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 $312,286 and its U.S.audience size is 1,613,062.The cost of a full-page color ad in the U.S.national edition Sports Illustrated (magazine)is $238,000 and has an audience size of 3,150,000.The cost of a 30-second ad on the most recent Super Bowl (television)is $3,250,000 and has an audience size of 112,500,000.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) is the most appropriate metric to use in this scenario as it allows for a comparison of the cost of reaching 1,000 people across different mediums. It takes into account both the cost of the ad and the audience size, giving a more accurate assessment of the efficiency of each medium. In this case, the CPM for The Wall Street Journal would be $193.36, for Sports Illustrated it would be $75.56, and for the Super Bowl it would be $28.88. Therefore, based on CPM, Sports Illustrated would provide the most efficient use of limited resources.

Suppose the Following Information: the Cost of a Full-Page Color