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BIAnalytix Tip Summary: Valuing Unsold Time

In a powerful data warehouse that includes projected audience, every unsold break position can be expressed in terms of the total impressions that are forecast to be delivered. This is calculated by assuming 30 second spots filling all of the remaining available capacity and accumulating the total impressions from the projected audience for each break. This accumulation can be done for any target demographic, but a reference or standard demographic is normally chosen for this analysis (such as All Households or People 12 ). By presenting available time in terms of the total impressions that are available for sale, then the ability to earn advertising revenue is more directly analyzed and managed. In particular, these available impressions can be converted to monetary value by using either the achieved Cost per Thousand (CPT) or the market average CPT.
A revenue forecast model can be constructed by converting the available impressions to potential revenue using the current CPT achieved by the current bookings for each program or daypart. This potential revenue of unsold impressions is added to the currently booked revenue to form the potential revenue forecast.

BIAnalytix is an advanced Data Warehouse and Business intelligence system that provides many forecasting models including the impression weighted potential revenue calculation.

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