BurkhardWorks: Results


Roll Out Results in Direct Response Radio


A successful Direct Response Radio test on one or two good stations sets initial values for the metrics we need to roll out in local ROS spot radio, satellite, streaming networks, or network destination programs.
Response rates tend to be the same in similar programs or station formats and in similar day parts. In-bound telemarketers and landing pages tend to convert inquiry to sale at similar rates regardless of volume. However, the third variable - Target Audience Cost per Thousand - is always negotiable for roll out national buys. Since we know your target Media Cost per Sale and our Response & Conversion rates, we can easily plot a maximum acceptable media CPM. Details & References below.

1. SET M FOR ROLL OUT BUYS. The only way to achieve huge inquiry volume Direct Response Radio is to reach a broad national audience at or below the maximum acceptable CPM. High response rates (low G) and high conversion rates translate into higher Target M, which means you can afford to run (briefly!) on the leading stations, satellite channels, and network destination programs.		Set Target CPM
2. SET G & C FOR NEW FORMATS. Response rates tend to be the same on similar formats, such as News/Talk. However, we may want to test Sports, Classic Rock or Country. Given C, X and an acceptable CPM, we can set the response rate (G) that any new station or program must produce to make money for us. If you want to test a Free Sample offer, a celebrity endorsement campaign, or a new landing page, we can easily set the target Conversion rate.		Set Target Response Rate Set Target Conversion
3. SET OEF FLIGHT PLANS. How fast you achieve OEF, and how often, depends on the speed at which your prospects move from Room Temperature to Steam Heat. Should you run once a week, twice a month, or once every six weeks? We can infer Steam Speed from the fundamentals of your business category and from clues we gather in test and over time. Proper flighting can prevent Burnout in Direct Response Radio. It can also maintain long-term G at stable levels in any format. We get the same response rate (G) for Dinovite today that we got in early 2007.		OEF Flighting (Concept) OEF Flighting (Math) Steam Speed Predict & Prevent Burnout
4. BUILD BACK END PROFITS. A finely tuned Direct Response Radio campaign can quickly build Trial among Steam Heat Shoppers. Your long-term profits, though, will come from retention, re-orders, brand extensions, upsells, and - possibly - from a future retail rollout. The better you do on the back end, the more you can afford to spend building the front end. Your own customers pay-as-you-go. Are you ready to get started?		Ten Case Histories The Radio Show Advanced Concepts of Radio Planning for ROI.xls