Tag Archives: public radio

November 27, 2022 · 3:00 am

Today’s Media Consumption Headlines

I can’t help but be struck by the headlines I read each morning when I log onto my computer or pickup my smartphone to read the latest news.

Here’s just a few recent ones:

  • More audio is now consumed in the U.S. through mobile devices than through traditional radio receivers. -Edison Research
  • 83% of U.S. Homes have enabled smart TVs or streaming media players. -Hub Research
  • 49% of registered voters don’t have traditional TV, 80% stream. -Samba TV & HarrisX
  • The steady climb of podcasting’s reach in the U.S. -Edison Research
  • Why mobile first is radio’s road back. -Jacob’s Media
  • Survey finds older adults are slowly warming to streaming audio. -Broadbeam Media

This last headline flies in the face of traditional wisdom that people over the age of 55, who grew up with AM/FM radio, won’t abandon the medium. However, the COVID pandemic has caused rapid shifts in media habits, even among older Americans.

Not surprising, it has been the shift to streaming video that’s taught people how easy it is to stream audio content as well.

Traditional Radio vs. Digital Audio

For twenty years, we’ve seen this day coming. With each passing survey, research study or anecdotal observation it’s clear that listening to audio content is moving from the world I grew up in, AM/FM radio, to digitally streamed audio.

The trend line is clear, everything is moving in one direction and there’s no signs of it reversing. Today 53% of audio time spent listening is to digitally streamed audio.

I started off this year of blogging with an article about how ALL of my radio listening is digitally steamed, whether I’m at home or in one of our cars. You can read that article HERE

Hallmark Christmas Movies

My wife Sue and I love watching Hallmark Christmas Movies. One of the things I’ve noticed about today’s movies, is how ubiquitous the smartphone has become in storylines. Everyone is constantly texting or video chatting with others in these movies.

But what really struck a nerve with me, was a scene in a recent Christmas film where a character in the movie tries to explain to another character what radio is:

Actor 1: It’s like TV without pictures.

Actor 2: You mean it’s a podcast?

It’s clear that we are living in the future that was predicted decades ago.

Life Is Change

It doesn’t have to be all doom and gloom. Both public radio and Christian radio have found audiences that will listen and support them whether they are received by traditional radio broadcasting or via a digital stream on a smartphone or smart speaker.

Many of our country’s smallest radio markets are also some of the most successful radio operations. Why? Because they know their listeners, and engage with them on a very personal level.

It’s only when the tide goes out that you learn who has been swimming naked.

-Warren Buffett

In other words, everyone looks like they know what they’re doing when business is good, it’s only when things become challenging, that we know who is prepared to not just survive, but thrive.

How many years must a mountain exist
Before it is washed to the sea?

-Bob Dylan

Radio broadcasting, like the mountain in Bob Dylan’s song “Blowin’ In The Wind,” is dealing with its own type of climate change, a change in people’s habits for how they receive and consume their media.

Let’s hope the answer to radio’s future isn’t “Blowin’ In The Wind.”

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May 22, 2022 · 3:00 am

Great Radio Starts in the Station’s Hallways

Once upon a time, a radio station had a team of people fully focused and dedicated to a single radio signal. Think of the incredible radio stations you listened to in your youth: WABC, WKBW, WRKO, WLS, WPRO, WDRC, KHJ, KFRC, CKLW, etc. These were standalone radio stations with dedicated staffs that numbered ten or more times larger than today’s radio clusters, which are made up of 4 or more stations.

WBEC

When I was on-the-air and in programming/operations for AM1420-WBEC, it was the only radio station I was concerned about. When the owner added an FM signal to our operation, he hired a dedicated air staff and programmer to oversee this new signal.

In my car, in my home, in my office, you could here WBEC playing. I remember the programmer of our new FM station grousing that his station was not being heard anywhere in the building but his own radio studio.

WUPE/WUHN

When I moved into sales at Whoopee Radio, our programming was simulcast on both our AM and FM signals. When ownership decided to split the AM and FM into separate formats, I was promoted to general manager of the AM station and went about hiring air personalities and a sales staff for our new Radio One – WUHN. Only our broadcast engineer and office staff would be shared by both operations.

On my side of the building all you heard playing was WUHN and on the other side it was WUPE.

KOEL AM/FM, KCRR & KKCV

When I got to Iowa as Market Manager of a four station cluster, the sound of any one of the radio stations playing was hit and miss in the common areas, but each station had its own dedicated staff, completely focused on their operation. Again, only office and engineering staff were shared.

Radio Clusters in 2022

People wonder why Christian Radio and Public Radio stations are often the most successful radio operations in markets across America. I don’t wonder. What I see are radio operations that hearken back to the way I started in radio, an entire staff, 100% focused on a single radio station.

In these radio stations, the programming can be heard in the hallways, bathrooms and coming out of every office.

In my Capstone Class at the university, I would take my students to see how different radio and TV stations operated in the area. The differences in equipment, staffing, and facilities were always enlightening. Everyone in these stations could be seen jumping from one station to another, many had programs they hosted on more than one signal.

What never ceased to amaze me however, was when you went into our local public radio station or our local Christian radio station, the energy was palpable. Everyone in these radio stations were dedicated to the mission of the station. They didn’t just broadcast their formats, they lived and breathed them.

Culture always changes in the hallways,

before it changes out the speakers.

-John Frost

When John Frost asked in his weekly blog, “if your radio station went off the air, would anyone care,” it got me to thinking about what makes for a successful operation. Be it a business, sports team, or even a radio station, if you don’t have that spirit of a shared mission with a defined goal that everyone’s working towards, you won’t ever be a success.

Radio broadcasting is an emotional art form. If you don’t feel that emotion in the hallways of your operation, you’ve entered a radio station that is dying.

Radio is not dead, but many radio stations are on life support.

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March 27, 2022 · 3:00 am

What Makes Your Radio Station Unique?

In teaching broadcast sales at the university, one of the things I taught my students was to help their advertising clients to identify their unique selling position in the marketplace. In other words, what was the one thing that made them different than everyone else in their specialty.

Something For Everyone

The answer you most often hear when you ask an advertiser what makes them unique is, “well, we have something for everyone.”

Something for everyone is nothing special for any one. To the radio listener, it’s like blah, blah, blah. It’s meaningless. Why? Because every other advertiser selling everything from soup to nuts says the same thing and the listener has become trained to tune out these advertising clichés.

Plumbers

Plumbers are probably not something you ever give much thought about, UNTIL you need one. That’s true for lots of repair services when you think about it.

What’s the one thing you hate about calling a home repair company? Knowing that you will be kept waiting and waiting and waiting for their arrival at the time when they said they would.

“It takes many good deeds to build a good reputation and only one bad one to lose it.”

– Benjamin Franklin

Benjamin Franklin Plumbing could have said a lot of things about the services they provide, but instead they decided what would make them unique in the ears of future customers would be being punctual.

Benjamin Franklin

The Punctual Plumber

They built their whole franchise around the realization that people hate to be kept waiting. In fact, they promise when you don’t have time to wait around, you can count on them to be punctual plumbing professionals, but if they are ever late, they will pay YOU for every minute they’ve made you wait. Doesn’t that resonate with you? It does for me.

Give Your Radio Station a Diagnostic

When is the last time you pulled out the Advertiser Diagnostic sheet and used it on your own radio station(s)?

What makes your station unique? Not the music, that’s for sure. The songs you play were carefully crafted by composers, producers and talented artists, who have record labels that have worked relentlessly to get those songs played on as many radio stations, pure play streamers, movies, TV shows and any other place that uses music to entertain people.

Is your brand name unique? Well, if you branded your radio station KISS you are one of 78 radio stations in America that call themselves that, along with radio stations in Ireland, United Kingdom, France, Italy, Poland, Ukraine, Romania, Moldova, Iceland, Greece, Spain, Sweden, Germany, Brazil, Canada and Australia. It’s no different than calling your radio station HOT, Jack, Bob, Alice or some other cute name that dozens upon dozens of other radio stations are doing, especially in a world where voice commands increasingly are the way people are accessing audio on their smart devices.

But if your brand is 650AM -WSM, you are the only one in the world that has that brand. You have set yourself apart from the estimated 44,000 radio stations currently on-the-air in the world. WSM is the Home of the Grand Ole Opry. I don’t expect this historic radio station to ever call itself by any other name, but by the one it owns exclusively: WSM.

Streaming Radio

In a world where you can receive virtually any radio station on an App like TuneIn, being unique and one-of-a-kind has never been more important.

If a person tries asking Alexa, Siri or Google to play the KISS radio station, I have no idea which one she will play. However, I don’t have to wonder for a second, if I ask my smart speaker to play WSM, I will hear any other radio station, but the one from Music City USA, in Nashville, Tennessee.

What Makes Your Radio Station Unique?

If you stake your radio station’s future on things created by others, like music, talk shows, network news, syndicated programs, jingles – things every other radio station in America has access to – then your radio station is NOT unique.

When other providers are able give your listeners more of what they want while eliminating the things they dislike, your days as a broadcaster are numbered.

Another way to think about this is, if you were to eliminate all of your commercials – the thing radio listeners say they object to most – would you be able to sustain your radio station by listener support, like public radio and Christian radio does? Or the way that Netflix or SiriusXM does?

If a listener hasn’t heard of your radio station,

wouldn’t choose your station or recommend it,

your brand is dead.

<Picture: The Fuse Vert is a premium vertical vinyl audio system which can also play FM radio>

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January 23, 2022 · 3:00 am

What Do Seniors Want?

Seniors born in the 1950s and 1960s, known as “Baby Boomers,” created a tsunami of change in the world of marketing and communications. Now, the generation that coined the phrase “Don’t trust anyone over 30” is turning 70.

50th High School Reunion Re-imagined

In fact, my 50th high school reunion was to have been held in 2020, but due to COVID19 this was rescheduled to October 2022. The committee organizing this event decided to re-imagine our Golden Reunion Celebration and are now calling it “The Class of 1970 Turns 70.”

Boomers actually began crossing the 70 year old threshold in 2016 and will be growing the 70+ demographic population until the year 2034. Over the next ten years, our numbers will eclipse 55 million with a growth rate twice that of people aged 18-49.

Boomers Are Spenders

Currently the 70+ Boomers contribute $1.1 trillion in annual spending on consumer goods and services. According to AARP, we spend on pharmaceuticals, health insurance, medical supplies, AV equipment, food at home, personal care products, apparel, entertainment, household furnishings, and travel.

Since I retired in 2017, my wife Sue and I immediately set out to see more of this world. We took a Caribbean Cruise, three cross-county road trips driving over 25,000 miles and were planning to travel abroad until the advent of COVID19 brought things to a screeching halt.

Boomers grew up in the postwar era with a sense of promise and possibility. We believed if we could dream it, we could do it.

The Senior Mindset

When I was in my early years of radio sales, I sold advertising to a contemporary of mine that was working in his family’s pharmacy. His primary focus was on developing new revenue streams for growing the business.

He was the first person I ever knew that went to Las Vegas every January to the Consumer Electronics Show; now known simply as CES. Each year he would bring new and innovative electronic products into the store.

But that’s not the point of the story.

In my 20s, when I saw these new devices – often with some pretty hefty price tags attached to them – I would say, that’s pretty amazing, but I’ve read that next year the new model will be even better.

My friend would reply, “That’s the way we think, but people who are much older than us don’t see things that way.” He explained that their view of life was, if they wanted it, they bought it now. And if something better came along, they would make another purchase. They didn’t have time to wait around for the next big thing to come along.

Retirement is a Transition from Saver to Spender

Now that I’ve become one of those people who are “much older,” I understand that perspective. Baby Boomers are now at that point in their lives where they see more of their lives in the rearview mirror than out the front windshield.

People who are 70+ are free to pursue their passions and set new life goals for this next chapter of their lives. Products and services that compliment these things will be the ones who benefit from our spending.

I’m no longer thinking of how much I need to save in my IRA or contribute to my annuities, I’m now at that point in life where it’s time to begin withdrawing from the retirement assets I’ve accrued over my working life.

Are your products or services seeing me, hearing me, understanding my wants/needs/desires?

Time Spent With Ad-Supported Media Falls

The FCC reported at the start of this new year, the number of commercial FMs, AMs, and even LPFMs all decreased in 2021. While it came as no surprise to see the number of AM radio stations sign-off, the decrease in the number of commercial FMs should have been a real wake-up call for the radio industry.

Interestingly, non-commercial FM radio stations increased in number in 2021. Could it be they are serving up content that people want to hear?

53.4% of people’s time spent with media in the United States is with consumer-funded media, according PQ Media.

I started off this year of blogging with “Why I Stream ALL of My Radio Listening,” and in reviewing the latest data I find that our household is riding the wave of consumer-funded media for both television viewing and radio listening.

Media Post says

“While total consumer time spent with media is projected to continue to expand in both the United States and worldwide through 2025, ad-supported media’s share will continue to erode due to secular, not cyclical shifts in consumer usage of media – something other analysts and economists have been pointing out.”

You Can Save Time or You Can Save Money, BUT You Can’t Save Both Simultaneously

There’s an inverse relationship between time and money; you can spend one to save the other. In our youth, we feel like we have all the time in the world and so we focus on ways to save money. Later in life, we see how precious our time has become and so we will spend money to save time.

Long commercial breaks about things of little interest to us waste our time, so it should come as no surprise that seniors are willing to pay money to eliminate them.

People will give you their time when you offer them entertainment. People will give you their money when you offer them hope.

– Roy H. Williams

Consumer-funded media does just that. It gives us the wheat and eliminates the chaff.

The average person in America today is expected to live to almost 79 years old, that’s 28,835 days. When you turn 70, that means you see the future as 3,285 days left.

What do you think means more to a senior, another dollar in the bank or more efficient use of their time?

When people are asked on their deathbed what they wished they had more of, no one says “more money.”

Willie Sutton said he robbed banks because that’s where the money was. Today, media money is in the hands of the Baby Boomers, aka seniors.

How are you serving them with your media property?

Updated 1/23/2022: An earlier version incorrectly said “Willie Horton,” not “Willie Sutton.”

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August 4, 2019 · 3:00 am

WPLJ Changed Format

WPLJOK, that’s not exactly new news. The latest New York City PPM Ratings show that WPLJ, now airing EMF’s Christian Contemporary K-Love format, went from a 3.1 (6+ Mon-Sun, 6a-12mid) before the format change to a 1.5 rating.

WPLJ Didn’t Die, It Changed — Again

On May 31st, the last day that WPLJ aired a Hot AC format before switching to a Contemporary Christian format, you would have thought the station had turned in their FCC license from all the hand wringing going on in the commercial radio community.

WPLJ, who’s call letters stood for White Port and Lemon Juice, began its life as WJZ-FM in the 1940s, later switching to WABC-FM WPLJ-FM's_95.5_Original_Logo_From_1971in the 1950s and simulcast 770AM-WABC. In the late 1960s it became one of the early album-oriented rock radio stations in America. On February 14, 1971 it was renamed WPLJ to clearly separate it, and its programming, from its Top 40 sister, Music Radio 77 – WABC, at that point in time the most listened to radio station in the world.

In June 1983, WPLJ changed from its album-oriented rock format to a hits format. (It was May 10, 1982 that 77-WABC changed its format from Music Radio to Talk Radio.)Power 95

On Thursday, December 17, 1987, WPLJ changed its call letters to WWPR to better promote its marketing slogan “Power 95” and its new Top 40/CHR format.

A year later, the call letters were switched back to WPLJ. mojoradio

In 1991 when Scott Shannon was hired, the branding was changed to MOJO Radio and by 1992 the station had transitioned to programming a Hot AC format calling itself “95-5 PLJ.”

Things Change

wklv-weremovingThe only constant in life is change.

The history of New York’s 95.5 FM signal has been one of both call letter and programming change since it was birthed in the 1940s. EMF changing the format to its popular and successful K-Love format does not spell the end of anything. It’s a new beginning.

Audience Surge

Those final days of the Hot AC version of WPLJ saw its raw Nielsen numbers take the station’s listenership rank from 13th to 3rd in the Big Apple.

It had nothing to do with the music played, or any of the other programming elements the station used, but it had much to do with the personalities that returned to WPLJ. The people behind the microphone caused a surge in people tuning in 95.5 FM. WPLJ listeners wanted to hear their favorite radio personalities one more time.

Radio’s Secret Weapon

To me it was living proof that radio’s secret weapon for attracting listeners is its air personalities.

Similar audience increases were witnessed in Washington, DC on WRQX and in Atlanta on WYAY, as each of those radio stations’ air personalities, past and present, said goodbye before turning over the keys to EMF and their national religious format.

EMF

The Educational Media Foundation (EMF) has grown into a Christian radio behemoth. It’s a nonprofit 503(C) 3 corporation that is supported by the listeners to its radio stations that become donors. Much like Public Radio, EMF radio stations conduct twice annual fundraisers and all listener contributions are fully tax deductible to the extent allowed by law. EMF’s broadcast network is the largest Christian media radio network in the United States, now reaching over 47 states.

EMF states their primary purpose is “to create compelling media that inspires and encourages our listeners to have a meaningful relationship with Christ.” “The programming is designed to provide encouragement, inspiration, and a deeper understanding of the Christian heritage.”

It must be fulfilling its mission, as its listeners have continued to fund EMF’s growth year-after-year, and there’s no reason it will stop anytime soon.

Funded by Listener Support

Could your radio station fund itself by listener support? Have you invested in your programming and air personalities to create something so special that listeners want to support you for fear of losing the service you provide?

It certainly makes you stop and think about your value to the market you serve.

The WPLJ signal is one of the best FM signals in New York City and I’m sure that in its evolution to Contemporary Christian programming will allow it to enjoy a radio life for many years to come.

You might say, WPLJ has been born again

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March 4, 2018 · 3:00 am

Radio Stations Aren’t Performing Like it’s 1999

Calendar 1999Remember when spot loads were small, rates were high, profit margins were 30% to 50%+ and revenue growth was double digit. I do.

What Happened?

Change happened.

FM radio replaced AM radio.

And AM radio stations are adding FM translators in an attempt to stay relevant.

An Abundance of Listening Options

Today there are too many radio stations playing the same program features, repeating the same positioning liners and doing the same things that we used to do 30 to 35 years ago.

Pureplay streamers are relentlessly competing for our listeners’ ears.

Listening options are infinite.

The Internet Tore Down the Gate

Traditional media was born when the “gates” to being a media property were very high. For newspapers those high gates consisted of having to buy large printing presses, paper, ink, etc. For radio & TV those high gates were things like having a broadcast license, a transmitter, studios, etc.

Traditional media enjoyed being gatekeepers for news, information and entertainment because there was no place else to go.

Legacy media enjoyed attracting huge audiences, huge margins and lots of cash flow.

The Gatekeepers of the 21st Century

The new gatekeepers are called listeners, readers and viewers of media.

The new gatekeepers are accessing their media via their smartphones, tablets, computers, smartTVs and now voice activated devices such as Alexa, Google, Apple and Cortana.

Bottom Line

Long stop sets no longer need to be tolerated by listeners or advertisers. Every element that goes out over-the-air needs to be thoroughly vetted from the listener’s perspective.

And your streaming product cannot be an afterthought. It’s your future and if you expect it to grow into your new revenue source, you need to give it your full attention.

Listener Supported

Have you noticed the growth of Christian formatted radio stations? Have you noticed the growth of NPR and public radio?

These radio stations depend on listener support as well as business underwriting.

If your station stopped selling commercials and asked its listeners to donate money to support it, would they?

Our Challenge

The challenge for broadcasters is to build audio brands that our audience doesn’t just casually listen to but feels they can’t live without. To do that, your media property needs to know your listener so well, that you are creating a product that they find engaging in every way.

It’s time to play to win again versus a decade of trying not to lose.

Consumers Have a Choice

Here’s the reality of today. Consumers of media have lots of choices for how they want to spend their time. They don’t need us. It’s up to us to create a reason for them to want us, to need us.

NAB Radio Show 2009

Now here’s the ear-opening part of this article.

Most of these points were made during an NAB Radio Show presentation I attended almost a decade ago.

It’s 2018, how many of these issues are the same today?

Why is that?

I’d love to hear your thoughts.

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June 25, 2017 · 2:00 am

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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March 12, 2017 · 3:00 am

The End of Mass Media

84Jack Nicholson famously said in the movie A Few Good Men “You want the truth? You can’t handle the truth!”

I think he was right.

We can’t.

We say we can. We want to believe we can. But the reality is the truth is scary.

The Future of Mass Media

The reality is the future of our business – mass media – is that it won’t be all that “mass” anymore.

The future will be a media that is built around relevance and quality of message, not volume.

And that’s scary.

Not to just us broadcasters but to the ratings service known as Nielsen. We aren’t going to need to know the volume (aka cume) or AQH (average quarter hour) numbers in the future. The real value that we will deliver will be based on how relevant we are to our listeners and what value we deliver.

The King is Dead

Remember when the catch phrase of the day was “Content is King”?  Bill Gates famously said that.

There were others that felt that distribution was king.

Turns out the “king” is dead for both of these theories and the new king is relationships. And relationships are based on mutual interests and relevancy.

Facebook

What’s the power of Facebook?  Relationships.

Oh sure it uses complex algorithms to manage our relationships, but we are not smitten with algorithms we are drawn to relationships and we friend or unfriend based on the relevance of those relationships too.

Google gets it too.

Each of us is an individual and these social media companies go to great lengths to treat us in just that way.

One Size Does Not Fit All

Commercial radio broadcasting still strives to deliver the “one size fits all” solution. Those days are over.

Radio needs to build, as Seth Godin might say, tribes. People who believe what we believe.

Simon Sinek says that people aren’t attracted to what you do but why you do it.

What’s your WHY?

If there are enough people in your coverage area that will make you a meaningful size tribe of listeners, then do it. If not, find something else that is meaningful.

But trying to be all things to all people – the concept of “mass media” – those days are over.

Advertising

The 800 pound elephant in the room is how to pay for it. Ad supported media is being challenged by the internet in ways that Netflix, Amazon, Google and others that grew up on a different metric are not.

Today supply far outweighs demand in the advertising world.

Even those special live television events that were growing in audience every year are now seeing they’ve peaked. Nothing goes up forever.

The future is creating something relevant to the people you develop a relationship with. The value will be in how strong those relationships are not necessarily how big, in terms of numbers of people, they are.

The future for all media I suspect will start to look more like that of public radio or Christian radio. Each of these mediums has established strong relationships with their listener. They also don’t abuse those relationships with underwriting announcements that either doesn’t fit their audience or by unbalancing the content to underwriting ratio.

Commercial broadcasters seem to take the view that adding one more spot to the hour; the cluster etc won’t affect their audience. They would be wrong. It does.

Keeping things in balance and running seamlessly will be critical to broadcasters whether they’re being consumed over-the-air on AM or FM, or over the internet.

Sales people in this new world will be business evangelists that seek out business owners with innovative ideas and solutions to their problems. Businesses owners who benefit from these relationships with media sales folks will in turn reward the media enterprise with their support.

What’s your WHY?

But it all starts by first defining, as Simon Sinek says, your WHY.

“People don’t buy what you do; they buy WHY you do it.”

Answer that question, and you will have taken the first step.

 

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