Tag Archives: communications revolution

Why I Stream ALL My Radio Listening

Twelve year ago, radio broadcast engineer Tom Ray, penned these words: “Unless we give Joe Consumer a reason to go out and purchase an HD Radio for his car – until he can obtain it easily and at a reasonable cost, and a device that works – I fear HD Radio is going to go the way of FM quad and AM stereo, relegated to the scrap pile of history.”

Tom Ray wrote his article for Radio World when he was the vice president/corporate director of engineering for Buckley Broadcasting/WOR Radio in New York City. He was a strong and vocal supporter of HD Radio and his WOR was one of the first AMs on the air with an HD Radio signal. So, any broadcaster that read Tom’s article, “HD Radio Shouldn’t Be This Hard,” should have taken it as a wake-up call about steps the radio industry needed to take to stay relevant in their listeners’ lives.

Buying a New Car in 2010

Tom is a loyal Ford customer, so when his Explorer went to the automobile graveyard with 230,000-miles on it, Tom wanted to get a new Ford Escape, equipped with HD Radio. The only problem was, Ford wasn’t putting HD Radios into their Escapes, instead, they were pushing Satellite Radio. (Tom noted that his wife listened only to Satellite Radio in her car, saying “in her opinion there is nothing worth listening to in New York’s Hudson Valley, 50 miles north of New York City.)

This should have been yet another radio industry wake-up call about its future.

I encourage you to click on the link and read what Tom Ray wrote a dozen years ago about how difficult it was to put an HD Radio into a new car which, at that time, didn’t offer OEM HD Radios and how he, as a broadcast engineer, was totally frustrated trying to install an aftermarket one.

Streaming Radio at Home

Since Christmas 2017, when my wife gave me my first Amazon Echo smart speaker, our Echo family has quickly grown to four of these devices. There is nowhere you can be in our home and not ask Alexa for something.

Since 2017, all of our in-home radio listening is via streaming.

While we also occasionally streamed radio in the car, on all of our road trips from 2018-2021, SiriusXM always seemed to be offering a 3-month free listening trial that I can honestly say we enjoyed the listening to. But, I’ve never been a subscriber, because other than road trips I spend very little time in the car.

Streaming Radio in the Car

In October, while enjoying my latest free 3-month trial for SiriusXM radio, I decided it was time to bring my in-house streaming radio habit into both of our cars. We own a 2006 Subaru Forester and a 2009 Honda Accord.

The Subaru doesn’t have an AUX input, the Honda does.

Streaming in the Subaru was accomplished with a Blue Tooth receiver that will broadcast on any FM frequency (88.1 works best). In the Honda, this same device’s output was plugged into an AUX receptacle.

The result is, as soon as either my wife or myself enters one of our cars, the Nulaxy KM18 immediately pairs with our iPhones. I installed the AINOPE Car Phone Holder Mount to hold our phones, and keep them easily assessible to control whatever we would like to listen to.

Total cost for each car: $33.43. Time to install, virtually nil. I just plugged the Nulaxy KM18 into a power port and it was operational. The AINIOPE holder easily clamps to an air vent on the dashboard and holds any smartphone.

Unlike the nightmare that Tom Ray experienced back in 2010 trying to put HD Radio into his car, this installation by me, a non-engineer, was a piece of cake.

A Call to Action

I recently sat in on a Radio World webinar called “A Call to Action, radio’s existential battle for the dash.” Paul McLane, Managing Director of Content/Editor in Chief of Radio World at Radio World/Future U.S., hosted the webinar and did an excellent job. However, one particular piece of information shared during the presentation that I thought was crucial was, how Mercedes Benz was equipping their vehicles’ radio screens with the following pre-sets: SiriusXM, FM, AM and TuneIn Radio.

TuneIn Radio is the App I use for most of my radio listening, but why was it chosen by Mercedes Benz? Turns out the answer is, “TuneIn’s radio stations can be accessed worldwide in 197 countries on more than 200 different platforms and devices.” TuneIn says it “provides the displaced radio listener a connection to home with local, national, and international stations anywhere they go and on any device.”

In other words, why would any audio consumer need DAB, DAB+, Digital Radio Mondiale, HD Radio, AM or FM when they can receive any radio station in crystal clear audio via streaming?

With the exception of the proprietary content offered by SiriusXM, everything else is available via streaming at no charge.

Cellular Plan

Now it goes without saying, that streaming consumes data. Each cellphone service provider offers different plans and different price rates. My wife and I are on Verizon’s unlimited phone/text/data plan. We have no landline phone in our home and our iPhones are our lifeline to being connected with each other, our family, our community and the world.

I’ve found streaming radio in our cars provides us with audio quality that is pristine. There’s no buffering or dropout, and it’s been a more reliable signal than AM, FM or SiriusXM radio, especially when traveling through tunnels.

Streaming Apps

I thought you might be interested in knowing what streaming Apps I have on my iPhone, here’s the current list:

  • TuneIn Pro
  • Audacy
  • Pandora
  • Spotify
  • Amazon Music
  • NPR ONE
  • YouTube
  • Simple Radio
  • StreamS
  • Apple Podcasts
  • AccuRadio
  • 650AM WSM
  • Stitcher

Why I Prefer Streaming My Radio

We live far enough away from Washington, D.C. that radio signals for WTOP or WETA experience lots of noise and dropout, depending atmospherics, sometimes making them totally unlistenable. However, their streams are always crystal clear.

This fall Sue and I escaped to Cape Cod for a week and when I get on the peninsula, I love turning on WFCC – Cape Cod’s Classical station – 107.5 FM. Now with streaming radio, I can dial up WFCC on my TuneIn radio App and listen when we’re back home in Virginia.

Full disclosure, I am the midday DJ on WMEX-FM in Rochester, NH. But even if I weren’t on the station, WMEX-FM would be my #1 pre-set for streaming. Gary James, the station’s morning man and program director, puts together a music mix that I find absolutely fabulous. It’s the music of my life.

Which brings me to another important point, radio today is global. No longer is your radio station competing just with other local stations, but radio that is streaming from anywhere on planet Earth.

Streaming also makes it possible for ON DEMAND spoken word radio, also known as Podcasts, to be easily available in the car.

Simington on Streaming

FCC commissioner Nathan Simington recently addressed Ohio broadcasters saying, “content delivery power had shifted away from broadcasters – stations and networks – and toward ‘online platforms,’ something he thinks the FCC needs to recognize in its quadrennial review of media ownership regs.”

He warned that:

  1. “Online media platforms are growing rapidly and threaten dominance over traditional media platforms; and
  2. Broadcast advertising revenue has flatlined, having been siphoned off from higher margin online platforms.”

The Future is Streaming

88% of the world’s population now uses mobile broadband as its main source of internet access, and nearly 90% of homes in the United States now have internet streaming. 2021 saw an estimated 22% ad industry growth rate, which Magna Global said was “the highest growth rate ever recorded” by this agency, beating a 12.5% growth rate recorded in the year 2000. The caveat however is, digital dominated traditional advertising raking in 64.4% of the growth in ad spending.

RAIN reports “The U.S. recorded music industry will exceed a 48-year revenue record set in 1999 (based on current estimates),” all coming from revenues paid by streaming music services.

The Harvard Business Review recently published “4 Principles to Guide Your Digital Transformation,” by Greg Satell, Andrea Kates and Todd McLees. In it, the authors wrote, “digital transformation is not just about technology. We’re desperately in need of a shift in focus. Leaders must inspire and empower their entire organization to boldly reimagine their work environment, customer needs, product offering, and even the purpose of the enterprise.”

Tom Ray was the proverbial “canary in the coal shaft” back in 2010, with few paying attention. Sadly, based on the early news coming out of the 2022 CES in Las Vegas, nothing has changed.

We’re living in a communications revolution,

bringing about changes that will be both

permanent and irreversible.

Revolutions never maintain or preserve the status quo.

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What Is Localism?

117I read with interest what the new Radio Board Chair of the National Association of Broadcasters, Randy Gravley, had to say in a Radio World interview about what he saw as the issues of concern for the United States radio broadcast industry.

The Most Pressing Radio Business Challenges

On the top of Randy’s list is the rise in streaming services. He feels for radio to be competitive it needs to be on as many platforms as possible but also needs to be delivering content not available elsewhere. It goes back to a real dedication to localism.

What IS Localism, Anyway?

I thought I would go to the flagship radio station owned by Tri-State Communications Inc. based in Jasper, GA to find out. Randy is the president and CEO of Tri-State Communications Inc.

The “Home” page says WJLA 101.1 FM is your source for up-to-date news, sports and community announcements. There was no mention about the radio station being available on any platform other than over-the-air. Likewise, the “About” page tells us that they can be heard in 18-counties in the tri-state area of Georgia, Tennessee and North Carolina. It also says: “Our signal, which remains constant (unlike AM radio stations that lower the power at sunset and sunrise), reaches our target audience of those thirty years old and older.”

I’m sure all AM broadcasters will appreciate that kind of talk. NOT.

The closest thing I could find to “localism” was that WLJA has a “dedicated, award winning staff with over 150 years of combined broadcast experience” and that they “cover all of the local news from our listening area.”

Local News

So, I went next to the “NEWS” page, which features a drop-down menu of “Local, Sports, Music.”

I started with the Local News and saw that the city of Woodstock was having an eclipse viewing gathering. NOTE: I’m reading this local news on August 31st about an event that already happened on August 21st between 1 and 4pm. I also learned that I could tour the new Northside Hospital Cherokee on Saturday, April 22nd from 10am to 2pm.

Is this an example of localism done right?

Local Sports

The “Sports” page did give me the high school football schedule, but other than a list of sponsors, nothing else.

Local Music

The “Music” page was a list of the “Top 30 Gospel Request Time Songs for 2016, 2015, 2014 and 2013.” But it appears these songs are the favorites from a national database not one compiled locally by the radio station.

There was no mention of any local gospel or country groups or any information about where this type of music might be enjoyed locally in live venues.

Local Sales

It was time now to see how the radio station sold itself to local advertisers.

In big red type is said “Home to over 38,000 listeners at any given moment!*” That sounded impressive, but there was that “*” at the end of the statement. The asterisk qualified that claim with the following information: “*As rated by ARBITRON 2007 county by county coverage in Georgia, Tennessee and North Carolina.”

OK, there are some immediate problems with that qualifier. First, it’s 2017 not ten years ago. Second, Arbitron has been gone since September 2013 when it was purchased by Nielsen and re-branded as Nielsen Audio. Other data is sourced as of 2008.

All of these things were found on the radio station’s “Sales” page.

Everything was station focused and not advertiser focused. (Or listener focused)

The sales information didn’t scream “localism” to me. It also offered no information about advertising opportunities via streaming.

In fact, I can’t find on any page anything about being able to hear WLJA 101.1 FM over the internet or via any of the platforms that Randy says are now so critical for radio broadcasters.

Apologies to Randy Gravley

When I started to write today’s blog, I never intended for it to come off looking like a “hit job” on the newly elected Radio Board Chairman. So, I want to apologize to Randy for how negative this article became.

But he’s not alone.

And that’s radio’s BIG problem.

We know what the issues are. We talk the talk, but when it comes to walking the talk, well that’s not happening.

Welcome to radio’s “Kodak Moment.”

Smartphones

77% of all adults in America today say they own a smartphone. That number was only 35% six years ago.

But if you’re looking for the smartphone’s impact on the future, 92% of 18 to 29 year olds today own a smartphone.

Suffice it to say, if your business model doesn’t work on a smartphone, ‘fuhgeddaboudit.’

The NEW Localism

I think the new localism is whatever a person wants, when they want it. Localism no longer means a geographical area. Localism means shared interests.

When a radio station or other mass medium markets itself as being “something for everyone,” it really is saying it’s nothing for nobody.

The future of mass media is reaching the smallest possible viable audience to earn a decent R.O.I. (Return On Investment)

Welcome to the Communications Revolution

What we are seeing in mass mediated communications is a revolution. Like the other worldwide revolutions (Agricultural, Industrial) the impact of this information-driven economic revolution will be enormous.

Unlike the world’s revolutions of the past, this one will explode with exponential speed.

You can see it happening with artificial intelligence (think Alexa or Siri), robotics, self-driving vehicles etc.

Traditional Radio Faces Grim Future

And on August 30, 2017 came a study by Larry S. Miller, Director of the Steinhardt Music Business Program at New York University that says radio is faced with a paradigm shift. He outlines why radio must adapt to the rise of digital.

I know that the NAB and Nielsen have already come out with their side of the story regarding this report by Mr. Miller.

But maybe instead of throwing stones, we should stop living in our own glass houses.

Radio CANNOT survive doing things the way they’ve always done them.

If technology doesn’t seem like magic

It’s probably obsolete.

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Is Radio Ready for a Black Swan?

Once upon a time, radio employed a lot of people. Radio stations that operated 24/7 had to have a live person on duty every hour of every day.

Radio studios were different back then too. There were multiple turntables, cart machines, reel-to-reel recorders and multiple microphones/headphones in every studio. In short, there was lots of redundancy. Radio wasn’t very fragile.

But as technology invaded the radio world, computers would replace just about every piece of equipment in the building; saddest of all were the people. They increased efficiency by a lot.

That’s what disruption does. Disrupts. Everything.

Ironically, there’s a relationship between all this efficiency and fragility. As computers increased efficiency it also increased radio’s fragility.

In those early days, lose a phonograph needle or a cart machine, it was no big deal. However, when you lost a computer, you lost the entire radio station. This drive for efficiency eliminated the redundancy. (Most radio stations today have redundant computer networks to deal with crashes; but not all.)

In New York City, many radio and TV stations left the Empire State building when the World Trade Towers were erected. A couple didn’t. On 9/11 those that kept a redundant transmitter plant in place at the Empire State building were able to stay on the air when those iconic towers came down. That kind of redundancy wasn’t efficient, but it was smart and it made those broadcasters less fragile.

The problem is that in business, becoming more efficient means eliminating human redundancies. That’s been part of our high unemployment problem since the beginning of the digital revolution. All businesses are becoming more efficient through digital ecosystems. It’s these very ecosystems that eliminate lots of jobs.

When systems become more optimized, efficient and complex their fragility increases. Fragile systems often break suddenly and with no warning.

Consolidation contributes to this scenario by stacking optimized, efficient and complex systems into an even larger ecosystem that become top down managed through “best practices” strategies. Unfortunately, the reality of “best practices” is they are often more “average” than they are “best.” Often what’s best for one location, doesn’t translate to best for others. Best practices are really a “one size fits all” situation.

Before you argue that local decisions sometimes also fail (and I would not disagree with you), the failure is quarantined to a single location and does not impact the entire enterprise.

Nassim Nicholas Taleb wrote about all of this in his book The Black Swan.

 “The Black Swan asymmetry allows you to be confident about what is wrong, not about what you believe is right.”

History teaches us the outcome of efficiency and fragility. But like the couple getting married who knows that between one third and one half of all marriages end in divorce is convinced they are the exception, companies operate with this same blind eye to the arrival of a black swan to fly into their path. Or as Taleb writes:

“If you survive until tomorrow, it could mean that either a) you are more likely to be immortal or b) that you are closer to death.”

The world we live in today is changing. No doubt about it. It’s a communications revolution. We can’t operate the way we’ve always done it. Taleb shares this example:

“Those who believe in the unconditional benefits of past experience should consider this pearl of wisdom allegedly voiced by a famous ship’s captain:

‘But in all my experience, I have never been in any accident… of any sort worth speaking about. I have seen but one vessel in distress in all my years at sea. I never saw a wreck and never have been wrecked nor was I ever in any predicament that threatened to end in disaster of any sort.’

-E. J. Smith, 1907, Captain, RMS Titanic Captain Smith’s ship sank in 1912 in what became the most talked-about shipwreck in history.”

If there’s an industry that needs to be thinking about “black swans” and balancing efficiency with redundancy, it’s the radio industry.

People don’t have a favorite McDonalds or a favorite #2 pencil brand, but they do have a favorite radio station.

When a “black swan” swoops in, will you be ready?

Your listeners are depending on you.

Don’t disappoint them.

They love your radio station.

They trust you are prepared for black swans.

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