Made for Television: Spot Runner Offers Affordable TV Advertising for Small Businesses

High prices and hassle have typically left TV advertising a less than viable marketing plan for small retailers; but Los Angeles, Calif.-based Spot Runner Inc. (www.spotrunner.com) has revolutionized old ideas in the advertising industry.

After jointly founding and selling PeoplePC Inc.

and Firefly Network Inc., Nick Grouf and David Waxman launched Spot Runner in January 2006. The company is an Internet-based ad agency focused on locality and self-sufficiency in TV advertising. In other words, Grouf and Waxman have come up with a way for small retailers to affordably, professionally, and quickly advertise on television.

"A central theme of the founders is to democratize the Internet so businesses of all sizes have access to TV advertising," says Rosabel Tao, vice president of communications with the company. "The process of TV advertising used to be very complex and expensive."

How does it work?

Spot Runner offers an online searchable gallery of ready-to-customize ads, all developed by an in-house creative team. Retailers can create a free account, browse ads, and find those that fit their business types.

The cost to customize ads begins at $499. There is an extra charge for optional "personalization plus," which entails different music, text styles, and fully customized voiceovers. When creating the TV schedule for the ad, location and specific industry information (such as "Retail, Specialty Stores, Photographic Equipment and Supplies") are selected. Spot Runner then automatically shows demographic information supplied by the company marketing team, A.C. Nielson statistics, and TV station research, explains Tao. This information helps specify what might be the best stations and at what times an ad should run.

There is an additional charge for scheduling costs, which includes airtime, licensing fees, sending the ad to the network, customer service, and follow up reports. Cost is based on company-specified budget and the length the ad will run. Price will also vary according to location, time slot, and network.

"Typical 4-week plans run around $1,500," says Tao. "In the past, just creating an ad--not including the airtime--would run at least $15,000."

The ads are featured on local cable stations or broadcast stations, such as ESPN, CNN, and HGTV, among others.

What's in it for me?

Spot Runner takes care of negotiating air time, getting the ad to the station, reporting where and when the commercials ran, and how the ads performed. The company currently has 15 customers in the imaging industry, and is continually adding more. At the time of publication, there are 71 ads that appear when using the keyword "photo" while searching the gallery. Users may also search by industry.

Spot Runner has "impacted the ad industry by incorporating technology throughout the process--which is completely online," says Tao. "Using online technology lowers fees because Spot Runner takes care of all the details."

How to find and create an ad

* Create a free account at www.spotrunner.com.

* Select the "Ads" tab, and search by keyword for a customized ad related to your business.

* Click thumbnails of ads to play them.

* "Select" an ad to use, and review specific details.

* Check the availability of an ad in your area. The area can be chosen by ZIP Code or state name.

* Highlight and add the area(s) desired for advertising. Local cable areas are listed, as well as broadcast areas featuring stations like NBC, ABC, and CBS.

* If an ad is available in a specific area, begin customizing by entering the ad name, voiceover detail, company name, and other information.

* Select the appropriate area to advertise.

* Create a media plan by entering a campaign name, objective, starting date, campaign length, and weekly budget.