By: Michelle Clancy
24 November 2015
That’s according to a media cost index from syndicated data firm SQAD and MediaPost, which is benchmarked to a cost of 100 in January 2009. “Media is a cost-per-thousand world. Other companies measure the thousands. Our job is to measure the cost per part, ” says Marc Krigsman, the recently appointed SQAD CEO.
Krigsman, who previously was founder and CEO of independent media services agency Cross MediaWorks, said the goal of the new index is to provide transparency for buyers and sellers of media time and enable them to benchmark their own relative performance in the marketplace.
September’s national TV cost index rose to a 116 from a 109 in August, reflecting a seasonal upswing in demand as advertisers head into the fourth quarter. That’s up from a 12-month low of 92 in June and down from a 12-month high of 142 in November.
September’s 116 cost index marks the lowest September in the six years of data reflected in SQAD’s database, which is derived directly by pooling cost data from ad agency media buys.
The relatively weak September appears to be mainly due to a softening of the national cable TV ad marketplace, as costs for broadcast network ad time reached its highest index for a September yet. At a 183, the cost of broadcast network ad time in September is up 40 points from the same month in 2014, and trails only April, which was the 12-month high with an index of 204.
Cable, by contrast, turned in a cost index of 126 in September, down eight points from August and cable’s lowest September since 2011’s 118.