Saturday, February 5, 2011

Infomercial Media Cost - 2011 Update

Are you trying to learn about the cost of infomercials? For production costs, check out these award winning TV infomercial production packages. But remember, the production fee is a one time cost that should be amortized over the life of your direct response advertising campaign. Media costs ultimately will comprise the largest portion of your entire budget. That's why your media buyer better be smart and understand the direct response TV media market.

So here is the Ron Perlstein 2011 media cost update. The 4th quarter of 2010 finished strong with rates pushing higher in short form DRTV. Media rates during the first three weeks of January, 2011 came down about 10% from late fourth quarter and are now gradually making their way back up. January was surprisingly strong with rates on networks like CNBC and BRAVO working their way higher.

What about long form TV infomercial rates? Well, it's kind of the same story, just different reasons. Half hour paid programming rates were on the decline in 2009 and 2010. As a result, TV networks, especially Discovery owned networks have replaced infomercial airtime with programming. Discovery Health has become OWN (Oprah Winfrey Network)with no long form paid programming. Bottom line -- long form rates are firming up now, too.

DRTV media is a fluid marketplace that changes as the conditions and basic law of supply and demand change. Stay tuned for more updates as 2011 unfolds.