Profitability Depends on Repeat Customers

The radio advertising business is all about its ability to deliver both reach (the number of people who will hear your advertisement) as well as frequency (the number of times a listener will hear the same advertisement). Radio, for all of my life has been the medium for delivering the best frequency for an advertiser, but in today’s world, it now is also the best for delivering reach.

Pierre Bouvard, my first Arbitron sales representative and today the Chief Insights Officer at Cumulus Media/Westwood One, calls AM/FM radio the soundtrack of America’s recovery and spending resurgence.

Relationships

When I started out in radio sales, my first goal was to start making friends with each business person I called on. I used to say to myself, “If you can’t make a sale, make a friend.”

People do business with people they know and like, it’s first step in building relationships with your advertisers.

Advertising is an Investment

Patience is at an all-time low, so the problem in today’s fast-paced world is everyone wants things to happen immediately.

When you’re dealing with people and human nature, things move at their own pace.

Farmers know when they plant a crop, they won’t be going out the next day to harvest it. Likewise, when you put an advertiser’s message on the radio, it will take time to grow in the mind of the consumer. Done correctly, a business can be harvesting sales 52-weeks a year.

Great Radio Ads

Great radio advertising can benefit the listeners of your radio station in addition to growing the business of your advertisers. Great ads speak about the customer’s wants, needs and desires.

Getting Referrals

Make money for your advertisers and they will be happy to refer you to other local business people who could benefit from your radio station’s audience. And unlike cold-calling (knocking on doors of people you don’t know), a referral is like getting a foot-in-the-door. It’s golden.

Fair Prices & Excellent Service

Studies have shown you don’t have to have the lowest price to attract repeat business, fair prices will do.

Combine fair prices with excellent service and you have a winning combination for building repeat business with your customers.

Your goal as a radio sales person should be to become a sustaining resource for your customers. A person who they call first when they need help with their advertising or promotions; a person they can trust.

You Can’t Do It Alone

Everyone in your radio station that comes in contact with your listeners and advertisers impacts the future relationship your enterprise will have with each of them. Everyone needs to be engaged in delighting your listeners and your advertisers.

It takes a team effort to be successful.

2 Comments

Filed under Education, Mentor, Radio, Sales

2 responses to “Profitability Depends on Repeat Customers

  1. Hi, Dick!

    Building relationships with potential advertisers is critical for the success of any salesperson. And yes, FAIR prices not the CHEAPEST are what works. It’s too bad a “few” bad players haven’t understood this and, in their zeal to try and capture as much business as they could has brought rate integrity to an all time low in radio. But, once you have proven a station’s value with an advertiser, you find a client who trusts you are looking after their best interests…and the relationship can flourish.

    Liked by 2 people

  2. It’s always been that way, Dick. As you so masterfully stated.

    Liked by 1 person

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