Reading the RAB’s “Radio Matters” blog, I couldn’t help but notice the picture of the radio used for the article, “What’s on the Horizon for Radio?” was an AM/FM radio set that couldn’t receive HD Radio broadcasts. (Picture of that radio is on the left.)
Radio Digital Growing
The article did cite that in 2025 radio digital* presented the radio industry in America with growth potential, stating:
“The Finance/Insurance category will be the spending leader for Radio Digital with $586 million in local ad spend, with other categories that will be significantly increasing their spend in Radio Digital being QSRs (Quick Service Restaurants), Supermarkets & Other Grocery Stores and Tier 3 – New Car Dealers.”
HD Radio
What I found most curious about the blog article was the total absence of anything regarding America’s digital radio standard, HD Radio.
We just acquired a new car that has an HD Radio, and I am finding great difficulty in navigating radio stations and their HD 1, 2, 3 & 4 subchannels. Hopefully, the FCC’s (Federal Communications Commission) “Modifying Rules for FM Terrestrial Digital Audio Broadcasting Systems, First Report and Order” will improve this digital radio service.
Ironically, when we enter our new car, it automatically and seamlessly connects to Apple CarPlay and allows us to play our personal music library or favorite streaming App. It’s so easy, because it operates just like our iPhones and accepts voice commands.
AM Radio
James Cridland wrote in this week’s newsletter:
“In the US, the House of Representatives is reviewing “the AM Radio For Every Vehicle Act”, a piece of legislation aimed at ensuring that AM radio is not removed from car radio receivers, “because emergencies”.”
“John “Cats” Catsimatidis, “a true self-made billionaire, philanthropist, and former NYC mayoral candidate“, has been buying full-page ads in the New York Post – like the one below – raising awareness of the issue. He’s the owner of 77 WABC, an AM radio station in New York, so he’s got considerable skin in the game.”
“I’ve written much about AM’s decline; but it should be noted that in Europe, a piece of legislation aimed at ensuring that DAB was put into all cars, “because emergencies”, was passed – and is a good reason for the success of DAB on the continent.”
Sadly, it appears that the American broadcast industry is investing its money and political capital in trying the preserve the past rather than lead the charge into the future.
Alaska
Before COVID-19 and a global pandemic closed down the world, Sue and I had planned a trip to our 49th state, Alaska. Now, four years later, that trip was finally taken.
We traveled through Anchorage, Seward, Juneau, Skagway, Haines, Hoonah and Ketchikan. Music was playing in just about every business we entered, not on a radio, but on a digital speaker that was apparently connected to a streaming music service or personal library.
Also, not one of our hotel rooms had a radio in them, unlike in 1922 when having a radio in your hotel room was a big deal. I wrote about that in a blog titled “Once It Was Radio.”
We found local cell service to be prolific everywhere we went and often available on our cruise ship while cruising the inland passages, allowing us to avoid purchasing the cruise lines internet/cellphone package.
Our smartphones are portable and allow us to tune into the world for music, entertainment and information. So, the possibility arises that the “horizon for radio” is delivery of its programming primarily via smartphones, as in our household, they represent the portable “transistor radio” of our youth.
In today’s connected world, relevant content rules.
Relevant is the new local.
* Radio Digital means digital radio advertising including local advertising sold by local stations (streaming, email advertising, O&O banners, SEM (not SEO), website advertisements) and pure play streaming services except CTV/OTT. that utilizes digital formats. Includes the share retained by local radio stations after reselling other online platforms (e.g., Google AdWords). -BIA Advisory Services
Would you invest more money in a company that takes your money and won’t refund it during a global pandemic, instead preferring to hide behind policies designed for the way things used to be before COVID19?
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