Suppose the following information: The cost of a full page color ad in the U.S.national edition of The Wall Street Journal (newspaper)is $312,283 and its U.S.audience size is 1,566,027.The cost of a full page color ad in the U.S.national edition Sports Illustrated (magazine)is $392,800 and has an audience size of 3,150,000.The cost of a 30-second ad on the most recent Super Bowl (television)is $3,500,000 and has an audience size of 111,300,000.Using this information,which of the following is the most appropriate metric to use to determine which medium would provide the most efficient use of your limited resources?

Question

Quizplus · Accepted Answer

CPM (cost per thousand impressions) is the most appropriate metric to use in this situation as it evaluates the cost of reaching 1,000 people in each medium. By dividing the cost of each medium by its respective audience size, we can compare the relative efficiency of each medium. In this case, the CPM for The Wall Street Journal is $199.22, for Sports Illustrated it is $124.92, and for the Super Bowl it is $31.44. Therefore, Sports Illustrated would provide the most efficient use of limited resources.

Suppose the Following Information: the Cost of a Full Page