IRL Management Quiz Answer: Hot Zips

Hot Zips are zip codes that are disproportionately represented in Nielsen television ratings samples. Product managers and television promotions personnel can purchase hot zips information from Nielsen and then use it to allocate advertising and promotions expenditures to the over-represented areas.

Contrary to claims made by Al Sharpton and others, the poor and lower middle classes tend to be over-represented in Nielsen samples.

This is important information for product managers and marketers who seek to establish a mass market television audience. There are not only fewer rich than poor, but also fewer of the rich than of the poor represented in television ratings. In addition, it is well known in the broadcast industry that less wealthy individuals tend to watch more television than their wealthy counterparts.

Hot Zips also tend to be clustered in regions that are within a mile or two of major Interstate highways. This makes sense because it aids Nielsen in its data collection efforts.

Roggespierre