TV bites back at Radio Ad Effectiveness Lab

From MediaPost.com:

TVB: IS RAEL FOR REAL? – TVB is taking shots at some broadcast brethren – the radio kind. Instead of demonstrating the return on investment of radio advertising, as it purported to, a recent study from the Radio Ad Effectiveness Lab (RAEL) really demonstrates the power of TV advertising counters the TVB. The study, which utilized a variety of case studies comparing the sales results of different media buys – radio in presence of TV, radio in absence of TV, TV in presence of radio, and TV in absence of radio – actually demonstrates the superior ROI of TV, according to the TVB’s investigation. “The highest estimated sales lift (7.7 percent) was delivered by TV in absence of incremental radio. The lowest was delivered by radio in absence of TV (3.6 percent),” states the TVB. “Simply put, the best results were produced by TV with the least radio, the worst were produced by radio by itself.” Interestingly, the TV ad bureaucrats claim TV comes out the winner even though the radio study utilized questionable methods to stack the deck in its favor, including: * Comparing radio overall to national television, and leaving local TV out of the mix. * Utilizing national TV costs in the analysis, which “have no foundation in actual local market TV pricing.” * Studying the results of four packaged goods brands (which currently use network radio) in four very small markets.

Now why am I posting this anti-Radio propaganda? Because it runs counter to Radio’s own propaganda, that’s why.

In the marketplace of ideas, the expression goes, truth will out. I don’t know whether the above arguments hold water or not. They come, after all, from a partisan source, just as the RAEL stuff does.

But if anyone in the know about the RAEL study wants to respond, consider this your platform.

In the meantime, here’s my conclusion: Radio has a great many advantages worthy of note. We should not hesitate to crow about those advantages. We should not, however, stretch the truth or stack the research deck if we expect to earn credibility. I don’t know if we did that in this case, but I hope not.

Advertisers view partisan research studies with skepticism for good reason. With all research, you need to consider its source.

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