Tag Archives: Nielsen Audio

The Winner Takes it ALL

108Everything old is new again. I’m sure you’ve heard the phrase. “Everything old is new again” was the title of a song in the movie musical “All That Jazz.” Part of the lyrics to this Peter Allen/Carole Bayer Sager song include:

 

Don’t throw the pa-ast away
You might need it some rainy day
Dreams can come true again
When everything old is new again

I might fa-all in love wi-ith you again

VADs

While I haven’t heard anyone call them this yet, I may be the first, I’m sure in time they will be referred to in this way, Voice Activated Devices.

You probably better know them as Amazon’s Echo, Google Home or Apple’s HomePod.

Amazon was first into this territory followed by Google and now Apple (their device will be available later in 2017). Microsoft recently announced they have partnered with Harmon Kardon to put the MS VAD “Cortana” into a smart speaker system. Harmon Kardon is a division of Samsung.

Fred Jacobs blogged about them in a recent article titled “Are Voice Commands the New Hi-Fi?” (Hi-Fi was introduced with the 33-1/3 discs introduced by Columbia 69 years ago this month – June 20, 1948.) In his article, he quoted Spotify’s Ian Geller who said voice commands allow people to “engage with music in ways they haven’t since the Hi-Fi stereo system became available.”

Fred feels that these new VAD’s are a “true moment for the radio industry – a chance to bring radio back to homes in a big way.”

The Old That’s New Again Part

As I study these new gadgets, I see a problem for radio of its own making, branding.

The radio I grew up with was very creative and prolific at branding itself with its listeners. It had to be because of the way radio ratings were conducted, either by aided or unaided recall. Billboards, bumper stickers, TV ads, t-shirts, putting your call letters and frequency on just about everything, everywhere it could be seen.

From virtually the beginning burning your call letters into the brains of your listeners was paramount.

Consolidation and PPM (Personal People Meter) would take the need to brand – or so the new Wall Street stakeholders thought – away. Consolidation did this through many signals in the hands of a few operators and the need to cut costs. Arbitron’s (now Nielsen Audio) PPM device did it by recording “listening” even when the listener was totally unaware of where the music or talk programming was coming from.

The new Voice Activated Devices now require a person to KNOW exactly what it is they want to hear when they say the activation words, like “Hey Alexa” or “Hey Google” or “Hey Siri” followed by a specific request.

Unaided recall is back.

Wi-Fi, Hi-Fi & Being Connected

While these new VADs maybe the new “Hi-Fi” for a 21st Century world, they require Wi-Fi to connect to the internet and their respective clouds.

While many of us today take access to a broadband connection for granted as our parents did a landline telephone line, many people in America were not so fortunate. Poor people or people in very rural areas depended on assistance from the Federal government to connect them up to a wired telephone line because private companies found doing so very unprofitable. The Universal Service Fund (USF) was established to provide the funding. Everyone who had a phone would pay a tax to help wire America.

As the need for internet broadband became as necessary in a 21st Century world as a phone line did in the 20th Century, the tax would continue to provide this telecommunications service in the United States.

To read about all of this more detail, click here

Various Ways to Listen

Public Radio in America is leading the way with directing people with the many ways they can be heard. A good example is WBAA AM & FM from Purdue University. Their “How To Listen” tab on their website informs the listener how to listen to their stations over-the-air, streaming online, via their App or via a Voice Activated Device.

This last VAD page also tells listeners how to listen to NPR One using voice commands, such as “Alexa, play NPR One.”

BRANDING Your Radio Station is IMPORTANT

Using a VAD is a return to the days of unaided recall for the radio industry. The need to brand your radio station is critical in a Voice Activated Device world.

How is your KISS, FROG, HOG, JACK etc. different than other such brands all over the world? How will your VAD know which one you want to hear?

Might the return of unique and one-of-a-kind FCC assigned call letters come back into fashion?

Coleman Insights just released a study on Public Radio that shocked programmers with the fact that fewer than one in four radio users can call to mind any Public Radio station.

It’s a Winner Take All World

When the elephants fight, it is the grass that suffers is an old African proverb. It means that the weak get hurt in conflicts between the powerful.

Today, the powerful are Microsoft, Google, Amazon, Apple and Samsung. Each one having their own voice assistant it hopes will dominate the field.

Our 21st Century technology is altering the structure of competition in America as never before. It encourages more monopolies, a “Winner Take All” world.

Natural monopolies are not new. Utilities are an example, but they were heavily regulated. The natural monopolies created by the internet crush competition and that could negatively impact the American economy. Internet innovation moves fast, the Federal government moves very slowly and regulation won’t stop them from occurring.

You can’t order from Amazon on Google Home. You can’t access your favorite iTunes podcasts on Amazon’s Echo. Each device requires a subscription to their music library, unless you request over-the-air radio streamed into your VAD.

War Chests

Apple as of May 2017 had cash reserves of $256 BILLION. In fact, Apple, Microsoft and Google own 23% of all U.S. corporate cash outside the finance sector according to Moody’s.

iHeartMedia is still wrestling with over $20 BILLION of debt. And Cumulus maybe even worse off.

Their challenges are not those of the entire radio industry and money is not always the determining factor in innovation. A perfect example is how the Wright brothers beat Samuel Pierpoint Langley in the race to create powered controllable flight. Langley had the financial support of the United States government and failed while the Wright brothers succeeded using their own resources from their bike shop.

Crisis

The Chinese language uses two symbols to represent the word crisis. One symbol means “danger” and the other means “opportunity.” 109Radio has been here many times in it’s almost 100-year history before.

Smart operators are already speeding down the path of opportunity.

Are you one of them?

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Radio’s Best Feature

96The one constant in life is change.

What makes our world different than the world we grew up in is the rate of change in technology.

Adoption rates for technology over time according to the U.S. Census,  shows us that it took about 45 years for 25% of Americans to adopt electricity, 35 years for 25% of Americans to adopt the wired telephone, about 32 years for 25% of Americans to adopt radio, 25 years for TV, 15 years for personal computers, 12 years for mobile phones, 8 years for the internet and about 5 years for 25% of Americans to adopt smartphones.

Nearly nine in ten Americans today are on the internet and 77% of Americans now own a smartphone according to Pew Research.

K.I.S.S.

Most people who have any sales training at all know all about “KISS.”  Some say it means “Keep It Simple Stupid” and others will tell you it means “Keep it Short & Simple.”

But either way the message is the same, keep things simple.

“You have to work hard to get your thinking clean and make it simple.”

-Steve Jobs

Quite possibly our biggest challenge in the 21st Century is to keep up with the rate of accelerating change.

The More Things Change, the More They Are the Same

I’m sure you’ve heard this phrase uttered more than once in your lifetime. Every generation has thought that the rate of change was beyond their ability to cope.  A couple of centuries ago Henry David Thoreau told his contemporaries to “Simplify, simplify, simplify.”

Technology – especially information technology, the basis of our social networks – is speeding up exponentially. The famous Moore’s Law predicted this for computer chip development.

Exponential growth rate is an evolutionary process.

In his book “The Singularity Is Near” Raymond Kurzweil showed how civilizations advance through building on the ideas and innovations of previous generations, a positive feedback loop of advancement.

Each new generation is able to improve upon the innovations of the past with increasing speed.

Kurzweil wrote in 2001 that every decade our overall rate of progress was doubling, “We won’t experience 100 years of progress in the 21st Century – it will be more like 20,000 years of progress (at today’s rate).”

Only 17 years into the 21st Century and it feels like Kurzweil nailed it with his prediction.

It Still Takes 9 Months to Make a Baby

While it’s true so much of our world is uncontrollably speeding up, we are still human beings and we still pretty much move at the same pace biologically as we always have. Technology doesn’t transform our human nature.

Our need for love, touch, companionship and community will always be part of our humanity no matter what technology brings.

Radio Reaches 93% of Adult Americans Every Week

The latest Nielsen Audio research reports “radio leads all other platforms when it comes to weekly reach (93%) among adult consumers – and with new insights available to compare radio to other platforms on a regular basis, it’s clear that radio is an integral part of media consumption for millions of Americans.”

Great radio makes a human connection, engages its community and is a companion.

Radio’s best feature in a world of complex technology is that it’s simple to use.

It’s that simplicity I believe that makes it the #1 media favorite.

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What Can Radio Do That Other Media Can’t?

87I’m writing the follow-up to last week’s blog article while comments are still flowing in but I sense I have enough of a cross-section of comments to draw some conclusions; over fifteen type-written pages of comments to date. Not all commenters actually post their thoughts on my blog, but instead post them on the various social media platforms where they came in contact with my article. I try to monitor as many of those as possible to gauge the feedback on any week’s article.

Theater of the Mind

Quite a few people wrote that radio’s big advantage is that it’s “Theater of the Mind.” Unfortunately, so would streaming radio and podcasts if they so chose to utilize it. Podcasting does this quite effectively with shows like Radio Lab, Serial, Revisionist History and others. In fact NPR takes all of their segments from their highly rated programs like Morning Edition and All Things Considered and makes them available as podcasts. They are very fast at getting these segments posted online too. Lightning fast.

A lot of retired broadcasters seized on the “Theater of the Mind” advantage not realizing the extent that podcasting is doing this and how fast the podcast world is growing in audience and revenues.

Besides, truthfully, how many commercial radio stations these days do you know actually employ any “Theater of the Mind” these days. That whole concept was born from the days when radio did live dramas and that was last heard with the CBS Radio Mystery Theater that I remember running as a young lad back in the 70s.

Radio is everywhere, wireless and free

This might have been an advantage a couple of years ago, but is it still? Streaming audio is wireless, is pretty ubiquitous and now with many carriers free. T-Mobile has no data usage for quite a few streams. Plus audio streaming doesn’t use all that much data.

I’m on Verizon and gave up my unlimited data plan when the bill was climbing north of $100 per month. I switched to a plan that gives me unlimited talk and texting with one gigabyte of data per month for $50 per month. I was told by Verizon that based on my current usage that I wasn’t even using a quarter of a gigabyte per month. As I thought about it, my phone is either on my home WiFi or the university WiFi most of the time and operating very little off of cell towers for data.

However to test out how much data I’d use on a 15 hour drive from New England back to Kentucky I decided to stream radio through my iPhone4S to my car’s sound system. What I would learn was surprising in many ways.

First, I still used very little of my one gigabyte data plan. Second, I heard seamless audio with virtually no buffering and third, the audio fidelity was fabulous. The one thing I did find was how HOT my iPhone got continuously streaming like that.

Now remember, I started out in Massachusetts and drove through New York, New Jersey, Maryland, and West Virginia to get back to Bowling Green, Kentucky. That’s quite a drive and going through Maryland and West Virginia I went over lots of mountainous terrain. I did lose the signal going through tunnels, but that was about it (I also lose radio signals in those same tunnels).

So again, this is no longer radio’s advantage over other options. The people who wrote this was radio’s advantage maybe are not aware of how much things have changed. I know I was.

Radio allows you to multi-task

One respondent actually wrote his response as his own blog article on his site. In it he wrote that

“with today’s tech, radio and television can each DO almost everything the other can do, and they (do) more than the rest of the media types. The division between radio and TV is blurring…both can be just as fast, just as inexpensive. Periscope anyone? You, too, can be a serious broadcaster.

They could be the same except for ONE thing – audio-only format supports productive multiplexing. Doing two things at once. Listening, perhaps LEARNING, maybe just being entertained, WHILE doing some mindless-but-necessary task at the same time.

I cannot watch TV and hammer a nail.

I cannot read the newspaper while mowing the lawn, can’t look at photos or TV while driving a car, can’t appreciate that profit curve while taking a shower.

I CAN “get things done” and, simultaneously, listen to the radio or a podcast. I can, for all practical purposes, MULTIPLY myself. Literally, accomplish more in the same amount of time and with the same “effort.”” (Note: bolding and emphasis were the respondent’s)

That person was on a role until he got to the last paragraph. It was here that he wrote “or podcast.” I would add “or streaming” as well. Heck, I’m listening to my favorite Smooth Jazz streaming station while writing this article. Smooth Jazz helps me to think while I’m writing.

So while radio has always been the multi-tasking medium it no longer holds that as singular medium that can deliver that advantage.

Provides Information during Emergencies

Several writers said that cell phones are useless when the battery dies and that battery powered radios can run for a long time. I would agree. But I see a couple of problems here. How many people still own a battery powered radio and use it often enough to make sure the batteries are fresh?

Plus from the radio operator’s point of view, they can’t stay in business if the public only tunes to them during an emergency. I ran a news and information radio station and we did a study to find out why our ratings weren’t better than they were. We found that people depended on us only in times of emergencies or breaking news. Otherwise, they went to their favorite FM music station and not our AM information station. The format was changed to something else after we read the report in search for something that could sustain itself.

Worse, since many stations are syndicated, voice-tracked or automated in some other way, they often aren’t as quick to the draw in fast arising emergency situations.

My Verizon connected iPhone goes off no matter where I am with emergency information based on where I’m located.

Plus when it comes to things like weather alerts, school delays or closings, those messages quickly come into my iPhone to alert me. My university police department often sends out emergency messages about an active situation on campus.

So this is yet one more area that radio finds it has some strong competition.

What Can Radio Do that My Smartphone Can’t?

One reader thought the better question would be “What can radio do that my smartphone can’t.” Another phrased the question this way “What can radio do that other media won’t?”

Then maybe this person’s observation was most poignant:

“They all properly answered your question by stating what radio CAN do. But it should be noted that radio, as an industry is dismally failing to do the very things it is capable of doing.”

Why is that?

Many pointed out how our country’s largest radio companies are mired in huge debt and that prevents them from doing the very things that could take radio into the future.

While Nielsen says 93% of Americans over the age of 12 listen to radio every week, others were quick to point out that one only needed to listen 5-minutes to any radio station during the course of the week to be counted.

So what’s the answer?

Live & Local

This was mentioned by many. Then quickly followed up with, but my stations aren’t.

While the industry is quick to make this claim, the number of signals broadcasting today that are doing just that are appreciably much less.

Community & Companionship

Dan Mason said at a radio talent institute that the power of radio was community and companionship and that without both, it wasn’t really radio.

When I got into radio, owners were proud of their radio stations and took excellent care of them. They lived in the communities they were licensed to serve and that made all the difference.

My family for many years celebrated special occasions at Howard Johnson’s. People are always amazed when I tell them that. But, as Paul Harvey used to say, the rest of the story is that this Howard Johnson’s in Williamstown, Massachusetts was owned by the Brundage brothers. And they would both be in that restaurant every hour it was open. The parking lot was always full and you waited in line for a table. Everyone knew that the only similarity this place had to any other Howard Johnson’s was its orange roof. The Brundage family was proud of their restaurant.

Friendly Ice Cream used to make its store managers part owners of their restaurants and Friendly’s were always well run no matter where you happened to visit one in New England. That all changed when the company was bought by Hershey and they replaced owner/managers with salaried ones. It’s a scene all too familiar to many radio people I’m sure as the Telcom Act of 1996 changed the ownership landscape of the radio industry.

Now I don’t’ want you to get the idea that all of radio was perfect back then, the industry had its share of rotten apples to be sure, but you’ll find them in any enterprise.

WKDZ, Cadiz, Kentucky

I was in Nashville in September 2016 with some of my students for The Radio Show. The big dinner featured many station and personality awards. One that was justly deserved went to WKDZ in Cadiz, Kentucky. WKDZ won “Small Market Radio Station of the Year 2016.” Beth Mann is the owner/GM of WKDZ. All Beth wanted to do since the time she started working at that radio station as a child was own it. When the owners decided to retire, they sold it to their general manager at that time, Beth Mann. 88

Now winning such a prestigious award from the National Association of Broadcasters is a pretty awesome thing. But WKDZ has won Small Market Radio Station of the Year more than once. They won in 2002, 2013 and 2016. I fully expect them to win it again and again.

If you want to know what radio can do that other media can’t or won’t, then you need to take a car ride to Cadiz, Kentucky and visit this radio station. If you want to know more right away, then visit their station’s website: www.wkdzradio.com

WKDZ has that HERE and NOW energy many readers of this blog say they miss in radio. WKDZ has that audience engagement. WKDZ is LIVE & LOCAL & COMMUNITY & COMPANIONSHIP and so much more.

In fact, in a state like Kentucky where we are blessed with a plethora of local radio operators that are engaged, live, local, community and companions to their service area for Beth Mann and her radio family to rise above the rest makes her story all that more amazing.

After living in the Blue Grass State these past seven years I can also attest to how outstanding the state’s broadcast association is too. The Kentucky Broadcasters Association (KBA) is the gold standard for state broadcast associations.

Relevant

Summing it all up, radio needs to have a heartbeat. It needs to be LIVE & LOCAL & COMMUNITY & a COMPANION to the listener. But most of all, it needs to be RELEVANT.

Define who your audience is and then super-serve them 24/7, 365.

We know what to do.

Now we just need to do it.

 

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Radio – America’s #1 Mass Reach Medium

radio-reaches-245-million-americans-2015-2This was certainly true in the first golden age of radio, that period of time from its birth in 1920 through the mass takeover of television in the 1950s. Once TV came along, radio had to reinvent itself.

 

That reinvention came in the form of Rock ‘N’ Roll, the transistor radio and the car radio. Radio was portable, TV was not. TV took over the living room, but radio took over every other place.

 

In my life, I’ve lived through every new form of technology that was going to be the death of radio. The 8-track tape, the cassette tape, the CB radio, the CD player, the CD changer, the cell phone, the MP3 player, and most recently, the World Wide Web, Internet streaming and wireless broadband.

 

So you might be surprised to learn that at the 2015 annual meeting of the Association of National Advertisers Masters of Marketing Conference in Orlando, Florida attendees learned that when it comes to adults 18+, RADIO reaches 93% of them every week. That’s more than TV, more than smart phones, more than PCs and more than tablets.

8

I remember when I got my first GM position. It was a daytime radio station that featured Al Ham’s “Music of YOUR Life” format, big band music for those not familiar with the programming. Yes, my audience was old. But only according to the calendar, but not the way they thought about themselves. Nampa and his corvette

It was always a tough putt with new advertisers, getting across this concept that you are as young as you think. So I wasn’t surprised to learn that one of the sessions talked about “APT.” APT was all about the “Age People Think” not demographics.

 

I’m not sure that lumping people by demographics was ever a sound marketing idea, but like a lot of bad ideas (buying radio on a Cost Per Point basis) in advertising, people do what’s always been done and ignore if it’s a sound way to place advertising.

 

A lot of my radio stations over my career have focused on an older demo. When Ken Dychtwald’s book “Age Wave” came out in 1990, I read it with enthusiasm. Dychtwald told of the massive population and cultural shifts that would be taking place because of the Baby Boom Generation. He put forward how the boomers would shift the epicenter of consumer activity from a focus on youth to the needs, challenges, and aspirations of maturing consumers. Those predictions are playing out today.

 

So again, I wasn’t surprised to read that at the ANA gathering attendees were told that old people were a growth market. In light of the trillion dollars in student loan debt, the millennials are cash challenged in a way that the Boomers are not.

 

I grew up in a Chevy family. Remember those days of yore? Chevy families and Ford families competing for bragging rights as to which drove the better cars?

 

Many marketers would have you believe that we are now stuck in a rut with our product choices and only the young are pliable enough to be swayed to try or change brands. So let’s see how that plays out in my family. I have two older brothers; one drives a Honda and the other a Toyota. How about our kids? Well we have a BMW, Mercedes Benz, Hyundai and Honda. In my case, I drove a Hyundai for the past eight years before switching to a Honda Accord; so much for that concept that once you are stuck in a brand, you stay there for life. Even my toothpaste is not the brand I grew up using.

 

Everything has changed about the world with the exception the way marketing is created and advertising is bought.

 

One of the big changes is that RADIO is back! It’s the massive reach medium that advertisers seek to expose their products and services on, except that they don’t know it.

 

Radio needs to use some frequency and repetition to get the word out.

 

Willie Sutton said he robbed banks because that’s where the money was.

 

If you’re an advertiser, you need to advertise where the people are and that’s today’s RADIO.

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What if the problem isn’t PPM?

I’ve been reading a lot lately about PPM (Nielsen’s Personal People Meter) and how it may not be capturing all the listening in a radio market.

In Las Vegas at the NAB2015 show, Telos Alliance was demonstrating their Voltair.   This additional “black box” in a radio station’s audio chain will correct for times when the PPM isn’t properly watermarking a radio station’s signal. As I understand it, some formats that have pauses – like talk radio formats, classical formats – aren’t being encoded with the audio watermark the PPM encoder is supposed to transmit to be received by the PPM device a listener in a Nielsen panel carries (or not) with them.

OK – let’s take a time out here.

PPM is now the radio measurement system used in the Top 48 radio markets in the USA. It began being the currency for radio listening in the City of Brotherly Love (Philadelphia) in the spring of 2002. When a measurement system is considered “up-to-snuff” an agency called the Media Ratings Council gives that measurements service its Double Checkmark seal of approval. (The diary method of radio listening measurement has had that seal in all markets it’s used and is still the measurement method used in radio markets from #49 to #273 by Nielsen Audio.)

Now you would think that in the lucky 13-years since PPM was officially launched (it was being tested in England back in the late 90s) that it would have earned that gold standard of ratings methodology approval in all PPM markets by now, but no; it apparently only has it in about 25 markets, leaving another 23 without it. But make no mistake it IS the ratings currency used Double Checkmark or not.

This new PPM device replaced the paper diary methodology in America’s largest radio markets and here are a couple of more interesting twists to the story. There were less PPM meters deployed than the number of paper diaries they replaced. They also raised the costs of measuring these radio markets by something like 60%. (That’s sounds like Clear Channel’s old “Less is More” strategy.) But if the ratings will be more accurate, then everyone should rally around this newer system and it will be worth what they’re paying for, right?

That’s what makes the Telos Alliance Voltair black box so disturbing. Its seller’s claim it fixes a problem that no one (or not a lot of people) knew even existed. It made the PPM encoder do a better job of encoding a radio station’s signal so PPM receivers could decode the audio watermark and give that radio station its due. And to implement this “fix” to your radio signal, all it would cost you is $15,000.00 per Voltair.

I’ve had the pleasure to actually visit a station in a major metro and watch the Voltair work. The telemetry it displays appears to be doing just what its sellers claim. So maybe it IS fixing things. But what about all those formats that are no more? What about all those PDs and air personalities that are gone because a new measurement device was not giving them the proper credit they should have been getting? A lot has changed in those 13-years since the first PPM market went online.

Another manufacturer points out that this additional black box in your audio chain designed to capture more PPM receivers will actually make your radio station sound worse and drive listeners away from your station. And I know some radio engineers that would agree with that analysis.

So what’s a radio broadcaster to do?

Dick Harlow thinks he knows. He’s in PPM market #46. He’s dropping Nielsen Audio’s PPM measurement service. He’s not spending $15,000.00 on a Voltair. And he’s not going without audience ratings like Saga has done (and is still doing in some of its markets). He’s hired Mike Gould’s Eastlan ratings to measure the Greensboro/High Point/Winston-Salem market for his radio stations; WKRR-FM Rock 92 and Top 40 WKZL 107.5 FM.

Mr. Harlow says “enough is enough.”

Eastlan will reportedly deploy a sample size that’s triple the number PPM meters currently used in this radio market using its proprietary ratings estimate methodology.

And no it isn’t MRC Double Checkmark approved, or as far as I can see, under review by the MRC.   But then again, there appears to be a lot of ratings currency being used that lacks this approval.

A quick check of the Greensboro/High Point/Winston-Salem market shows that PPM is also not receiving the MRC Double Checkmark seal of approval for that market, so there’s no loss for Mr. Harlow on that metric either.

I studied the Eastlan reports back in the early part of the 21st Century when I was running radio stations. At that time it was Arbitron and Eastlan that were battling it out in a few radio markets where we could examine how each company ranked the stations. What I saw at that time was they could both agree on the Big Dawg stations, but Eastlan found those little pups that super-served a niche audience and that was the eye-opening difference to me, for at that moment in time I was running some low powered AM radio signals and needed a ratings company that could drill down a market deeper and uncover more of the radio listening that was actually occurring.

My gut tells me that Dick Harlow will find that too. And if he’s smart, he will take the cost savings by switching to Eastlan and pour it back into advertising and promotion of his radio stations; for if he does, he will not only win in Eastlan’s audience estimates, but in those done by Nielsen too. But the real win will be for his listeners, advertisers, employees and his company, for he will be investing his resources where they will pay the biggest dividends for the community he’s licensed to serve.

To sum this all up, the problem isn’t PPM. It’s that PPM has taken radio broadcaster’s eyes off the ball. The game is programming radio stations with great content. It’s hiring great talent. It’s crafting commercials for advertisers that get results and don’t annoy the listener. It’s super-serving the community you’re licensed to operate in. In other words, it’s doing all the right things, all of the time. Ratings are a by-product of doing it all fabulously well. And profits are the reward that the stakeholders receive for investing and believing in their radio team.

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Are We Losing the Next Generations?

Growing up in western New England, the transistor radio would impact my life and career. Radio has been in my blood as long as I can remember, but it would be my Zenith transistor radio that would first allow me to explore new stations, new music, new personalities and new ways of delivering content without the supervision of my parents. My transistor radio and ear piece would make me the master of my own radio dial.

Growing up, it seemed like most radio markets had two radio stations battling for the teenage ear. WPTR and WTRY out of Albany, New York’s capital district would be mine. Each of those radio stations would bring their mobile studios to our county shopping center and broadcast LIVE. It was such a thrill.

Hartford had WDRC and WPOP. Boston had WMEX and WRKO. Philadelphia had WIBG and WFIL. Chicago had WLS and WCFL.

New York City would finally be a battle between WMCA and WABC for the Top40 crown in the Big Apple.

What made traveling around in my folk’s car so exciting was that each of these radio markets and radio stations were special and different. The personalities, the promotions, the station jingles and yes, even some of the music was unique to each station and market. Local and regional bands could be heard hoping to be discovered and go national with their music.

Radio stations all did music research back then and printed weekly surveys charting how the hits were doing from week to week with local listeners.

That was then, this is now. Larry Rosin at Edison Research says that today “virtually no radio stations perform formal research for music among teens nor target teens directly in their marketing strategy.”

I’ve sold “old people radio formats” where the presentation was quick to point out that what advertisers should be focused on is not the age of the audience but the amount of money they control and have as discretionary to spend as they wish.

I’ve also sold “young people radio formats” where we pointed out that kids are the masters of convincing their parents and grandparents to get them anything they wanted, so please don’t focus on how young they are. I mean once my boys were out of the house, I no longer went to Mickey D’s and ordered “Happy Meals.” (That made me very happy!)

Radio has always focused on the “family reunion demo” aka 25-54 adults; though that demo is shifting upwards with the aging baby boomers to 35-64 adults.

When Radio Disney was born and focused on little tykes, it appeared there was now a radio operator ready to pick up the torch for young people listening to radio. But then radio was shocked the day Disney announced it was selling all but one of its owned and operated Radio Disney stations. Radio Disney basically operated on AM radio. AM radio is no longer used for music listening by the public and so was Disney just abandoning AM radio for FM radio? No. Radio Disney had established a strong beach front on two audio delivery mediums; SiriusXM and online listening. (It also benefits from the Disney TV Channel on cable, satellite and streaming via the Net.)

It should also be noted that around the time Radio Disney was coming into existence that the radio ratings company known at that time as Arbitron began to measure listening audiences down to age 6+ with their new PPM device where as the diary previously only measured “adults 12+.” When Nielsen bought Arbitron and rebranded the radio ratings service Nielsen Audio it kept the 6+ listening metric. Nielsen also now is trying to establish a listening service that will measure all audio listening consumption across all platforms. Can you see where this is going?

Radio listening is a habit. My father never acquired it. I was raised on it. My sons were raised on it. But I see my grandchildren are holding iPad-like devices and easily navigate their parents’ iPhones.

You would have thought that with more radio stations on-the-air in America than at any time in history there would be more variety than at any time in our history, but that’s not the case. There’s actually less variety.

After launching two Smooth Jazz formatted radio stations and falling in love with the artists and their music I now can only hear this music streamed online. So like my grandchildren, I’m forming a listening habit that doesn’t require a radio; just my iPad or iPhone.

I believe the future is going to be all about being the best at something, not necessarily garnering the most people. Radio was always about getting the most ears. Everything was based on CPP (cost per point), but in a world of infinite choice, the best will dominate.

Radio can play in this world if programming is turned back over to people who program their passions to others just like themselves.

Steve Jobs made Apple into the world’s most valuable company by focusing on design (in radio, that’s programming) and making products that he and his team wanted to have for themselves (building a radio station that you not only own, but love to listen to yourself).

Radio is either going seize the day or have a seizure.

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