable battery, microchip, and motion detector that work to automatically “adjust the prescription” to the wearer’s position, distance, etc.   The initial cost will be about $1000, just 20-25% above high-end frames with progressive lenses (Bloomberg Business Week.

Find out how to be at the top of your sales performance by clicking on

Other recent media/advertising news:

Things can’t be all that bad — Super Bowl ads sell out

Maybe things aren’t so bad in the advertising world — Fox recently reported that it has sold out of advertising time for February’s broadcast of the Super Bowl.  Ads are believed to be between $2.8 million and $3 million for a 30-second spot. The news of the sellout is the earliest for an previous game, and this with the potential teams that will play in the game still very much up in the air right now. Marketers advertising in the game are believe to include Anheuser-Busch InBev, PepsiCo, E-Trade and automotive marketers Kia Motors, Hyundai and Audi.   (Link)

More positive advertising media trends – Global ad spend rose 13% in first half of 2010

Global ad spending surged 13% during the first half of the year, to $238 billion, according to Nielsen measurements discussed in a recent AdWeek articles. North American ad spending rose about 5% during the time frame. Television showed the largest gain by media platform; it was up nearly 16% and accounted for 62% of all ad spending worldwide. (Link)

Magazines ads are up for second quarter in a row

Ad pages in U.S. magazines showed growth for the second straight quarterly period, rising 3.6% in Q3, the Publishers Information Bureau has reporting. More than 130 titles posted increases in ad pages, compared with 25 for the same quarter last year. Some of the best performers in the third quarter included Elle Décor (56.2% more ads); Time Inc.’s People StyleWatch (54% rise), and Conde Nast’s Glamour (36.6% increase). (Link)

But traditional media still struggling

If you believe research from 24/7 Wall St. and Harris Interactive, traditional media is in trouble.  Newspapers are struggling with circulation and magazines like Newsweek are being sold for $1.  While two-thirds of Americans (67%) still agree that they prefer to get their news in more traditional ways such as network television and/or reading newspapers or magazines in print, over half of Americans (55%) say traditional media as we currently know it will no longer exist in ten years.  Additionally, half of US adults (50%) say they tend to get almost all their news online.

Additionally, in looking at the amount of time people are spending with print media, one-quarter of adults say over the past year, the time they have spent reading newspapers in print and reading magazines in print has declined (25% vs. 23% respectively).  Conversely, three in ten adults (28%) say the time they have spent visiting online news and information sites has increased over the past year.

One reason traditional media should be worried is that media consumption and attitudes towards media are very different by age.  Only one-third (33%) of those 55 and older say they tend to get almost all their news online compared to almost two-thirds (65%) of those 18-34 years old.  And, while four in five of those 55 and older (81%) prefer to get their news in more traditional ways, just over half of 18-34 year olds (57%) feel the same way.

Besides traditional print media, network television also has to face a similar battle from both people watching more television online and watching more cable television shows.  Currently, two-thirds of Americans (67%) say they watch television shows primarily on television, while just 5% watch them primarily or mostly on their computer.  If this is broken down further by age, again, there is a large difference with over four in five adults 55 and older watching primarily on television (84%) compared to less than half of those 18-34 (48%).

To read the full release, with tables, go here:  link

Broadband access is still an issue in the U.S.

Everyone has easy access to the Internet, right?  Well, not really – MediaPost reports that the a “digital divide” still exists in the U.S., where more than one-third of households do not have broadband connections and 25% of households have no Internet access at all.  The results come from a study by the National Telecommunications and Information Administration has found. Not surprisingly income is big divider — more than nine in 10 households with $100,000 or more in annual income have broadband in their homes, but just over one in three of homes with $25,000 or less in income do. Geography is also important – two in three urban homes have high-speed access, compared with slightly more than half of those based in rural areas. (Link)


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