There are lots of items in the news these days about what the radio industry should be doing. Streaming, podcasting, smart speaker accessible etc. The one thing I hear little talk about is, improving the core product and focusing on what the listener is seeking.
The Radio Ecosystem
If you think about it, the radio ecosystem, AM/FM radios, have not seen any real changes in decades. Oh, there was the introduction of HD Radio – introduced around the same time as Apple introduced the iPod (R.I.P. 2001-2014), but listeners never really understood the need for it. HD Radio was embraced by commercial broadcasters when they learned they could feed analog FM translators from HD Radio signals and have more FM radio stations in a single marketplace. This was hardly listener focused and actually chained the radio ecosystem to old analog technology.
What IS Radio?
In the beginning, radio was a way to wirelessly communicate with other people using Morse Code on spark gap transmissions. Guglielmo Marconi built a radio empire on this technology.
David Sarnoff, a skilled Morse Code operator and a Marconi employee envisioned a “radio music box” and wrote a memo about developing a commercially marketed radio receiver for use in the home. It wasn’t until after World War I, when Sarnoff proposed the concept again, this time in his new position as general manager of the Radio Corporation of America (RCA), that it would see the light of day.
Sarnoff would demonstrate the power of radio by broadcasting a boxing match between Jack Dempsey and Georges Carpentier. In just three years, RCA sold over $80 million worth of AM radios, and not soon after created the National Broadcasting Company (NBC).
Federal Radio Commission
America’s first attempt at regulating radio transmission was the Radio Act of 1912, that was enacted after the sinking of the Titanic. This law didn’t mention or envision radio broadcasting.
As radio broadcasting began to grow in the 1920s, then Secretary of Commerce Herbert Hoover would begin the process of trying to regulate the limited spectrum that everyone now wanted a piece of.
The Radio Act of 1927 was America’s first real attempt at regulating radio broadcasting. The Federal Radio Commission (FRC) was then formed by this act.
It should be noted that the FRC operated under the philosophy that fewer radio stations, that were well funded and provided live original programs, were better for America than a plethora of radio stations providing mediocre programming. It was an idea that the major radio receiver companies championed.
Federal Communications Commission
In 1934, the Congress took another attempt at regulating broadcasting (radio & TV) as well as all the other forms of communication that now existed. The Communications Act of 1934 created a new regulatory body called the Federal Communications Commission (FCC). By 1934, radio broadcasting had evolved into a highly profitable business. Broadcast educator, Fritz Messere, writes: “Many of the most powerful broadcasting stations, designated as ‘clear channels’ were licensed to the large broadcasting or radio manufacturing companies, and the Federal Radio Commission’s adoption of a rigid allotment scheme, under General Order 40, solidified the interests of the large Broadcasters.”
The biggest and most well-funded broadcasters have been favored since the very beginning. What kept things in check until 1996 was the limit on the number of AM, FM and TV stations a single company could own.
Telcom Act of 1996
Those limits would evaporate with President Clinton’s signing of the Telcom Act of 1996. Radio, as America had known it, would be over.
Now, for the most part, a single owner could own as many radio stations as their pocketbook could afford. Lowry Mays and Red McCombs, founders of Clear Channel Communications, would grow their portfolio of radio stations to over 1200 from the 43 radio stations they owned before the act was signed.
In 2003, Mays testified before the United States Senate that the deregulation of the telecommunications industry had not hurt the public. However, in an interview that same year with Fortune Magazine, he remarked, “We’re not in the business of providing news and information. We’re not in the business of providing well-researched music. We’re simply in the business of selling our customers products.” (Mckibben, Bill (2007). Deep Economy. San Francisco: Ignatius Press. p. 132.)
Radio Zoning The FCC is now considering whether to further loosen up the ownership limits of radio and TV stations in America. FCC Attorney John Garziglia recently wrote:
“If radio stations could be erected like fast-food establishments and grocery stores, with no numerical limits imposed other than a businessperson’s risk tolerance, it would be difficult to argue for FCC-imposed ownership limits on radio. Indeed, a regulatory agency enacting numerical limitations on restaurants and grocery stores would likely not pass legal muster.
But there are widely-enacted municipal limitations on just about every type of local business. The limitations are called “zoning” – the permitting or prohibiting of certain uses in certain areas to protect the character of the community.
The FCC’s radio ownership rules can be thought of as a kind of radio zoning. In the same way as land-use zoning protects a community’s character, the FCC’s ownership rules permit or prohibit certain radio station combinations protecting the amorphous concept of the public interest.
With land-use zoning, communities maintain a distinct character, livability, aesthetic, and economic success by not bowing exclusively to the profit motive of land developers. Allowing several or fewer owners to own virtually all of the radio stations in the country would doom the specialness of our radio industry.”
I think John makes some excellent points and I would encourage you to read his complete article HERE.
Biting Off More…
Radio operators today can’t properly staff and program the stations they already own. What makes them think that will change if they own even more of them? Most radio stations are nothing more than a “radio music box” run off a computer hard drive, an OTA (over-the-air) Pandora or Spotify.
Former Clear Channel CEO, John Hogan, introduced the “Less Is More” concept when I worked for the company. While it actually introduced more on-air clutter, not less, the idea was neither new or wrong.
If owning more radio stations was the answer in 1996, then why in 2018 are we worse off than we were then?
Why was Jerry Lee able to own a single station in Philadelphia and dominate that radio market?
Why are many locally owned and operated radio stations some of the healthiest and most revered in America today?
Radio not only needs zoning on the number of radio stations a single owner can control in a market, but the total number of radio station on-the-air in a market. And it needs radio stations that are neglected to be condemned like property owners who let their land go to seed.
The FRC wasn’t perfect, but the concept of “less is more” served America well for many decades. Fewer radio stations that provided high quality, live programming, operating in the ‘public interest, convenience and necessity’ and by virtue of that diversity of ownership, provided diversity of voice and opinions, as well as healthy competition.
Remember when the rock group, The Buggles, introduced a new cable TV channel, MTV (Music Television) with the song “
Radio used to really promote its greatest asset, its radio talent. WHDH in Boston promoted itself as having “New England’s Finest Radio Entertainment 24 Hours Every Day!” The “Big 5 on 85” print ad featured Jess Cain, Fred B. Cole, Hank Forbes, Bob Clayton and Norm Nathan, as their air staff, and never mentions what kind of music they play, or news they featured or anything else the radio station did. WHDH was not alone in doing this. Every radio station promoted its talent line-up. Radio air talent WAS the reason people listened.
For the radio listener, your next break is all that matters. Does it speak to your listener? Does it have relevance to your listener’s life right this second? How do you know?
Is the retail industry dying?
This past Friday, October 12th, was my 66th birthday. Notable because according to Social Security I’m now at “full retirement age.”
Simon Sinek says people don’t buy what you do, they buy 
It Was Always a “Good Day!”
He broadcast six days a week, just like all radio personalities did back in those days. It was a time when all radio was delivered LIVE. Paul Harvey was heard over the ABC Radio Networks with his News and Comment week day mornings and middays. His Saturday noon-time broadcasts were extra special broadcasts that were always sure to surprise and delight his audience of as many as 24-million people a week. Paul Harvey News was carried by 1,200 radio stations in America, plus 400 American Forces Network stations broadcasting all over the world.
Page 2
The first commercial break in each broadcast was clearly announced with the words, “now page 2.” And it caused me to turn up my radio and give Mr. Harvey my full attention as he told me about another great product that he personally used. The ad copy, just like the news and comments, were all crafted by the mind of Paul Harvey.
I bought my BOSE WAVE radio due to Mr. Harvey telling me how wonderful music sounded coming through its speakers and baffle system design. It started me on the path to owning several BOSE products as a result.
Paul Harvey News had a waiting list of sponsors to get on his program. In 1986 his News & Comment broadcasts were rated #1, #2, #3, #4 and #5 in network radio programs when he was the focus of a CBS 48-Hours broadcast commemorating Paul Harvey’s 70th birthday.
Bob Sirott did the profile piece and it showed Paul Harvey as few ever saw him. I encourage you to watch the segment on YouTube by clicking HERE
Paul Harvey News
On April 1, 1951, ABC Radio Network premiered Paul Harvey News and Comment. His Chicago based broadcasts were often called “the voice of the silent majority” or “the voice of Middle America.”
Paul Harvey was making so much money for ABC, they added a third daily broadcast to the schedule on May 10, 1976 called, The Rest of the Story. These broadcasts were written and produced by Paul’s son, Paul Harvey, Jr. for its 33-year long run.
While Paul and his son maintained this entertaining feature which was based on true stories, not all critics agreed, including urban legend expert Jan Harold Bunvand.
I know from my own personal experience of the two times Paul Harvey included stories based on my hometown of Pittsfield, Massachusetts, that Mr. Harvey played fast and loose with the facts of the events to tell a good story. It made me wonder how all the other stories I heard might have been so “massaged.”
Iowa
In 2000, I was managing a cluster of radio stations for Connoisseur and Cumulus. We carried Paul Harvey on my 100,000-watt KOEL-FM. It was the only thing, other than local news in morning drive, that stopped the flow of the best in country music.
I remember being in my car at the time Mr. Harvey’s noon-time broadcast came on the air and hitting the scan button to hear Paul Harvey News and Comment on virtually every station my car radio stopped on. In media, that’s called a “road block,” the same program or advertisement, broadcast at the same time on multiple radio or television stations.
$100 Million Dollar Contract
In November of 2000, Paul Harvey had just inked a new 10-year contract with ABC Radio Networks when a few months later he damaged his vocal cords and had to leave the air. It wasn’t until August of 2001 that Paul returned to the air waves, but only with a reduced clarity and vocal presence in his voice.
I remember this very well as I was now back in Atlantic City running a cluster of radio stations, and my AM radio station WOND-AM1400, was the Paul Harvey radio station for South Jersey.
I had been cajoling Mr. Harvey’s secretary in Chicago for months before he lost his voice for customized promotional announcements to be voiced by Paul Harvey to promote his daily broadcasts over WOND radio.
One day in the fall of 2001, a reel-to-reel tape came in an envelope from Chicago addressed to me. It contained my customized, Paul Harvey voiced, WOND announcements. I was thrilled, but just a little disappointed when we played the tape due to the hoarse, raspy sound of Paul’s voice when he recorded them.
Before the end of 2001, Paul Harvey was back to full vocal dynamics.
Touched My Heart
It was after watching the Bob Sirott piece produced for 48 Hours a second time and then sharing my personal Paul Harvey memories with the love of my life, Sue, that I found myself choking up and tearing up about the heartfelt emotional impact that this gentleman from Tulsa, Oklahoma had made on me.
Using only wire copy and his manual typewriter, Paul Harvey crafted a broadcast of words that vividly created in the mind of the listener exactly what he intended. His full vocal range, the power of the dramatic pause and dynamic inflection completed his radio magic, what most like to call radio’s “Theater of the Mind.”
Could you imagine Paul Harvey doing podcasts?
I have no doubt that they would have been as popular as the original SERIAL podcast was from NPR.
Paul Harvey didn’t use any music or sound effects.
Paul Harvey created great radio, that was welcomed into homes all across the globe by his great writing ability and vocal acting talents.
Harvey receiving the Presidential Medal of Freedom in 2005
Good Day
Paul Harvey died on February 28, 2009 at the age of 90.
Three weeks after his death, ABC Radio Networks cancelled the entire News and Comment franchise.
At the time of his death, he had less than two years left on his 10-year contract.
Paul Harvey called himself a salesman, not a journalist, newsman or anything else. He loved his sponsors saying “I am fiercely loyal to those willing to put their money where my mouth is.”
He never would have promoted his broadcast as “commercial free,” as he understood that this free, over-the-air medium called radio, was a powerful way to move product for his advertisers and that it was those very folks that paid all the bills for him and the ABC Radio Networks.
Imagine that, radio ads that were as cherished to hear as the rest of the broadcast itself.
That’s the definition of “GREAT RADIO.”
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Filed under Education, Mentor, Radio, Sales
Tagged as ABC Radio Network, Bob Sirott, CBS 48 Hours, KOEL-FM, News and Comment, Paul H. Aurandt, Paul Harvey, Paul Harvey News, The Rest of the Story, WOND