Tag Archives: Radio Advertising Bureau

First Things, First

covid-19If someone had asked you, “Where do you see yourself in 5-years?” I seriously doubt anyone could have imagined they would be smack dab in the middle of a global pandemic. But that’s where we find ourselves at this moment in time.

No matter what you may think will return us to the life we had before COVID-19, nothing even begins to change until we have two things: therapeutics to cope with this novel coronavirus and a better understanding of how this dastardly disease can be squashed like a bug. In the meantime, everything else we try is merely a Band-Aid on the problem.

TRUST

A good radio friend posted on LinkedIn a graphic from the Radio Advertising Bureau (source: Kantar 2017)  “Trust in News” purporting radio to be the medium, Americans turn to for trust.

Radio & Trust

Well, we are now half-way through 2020, and I wonder what relevance that this research conducted in 2016 and published in 2017 has in a COVID-19 world. Probably, slim and none.

In fact, the NRRC (Network Radio Research Council) is recommending that all network/national buying and selling be based on the Fall 2019 Nationwide survey, and not those surveys conducted since the start of COVID-19, saying “the impact of the COVID-19 pandemic has caused unprecedented divergence of traditional patterns of media consumption, including AM/FM listening and the streaming of audio.”

If we can take to the bank anything from the world we are living in now, it’s that anything pre-COVID-19 is now FUBAR*.

How COVID-19 Has Changed Our Media Consumption

Since the onset of this global pandemic, the home broadband bundle has significantly been changed. Most consumers are adopting a stand-alone broadband service and not bundling it with Pay-TV or home phone or even their mobile phone. Why is this happening? Researchers say with another recession looming, people are watching all of their pennies.

With people working from home (WFH) and driving less, Out-Of-Home (OOH) media has been clobbered. Revenue projections for the Billboard industry show it will be down over 19% in 2020, compared to radio (down 13.7%) and local television (down 12.4%), according to MAGNA. Before COVID-19 hit, OOH was one of the fastest-growing and most stable linear media channels. Zenith thinks that OOH revenue will be down even more, predicting it to be down 25% in 2020.

Nieman Lab writes “Radio listening has plummeted. NPR is reaching a bigger audience than ever. What gives?” And the answer is, 2020 is the year that NPR will make more money from underwriting on its podcasts than it will from its radio programs.

Follow the Money

Local radio is very dependent on Main Street, but Main Street is in the cross-hairs for defaults, bankruptcies and evictions due to COVID-19.

Much like NPR is experiencing with its online products, retailing is becoming an online activity with American consumers. Economists knew that many cities had a retail footprint that was too big for the local consumer economy to support. COVID-19 merely accelerated things.

In fact, COVID-19 has created a quantum leap for e-commerce in 2020. What was projected to take place over years, has been compressed into a few months.

The United States Census Bureau reports that in the second quarter of 2020, e-commerces retail sales in America rose 31.8% from the first quarter and were 44.5% above the same period in 2019. The Census Bureau says that compared to the share of total retail sales, e-commerce sales grew as much in three months as it had over the past five years.

We are living a period of rapid technological change. Columbia Business School economist Laura Veldkamp says, “We are changing the way business is getting done, we’re changing the way we’re shopping and the way we’re eating – we’re changing the way we’re having meetings.” She points out that:

“the pandemic, like the Depression and World Wars I and II, is fundamentally altering people’s tastes. Some businesses will be left behind, as consumers get accustomed to videoconferencing instead of commuting, and buying groceries and other goods online instead of braving stores, malls and restaurants.”

Unemployment Tsunami Ahead

Economists are worried what’s ahead when it comes to unemployment in America. They see exponential growth in claims for the Pandemic Emergency Unemployment Compensation (PEUC) program and a weakening U.S. labor market. The PEUC has grown from 27,000 people on April 11, 2020 to 1.3 million as of August 1, 2020. Worse, the number of PEUC recipients has stayed at over 1 million people for four straight weeks and has actually been increasing each week.

“The real tsunami is coming,” says Mark Zandi, chief economist at Moody’s Analytics. “My guess is at this point hiring in the industries that have been hit hard is going to abate.” Plus we know that United Airlines plans to furlough 3,900 pilots, Delta 2,000 pilots and American Airlines are alerting their employees to furloughs of 19,000 companywide.

The Conference Board Consumer Confidence Index declined in August for the second consecutive month hitting a new pandemic low. Consumer optimism, along with their financial prospects also declined. Both are continuing on a downward path.

The Long Road Back

Economists see a long road back for the United States economy. A National Association for Business Economies (NABE) survey of 235 members July 30-August 10, 2020 showed that 60% predict that it will not be until the second quarter of 2022 (or later) that our economy may finally rebound to where it was in 2019, pre-COVID-19.

Economy Rebound

The Party’s Over

When you’re having a good time, it’s hard to call it a night and leave a party. Sometimes it’s due to FOMO (Fear Of Missing Out) and other times, it’s because no one likes to see good times come to an end.

The Oracle of Omaha – Warren Buffett, puts it this way:

‘They know that overstaying the festivities — that is, continuing to speculate in companies that have gigantic valuations relative to the cash they are likely to generate in the future — will eventually bring on pumpkins and mice. But they nevertheless hate to miss a single minute of what is one helluva party. Therefore, the giddy participants all plan to leave just seconds before midnight. There’s a problem, though: They are dancing in a room in which the clocks have no hands.’

Commercial broadcasters, by and large, have enjoyed the radio broadcasting party of the 60s a little too long. So many of the programming models haven’t really changed since the days when I was still a disc jockey, yet the world has changed, and changed exponentially.

Radio broadcasters, like NPR, that have embraced a vision of where media consumption is headed, are seeing their investments paying off.

Those that haven’t changed, are finding today’s environment extremely challenging.

Local radio’s fortunes have always been tied to Main Street, not Wall Street.

COVID-19 has disrupted Main Street’s business model.

The old rules don’t apply any longer, but, we don’t really know yet if this is another giant bubble or the future of our world.

Realizing that the time horizon for answers could be two years out, one wonders, will you be able to survive till we have the answers?

 

*A military term defined as F’d Up Beyond All Recognizability

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Thank You Jason Jennings

jennings

Photo by Barbara Ries

In 1979, two major life-changing events occurred around the same time. One, I got married and two, I left the programming, operations, and on-air side of the radio business to enter radio sales. Both would change my life forever.

Before I ever set one foot on the street to sell a radio ad, my new company’s owner would send me to sales training. The trainer was Jason Jennings, and when I finished the day with him, I could not wait to get out on the street to begin selling radio advertising.

Jason William Jennings

Jason was born on May 31, 1952 in Ishpeming, Michigan. He earned a Bachelor of Arts degree from the University of Detroit. His politics back then were listed as Republican and his religion Lutheran.

I didn’t realize that when I first met Jason to undergo radio sales training, we were the same age, 27. He was so self-assured, confident and in total command of the room. He told everyone to take off their wrist watches and be prepared to take notes. I remember filling up my note book with what he was telling us.

What most amazed me was he taught for an entire day and everything he shared was stored in his mind. Not a single note did he ever refer too.

Only recently have I learned that while Jason and I started off as Republicans, we both were now progressives in our political views, we are both of the Lutheran faith and both aged 67.

Music was also a part of our lives, Jason played the viola and I the trombone.

AVI Communications, Inc

I met Pat “Spark” Shaughnessy at a radio conference back in the 90s. We were sitting next to one another and he introduced himself. That led to hanging out during the meetings and forming a friendship by the time the conference ended. Pat invited me to review a new radio sales training video program he had just finished with Jason Jennings. He sent me the entire program and I would watch every second of it and read the workbook materials. I then sent Pat a multi-page document with my thoughts.

Years later, when I was working on an advanced radio sales course for my university’s School of Broadcasting and Journalism, I contacted Pat to see if I could purchase two copies of the Quantum Sales Training Broadcast System for my students.

The program by now had been bought for thousands of dollars by over 600 TV stations, 2,000 radio stations and several hundred cable systems. Today, one copy of the series sits in the WKU main library and the other copy in the school of broadcasting.

The basics of the program, written and hosted by Jason, are timeless. I’ve used the DVD on Negotiation in sales training at all of the radio stations I’ve managed and in my introductory sales classes at the university.

LinkedIN & Facebook

I believe it was through LinkedIN that Jason first reached out to me to reconnect. More recently, Jason asked to be friends on Facebook. I’m embarrassed I didn’t ask him first. I believe it was because I so looked up to him as a mentor and felt asking would be a bother. Jason obviously didn’t feel that way.

Over time, I learned we were in concert on so many things, like what’s important in sales, management, politics and life.

A Better Tomorrow

Jason really cared about people. Somehow this man who was named among the twenty-five best speakers in America by the Nationwide Speakers Bureau, a bestselling author and media consultant always found the time to drop me a note and wish me well. I’m sure I was not the only one Jason did this to.

During his keynote addresses, it was normal for Jason to ask the audience “How many of you want your tomorrows to be better than today for you and your family?” He knew how to tap into our universal human desires in a real and genuine way.

“Ensure your heart is in the right place with a genuine desire to help highly principled people reach their full potential,” was how Jason’s podcasting co-host, Dale Dixon, defined Jason Jennings’s purpose in life.

Selling is Like Doctoring

In life, there are some phrases you come in contact with that become a part of you. When seeking to know what an advertising client was expecting from his radio campaign, Roy H. Williams taught me to always ask, “How will you measure success?” From Zig Ziglar I learned, “You can get anything in life you want, if you will just help enough other people get what they want.”

From Jason Jennings I learned, “Prescription without diagnosis is malpractice.” In other words, before you can begin to advise any client what he needs to do to improve his business you first need to learn, where it hurts, what’s going wrong, what’s the breakdown that’s causing business to languish.

For me, Jason’s phrase spoke to my unending curiosity. I loved asking clients lots and lots of questions; about their life, their families, their business, then using what I learned to create unique, one-of-a-kind advertising programs to increase their business.

Are Radio Groups Mis-Training Sellers?

Back in October of 2012, my radio friend Barry Cohen wrote an article for Radio Ink taking the radio industry to task for the lack of radio sales training. Barry wrote, “When I started selling radio advertising, the first thing my sales manager did was hand me one of Jason Jennings’ books, which I promptly ‘devoured.’ As I moved to each station, my managers continued to give me the good stuff, exposing me to the likes of Chris Lytle (who just turned 70 this month), Irwin Pollack, Pam Lontos and, of course, RAB sales training materials.”

For many of us, Jason Jennings was one of a handful of training professionals that radio people held in very high esteem.

Don’t Let Radio End Up Like Yahoo!

In August of 2016, I wrote a blog article based on one of Jason’s “Game Changers” podcasts. I applied the lessons Jason learned from his analysis of why Yahoo! disintegrated to the radio industry. “Don’t Let Radio End Up Like Yahoo!” was the fourth most read article on my blog in 2016.

In reviewing that article’s advice, it strikes me that this is how Jason Jennings lived his own life.

  • Know what you’re all about
  • Have a set of guiding principles
  • Don’t use a business like a personal piggy bank
  • Don’t try to be all things to all people
  • Don’t copy the competition

Jason Jennings was an original who pursued perfection and achieved excellence.

I will always be grateful to Jason Jennings for giving me a solid foundation upon which I was able to build a successful radio and teaching career.

A global community of sales and management professionals are saddened by Jason’s sudden and unexpected death this month from a ruptured aorta aneurysm.

We will always be grateful for all he taught us.

 

 

 

 

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CES 2019

Dave - 2001 .jpgI wasn’t at CES 2019. In fact, I’ve never been to CES.

But after reading the reports on this year’s Consumer Electronics Show (CES) in Las Vegas, I feel like I was there 50-years ago via Stanley Kubrick’s 1968 motion picture phenomena “2001: A Space Odyssey.”

Technology Integration

The Radio Advertising Bureau (RAB) did a special video they called “Bonus Report of C-Suite Radio Exec’s attending CES” and some of the comments those radio executives made is what made me feel like I’d seen this “movie” before.

Steve Goldstein

Steve said that what he’s marveled at over the years is how media is continually being integrated. He said only a couple of years ago, there was virtually no mention of smart speakers, and this year it’s not only a device exploding in the home, but now is coming into the car too. Goldstein thinks this voice activated technology is important because these devices are not radios, but audio devices and radio stations, as audio content producers need to re-imagine how they will sound and feel like on these devices. And he added, “it’s happening fast!”

Dennis Gwiazdon

Before recently moving to Las Vegas to manage the Beasley Media Group radio stations in that city, Dennis ran the top radio stations in Nashville, TN. When I was teaching at the university in Kentucky, Dennis was an annual guest in my Broadcast Capstone Class.

Dennis said of his visit to CES 2019 it helps radio broadcasters to think about where things are heading and to plan for the future.

Technology today is making our lives simpler by our ability to talk to our devices and connect ourselves to things we used to have to physically operate. Gwiazdon told the RAB that he lives in a smart home in Las Vegas and it’s fascinating to him how he can walk around his house, talk to it and make it do whatever he wants it to do. “I don’t have to touch a light switch, I don’t have to adjust the thermostat, when I come home I can have a routine set-up that will have everything ready for me when I walk through the door.”  “I’m living in that experience now, “said Dennis.

I’m Sorry Dave, I’m Afraid I Can’t Do Thathal 9000

And it was Dennis’ comments that brought to mind the astronaut named Dave in “2001: A Space Odyssey” that when his space pod was trying to re-enter the mother ship and Dave asked the HAL 9000 computer system to open the pod bay doors. Here’s a link to that memorable moment: https://www.youtube.com/watch?v=ARJ8cAGm6JE

HAL’s response to Dave was “I’m sorry Dave, I’m afraid I can’t do that.” The reason was that the HAL 9000 computer could not only respond to voice commands but, it turned out, could also read lips and knew what Dave and his fellow astronaut were planning on doing. They were planning on taking the HAL 9000 off-line because they suspected the computer was making mistakes.

The HAL (Heuristically programmed ALgorithmic computer) 9000 was basically artificial intelligence that was designed to learn, grow and protect itself from attacks. HAL sensed he was coming under attack and was trying to protect itself from the humans.

iPhone 4S

iphone 4s

Oh, it all seemed so innocent back in 2012 when I switched from my Blackberry to my first iPhone. It was the iPhone 4S. The “S” stood for Siri. Siri was my first voice activated assistant.

I found that I used Siri mainly for dictating text messages and emails rather than trying to type things into the phone’s touch screen. Siri did a pretty good job too.

Occasionally I asked Siri to tell me a joke or look something up for me, but not often.

Alexa

So now it’s 2019 and I have Siri on my tablets, my MAC, and iPhone 7. I have three Amazon Echo’s with Alexa, and in my car, my Garmin Smart Drive responds to my voice commands.  It sends me instant traffic information and detours when necessary, along with important weather alerts and breaking news.

I really feel like Dave in 2001, controlling so much of my world with just my voice.

It’s quite addictive and it happens very fast.

I hope they don’t ever turn against me.

Artificial Intelligence

Elon Musk and Stephen Hawking have both warned that AI (artificial intelligence) could potentially be very dangerous. Stanley Kubrick and Arthur C. Clarke certainly showed my generation why, back in 1968. AI is about building machines that think for themselves and grow in their intelligence. It’s what will make a world of self-driving cars, and so much more, possible.

Elon Musk has written:

“The pace of progress in artificial intelligence is incredibly fast. Unless you have direct exposure to groups like Deepmind, you have no idea how fast – it is growing at a pace close to exponential. The risk of something seriously dangerous happening is in the five-year timeframe. 10 years at most.”

On Demand

The world we live in today is one of “On Demand.” The future belongs to those who can create what people want and deliver it when they want it.

The consumer won’t have it any other way.

It’s not an attack on radio broadcasters. It’s the future. Here. Now.

 

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The Radio Talent Institutes 2018

IMG_4130This past week, the KBA WKU Radio Talent Institute began its 10-day run on the campus of Western Kentucky University. It brought back so many wonderful memories of the four years that I was the on-site director for that first expansion of Dan Vallie’s vision for these radio training institutes to take hold all across America.

One-of-a-Kind

The RTI’s are the only program of their kind in the world.

While many in the radio industry talked of doing such a program, the idea never made it past the talking stage until Dan Vallie took the ball and ran with it. I wrote about the birth of the first institute on the campus of Appalachian State University in Radio World and you can read that article by clicking HERE.

And then there were eight…

Dan Vallie makes running these radio talent institutes look easy. They’re not.Dan Vallie

Dan is blessed with a loving wife, Lavonne, who takes care of everything on the home front while Dan’s traveling the country creating new RTIs or preparing the industry professionals to teach for the eight RTIs that currently exist.

Dan and Lavonne make quite a team – in marriage and in the operation of the institutes.

Screening

Every student that completes an application to attend an institute is personally reviewed by Dan. This results in an RTI class made up of each university’s best future broadcasters.

When a broadcaster goes to the National Radio Talent System website looking for talent, the graduates of the RTI program are the cream of the crop.

Students Meet the Pros

The real genius of Dan’s institutes is what takes place outside of the classroom. Every evening, students get together with that day’s industry pros and everyone lets their hair down and talks about radio, goals and life during the nightly social hour.

And there’s no one better to talk with than Dan Vallie himself. He “adopts” each student as one of his own kids, and mentors them tirelessly.

Making Connections

Bud WaltersTo get ahead in any occupation, it’s about who you know as much as what you know. Students in these RTIs come away with the email addresses, direct phone numbers and an open door with dozens of industry movers and shakers who can launch their broadcast career.

Plus, these students become part of a database that allows industry leaders that have participated in the institutes to tap into.

SALES

The radio industry needs people trained in the area of sales, and the institutes spend half of their time focused on this critical industry need. Each student in the program earns their Radio Advertising Bureau Radio Marketing Professional certification.

Whether or not a student’s area of interest is sales or on-air, the understanding of the business nature of radio insures they will be a productive member of any radio organization in all ways.

Teaching the Teacher

I know my students greatly benefitted from the time they invested in going through the four KBA WKU Radio Talent Institutes that I helped launch while I was a broadcast professor at Western Kentucky University. Many of them have gone on to successful broadcast careers.

But I also learned so much from the industry pros that so willingly volunteered their time and talents to come to Kentucky and be a part of that institute.

The learning I came away with made me more equipped to share today’s radio with my students in the classroom during the academic year and at the Broadcast Educational Association meetings.

The hardest job I ever had at the university was the one I loved and remember the most; directing the KBA WKU Radio Talent Institutes.IMG_8485

Sitting next to Dan Vallie was an invaluable learning experience all by itself and radio is so fortunate to have a man of his energy and vision making such a positive impact on the next generation of broadcasters.

Thank You Dan Vallie.

Now it’s time for you and Lavonne to begin working on the 2019 Radio Talent Institutes.

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Time for a New Adventure

Dick Taylor WBECI just recently moved to Virginia from Kentucky.

I moved to Kentucky from New Jersey 7-years ago to pursue a bucket list career goal of mine, to teach at a college or university radio broadcasting. That opportunity came for me at Western Kentucky University (WKU) in Bowling Green, Kentucky.

I knew absolutely no one when I interviewed for the broadcast professor opening, but the person I would be hired to replace – retiring broadcast professor Bart White – would become a good friend over my tenure at WKU.

Long Ago & Far Away

When one moves, it means going through all of your stuff to decide what gets packed up and moved again and what gets donated or tossed into the dump.

One of the little pieces of memorabilia that I came across was a newspaper article on my being promoted to the position of Program Manager for WBEC Radio in Pittsfield, Massachusetts. That occurred on August 8, 1975. (Picture of me on-the-air at WBEC above from the 1970s)

I had just graduated from the Masters Degree program with a perfect 4.0 grade point average from the State University of New York at Albany with a degree in Educational Communications and teaching certifications, but I found myself in a field that tight school budgets were eliminating from their programs. Going back to the “three R’s” they would say, Reading, wRiting and aRithmetic, instead of employing modern teaching technologies in the classroom.

One of the radio stations I had worked at while going to college was WBEC and being offered this position was a dream come true. It was the very position I had always wanted.

A Lot of Career Success is Luck

WBEC was a station that was very programming oriented. During my tenure as the Program Manager, and later promoted to Operations Manager over both the AM and FM properties, I went to a lot of programming conferences and competed in both air personality as well as program director competitions. I was lucky to be in the position I was in at the station I was employed by.

But as time went along, I found myself more captivated by what happened off-the-air versus being an air personality, the position that attracted me to radio since I was old enough to remember.

I decided I wanted to be a general manager.

General managers didn’t come out of programming at that time but instead they came out of radio sales. So, I decided my next job would be in radio sales.

When I got a call from a general manager I knew that they wanted to hire me for a programming position, I said I wasn’t interested. I wanted my next move to be in sales. He said, “let me get back to you on that.”

Two weeks later, he said “Let’s get together, because I have a radio sales job for you.”

Moving to his stations and the company that owned them was lucky again, as this was a very sales focused organization and I would be exposed to monthly IBIB (International Broadcasters Idea Bank) reports, lots of sales training by any sales consultant to get within 200 miles of New England and annual trips to the Managing Sales Conference run by the Radio Advertising Bureau (RAB).

AR to MM

I quickly rose through the ranks from account representative to sales manager to director of sales to station manager to general manager.

General managers were renamed market managers as the age of consolidation took over after the passage of the Telcom Act of 1996.  That’s when a single company went from being able to own only 12 AM radio stations, 12 FM radio stations and 12 TV stations in the entire USA. The Telcom Act of ’96 would unleash a buying spree funded by Wall Street that would see the largest operator owning over a thousand radio stations.

Radio Ink Best Managers

In 2009, Radio Ink named me one of the best radio managers in America. I was very proud of that honor, but I had been thinking about a change for some time and I was ready for a fresh adventure.

After all, I had invested early in my life, earning the qualifications to teach and I wanted to pay-it-forward to the next generation of broadcasters by teaching at a college or university.

I was lucky once again to see an ad in Radio Ink by WKU looking for a broadcast professor to teach at the School of Journalism & Broadcasting courses in sales, management, media process & effects, radio performance and the history of broadcasting in America.

7-Years a Professor

In May of 2017, I completed my seventh year of teaching at the university. The students I’ve mentored over that time have become extended members of my family. I went to every graduation ceremony – they’re held twice a year – because I was invested in each and every one of them.

Bowling Green, Kentucky is a lovely place. But it is far from my friends and family back on the East Coast.

New Adventure Time

In the book “The Adventure of Living,” Paul Tournier writes: “Many people are never able to come to terms with the death to which every adventure is inevitably subject…The Law of Adventure is that it dies as it achieves its object.”

I’ve experienced this “death” multiple times over my life.

Something in your gut just tells you, it’s time for a new adventure.

In June, I moved to northern Virginia.

I became engaged the weekend before Valentine’s Day 2017 to a wonderful woman who is a member of the same Pittsfield, Massachusetts high school class as I. Ironically, we went to opposite public high schools.  At that time our city had two public and a parochial high school, but we now all reunion together every five years – and so we never met until our 45th class reunion.

Another part of my new adventure is this blog that I started writing almost three years ago.

I remember Ron Jacobs (first program director of Boss Radio 93-KHJ, Los Angeles, creator of The History of Rock & Roll, co-founder of America Top 40 with Casey Kasem, etc.) telling me during a phone call that he enjoyed writing more than being an air personality, program director or anything else he had accomplished in his life. I now completely understand where he was coming from as I’ve developed my own love of writing and mentoring others. Ron said he enjoyed reading my blog and that’s why he sent me his phone number one evening and asked me to give him a call at his home in Hawaii and chat.

Got a career adventure I should be considering?

Shoot me an email & let’s talk.

I’m ready for a NEW ADVENTURE.

Dick.Taylor@wku.edu

 

“Twenty years from now

you will be more disappointed by the things you didn’t do

than by the ones you did.

So throw off the bowlines.

Sail away from the safe harbor.

Catch the trade winds in your sails.

Explore. Dream. Discover.”

-Mark Twain

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The Radio on Main Street Podcast Featuring WKU Professor, Dick Taylor

1In this Radio on Main Street podcast, RAB’s President & CEO Erica Farber, speaks with Dick Taylor, Broadcasting Professor at Western Kentucky University School of Journalism & Broadcasting.  Dick is a passionate educator and speaks about the need to make new generations aware of career opportunities in radio advertising sales and management.

Dick says stations, broadcast associations and educators need to be more proactive – even suggesting introductory radio sales training programs  as early as high school.

Listen to the podcast here.

 

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Just In Time Learning

66In a post I wrote about “Where You Should Be Recruiting Radio Talent” I mentioned a concept of “Just In Time Learning” that struck a chord with many readers. Commenter’s said they found the idea interesting and something they had never heard or thought of before. So I thought I’d expand on that thought with a little more detail and why it’s time has come.

Toyota’s Better Idea

Manufacturers used to stock everything they would need to build a product in warehouses. It was expensive and often wasteful. Then the idea of having parts shipped just-in-time to be assembled into a finished product was introduced.

Originally called “just-in-time production,” it builds on the approach created by the founder of Toyota, Sakichi Toyoda, his son Kiichiro Toyoda, and the engineer Taiichi Ohno. The principles underlying the TPS are embodied in The Toyota Way.

College Degree Credential Creep

Once upon a time, college was an optional final stage of learning in the United States. Today even a Starbucks barista probably has a college degree. So what’s causing this college degree credential creep? In many cases the reason is that employers feel that by requiring candidates to have a bachelor’s degree they will see a higher quality group of candidates. It has nothing to do with what job skills are actually required. It’s used mainly as a screening tool. Unfortunately, two-thirds of the workforce in America gets screened out when a B.A. degree requirement is inserted into the advertisement. Burning Glass researched how the demand for a bachelor’s degree is reshaping the workforce and you can read more about all of this here.

The 20th Century College Education

When the 20th Century began, America had about a thousand colleges and those colleges had less than 200,000 students enrolled in them. By mid-century the number of colleges exploded and colleges that once had about a thousand students expanded to universities with enrollments of tens of thousands of students.

Unfortunately our 20th Century higher education system simply wasn’t designed to deliver what’s needed in a 21st Century world.

Your Teacher, Your Doctor and Your Barber

In our high tech world, things can quickly scale. Productivity grows quickly. But a teacher still teaches at the same pace. Your doctor can only see patients at the same pace.  And your barber can only cut hair at the same pace as each of these professions did in the 20th Century.

When something can’t scale, the price to provide the service goes up.

In the case of higher education, this price problem has been compounded by states reducing funding to their colleges and universities, resulting in public colleges being funded more and more by student tuition and lots of fees. This has resulted in a trillion dollar student loan crisis in America.

Certifications vs. Degrees

For the radio industry, the answer may be professional certifications versus bachelor’s degrees. Students simply can’t afford to go to college for four to six years and come out with tens of thousands of dollars in student loan debt to take an entry level radio job that will pay them fifteen to eighteen thousand dollars a year. Even worse, most likely the job you’re most looking to fill – sales – a college grad won’t have received any course work in learning about. Broadcasting in college is focused on teaching all of the low demand jobs in radio and the classes in the high demand jobs are either non-existent or being eliminated.

The Radio Advertising Bureau offers professional certifications in selling starting with their Radio Marketing Professional (RMP) certification. Burning Glass says that jobs in fields with strong certification and licensure standards have avoided the problem of “upcredentially.” They write: “This suggests that developing certifications that better reflect industry needs, together with industry acceptance of these alternative credentials, could reduce pressure on job seekers to pursue a bachelor’s degree and ensure that middle-skill Americans continue to have opportunities for rewarding careers, while continuing to provide employers with access to the talent they need.”

Radio’s Recruitment Mission

The National Association of Broadcasters (NAB) and the Radio Advertising Bureau (RAB) need to spearhead the radio industry in creating bonafide certification programs for all job classifications that will be accepted by the radio industry as the equivalent (or better) than a bachelor’s degree. These programs need to be offered to high school aged students and recent high school graduates.

Certification programs can be designed to provide the kind of just-in-time learning needed for each radio position. When a person shows they’re ready to advance additional certification training can be taken to prepare them for the next higher position.

Done in this way, the training will be up-to-date, cutting edge instruction to insure the student is learning exactly the skills needed for the position they will be moving into.

Time for Radio to Think Different

The radio industry will need to attract new talent in order to stay viable and continue growing. Embracing a better form of training for the skills needed and making this a requirement versus a college bachelor’s degree is 21st Century thinking.

Many of these programs are already in place, but industry recognition and acceptance of them lags in comparison to requiring a college degree.

It’s time to think differently about how we find, train and grow the radio talent of tomorrow.

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Reflecting on Radio Show 2016

60The radio show was close to home this year, just down the road from my university, in Music City USA, Nashville, Tennessee. Plus, the Tennessee Association of Broadcasters decided to roll their annual convention into an opening event at the Radio Show. So as soon as I finished my morning class, I was on the road to Nashville.

Tennessee Association of Broadcasters Kick-off

Whit Adamson, President/CEO of the TAB, put together an amazing opening reception and event inside the Country Music Hall of Fame. We were welcomed by TN Governor Bill Haslam who declared it “Radio Week” in the State of Tennessee. Then the Mayor of Nashville, Megan Barry, gave us a warm welcome to Nashville where she declared it “Radio Week” in Music City. The “red carpet” was fully rolled out for the radio industry and attendance would set a new record for the Radio Show.

Pillsbury’s Broadcast Finance Forecast Leadership Breakfast

The good news is radio is the “King of Audio.” The bad news is that revenue growth for radio underperformed ad spending post-recession. Radio’s 7% share of all advertising is predicted to decline to 6% by 2019. Why? Digital ad spend will grow significantly (40%) by 2019. And radio will struggle to reach mobile users.

The big takeaways from this session were: Investors want to see new growth catalysts like NextRadio, more event revenue and growth in digital/mobile ad revenues. Investors want no more than 3 to 4 times leverage with more industry consolidation. All of this investors feel will yield more “free cash flow.”

Investors worry about audience fragmentation and Millennial reach, radio’s competition in the car dashboard, the challenges coming from digital/internet, continued uncertainty over royalties and excessive leverage.

Focusing on Your Career Future

The room here was filled with young people. Radio mentors from all areas (except engineering) met with tables full of students and recent graduates to talk about the many opportunities available in today’s radio industry. The mood was once of excitement and enthusiasm.

Brittney Quarles and John Focke both would share their personal radio journeys with students as they shared advice such as: “the industry is small, don’t burn any bridges” and “find a champion for you and your talents” and “be careful who you share your dreams with.” The right mentors are essential to your career.

Beyond Basics – The Prosperous, Professional You

John Bates, Elizabeth Burton and Heather Monahan led a session in how to reach beyond your limits and build a better “Brand You.”

John Bates shared “3 ways to inspire and connect”: 1) logic is not the way, 2) human eyes connect you to another person and 3) be authentic. For example, people don’t connect with your successes, but your messes. You message is your mess. But above all else, “Make A Difference.”

Elizabeth Burton drilled down the importance of your online brand and that today your online activities build your reputation.

Heather Monahan told us that people take only 10-seconds to make an opinion about you when they first meet you. 50% of communication is nonverbal and your attitude is everything. And if you want to know what your personal brand is, ask others this question: “What value do I bring to you?”

The Digital Dash – Improving the Consumer Experience

Fred Jacobs, Steve Newberry and Scott Burnell (from Ford) all shared their perspective on radio in the car. The first big thing is car manufacturers don’t call it a radio in the dash anymore (and probably haven’t for some time) but “the center stack.” Into this part of the dashboard, everything a car owner wants can be accessed.

Steve Newberry (former NAB joint board chairman) really brought the whole issue home with his analysis of the technology revolution by saying there are two kinds of events: disruptive and modifying. Disruptive events would be things like television and FM radio. Modifying events would be things like cassette tapes, CDs and MP3s. Disruptive events change the landscape and prevent an entity from doing things the way they’ve always been done. Television stole radio’s programming and added pictures and radio had to reinvent itself with new kinds of programs. Modifying events such as records being replaced by cassettes and 8-track tape, then CDs replacing both of those to be replaced by MP3s merely modified the way people listened to their own music libraries but not how they used radio. The new digital/internet connected world is a disruptive event and radio needs to once again adapt to this revolution in communication. The future is bright if radio is agile and adapts.

Perception vs. Reality – The True Power of Radio

My first Arbitron rep was Pierre Bouvard. He’s a fountain of information. His presentation on “7 Things Brands Have Completely Wrong About Radio” tells the story in great detail and shows the challenges faced by radio sales people today.

Podcasting

Steve Goldstein did an amazing presentation on podcasting by starting out with this Thomas Edison quote from 1922 “The radio craze will die out in time.”

Today mobile is eating the world. 20% of audio listening comes from the smartphone. For radio, podcasting is all about retention, growth and relevance.

Podcasting is no longer niche. It delivers the demos advertisers want. Podcasting is different than broadcasting. There’s money to be made in podcasting and radio has the perfect megaphone to promote podcasts to its audience. That’s radio’s “secret sauce” that podcasters wish they had access to.

Radio – The Local Media Company of the Future

Gordon Borrell and his research company are doing some incredible studies on the future of advertising. He immediately got the audience’s attention when he said in the last ten years $56 Billion has disappeared in advertising expenditures.

Banner ads are dead. But digital is not.

Local advertising growth is forecast to increase 7.6%, but non-digital will see a 6.9% decline in ad spend and digital will see a 22.4% increase in ad spend. In fact, 2017 is the year that digital advertising will eclipse all traditional media.

Borrell said when advertisers cut ad spend in one medium they spend it in another medium. Radio will continue to be bought, but only those stations who have well-trained representatives that understand the realities of today’s advertising and can put together a total marketing plan that goes beyond simply radio spots. Advertisers will partner with any media company who has reps that listen.

The good news is traditional media – like radio – is still necessary to drive digital advertising goals and deliver maximum digital R.O.I. (Return On Investment).  You can see Gordon’s full PowerPoint deck here.

Final Thought

The mood in the halls and in the sessions at this year’s Radio Show was very upbeat. The things being discussed and presented did not shy away from the realities all ad supported media face.

Anyone who attended came away with lots of action steps that need to be implemented immediately.

Radio currently is the #1 Reach & Frequency medium in the United States of America.

There’s no time to waste. It’s time to roll up our sleeves and “Make A Difference.”

Radio’s future depends on it.

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Paying It Forward

47The picture on the left is of the 2016 KBA WKU RADIO TALENT INSTITUTE class. These twenty-three outstanding students all earned their Radio Marketing Professional (RMP) certification in radio sales from the Radio Advertising Bureau during the ten-day institute.

I began working with Steve Newberry, former NAB Joint Board Chairman and President/CEO of Commonwealth Broadcasting to bring the talent institute to my university in 2012. Our first class would graduate in 2013. The 2016 institute marks my fourth and last one as director at WKU. It truly has been the university activity I’m most proud of.

The whole concept of a radio talent institute was conceived by Dan Vallie and Art Kellar. I wrote more extensively about the program in Radio World and you can read that article here.

Working with Dan Vallie over these past five years has been an incredible experience. No one is more dedicated to “paying it forward” to the next generations than Dan. He has boundless energy and has grown the number of talent institutes in America to five.

inst_map_keller_kbawku_confer_gab_hubbard

 

Expect more radio industry leaders like Kerby Confer and Ginny Hubbard’s Hubbard Broadcasting along with state broadcast associations like the Kentucky Broadcasters Association and the Georgia Association of Broadcasters to sponsor even more locations in the years ahead.

Some of the industry professionals that presented at this year’s institute in Kentucky were Kristin Cantrell-owner/CEO of CapCities Communications and Seven Mountains Media, Mike Keith-the voice of the Tennessee Titans, Christine Hillard-President/COO of Forever Communications, Steve Newberry-President/CEO of Commonwealth Broadcasting, John Ivey-Senior Vice President of Programming iHeartMedia and Program Director of KIIS-FM in Los Angeles, Don Anthony-Publisher, Morning Mouth & Jockline, Creator & Host of Morning Show Boot Camp and Founder & President of Talent Masters, Gary Moore-Air Talent at KLOS in Los Angeles, Bryan Sargent, PM Drive Air Talent at Mix 92.9 in Nashville, John Shomby-Director of Programming at NASH-FM & Charlie Cook-VP/Country at Cumulus Media, Lynn Martin-President of LM Communications, Terry Forcht-Founder, Chairman & CEO of the Forcht Group of Kentucky (a company with 2,400 employees) along with the Presidents of both the Tennessee Association of Broadcasters, Whit Adamson and the Kentucky Broadcasters Association, Henry Lackey.

Thirty-six professional radio broadcasters, two of whom have been awarded the National Radio Award – the highest honor bestowed on a radio broadcaster – by the National Association of Broadcasters shared their passion and performance knowledge.

Every student that has gone through the program has told me it has been the best ten-days of their life and as the director these past four years; I know it has been for me as well.

If you know a student that wants to get into broadcasting, point them in the direction of the National Radio Talent System website  for more information, applications forms, scholarships and the dates/location of the institute nearest to them. Students who apply are thoroughly vetted for acceptance in the program.

Broadcasters looking for air talent, sales talent; digital and video talent should also go to the National Radio Talent System website for a complete listing of graduates that have gone through the program. There they will find each student’s bio and a sample of their on-air work.

I know Dan Vallie is already hard at work on the 2017 radio talent institutes. The radio industry is truly fortunate to have someone of Dan’s vision and action in establishing this innovative radio talent farm system for broadcasters.

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Dan Vallie

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History’s Technology Rhyme

Transistor Radio, Car Radio and Rock & Roll

Transistor Radio, Cars & Rock ‘n Roll

I’ve written before how history never repeats itself, but usually rhymes. So when I was reading an article in the NY Times about “Tech’s ‘Frightful 5’ Will Dominate Digital Life for Foreseeable Future” it hit me. Here was how history was rhyming when it came to communications. Fasten your seat-belt, this will get bumpy.

What this article’s author Farhad Manjoo wrote was how Amazon, Apple, Facebook, Google and Microsoft (others include Netflix in this mix) came along at a perfect time to roll up their user base. They were in the right place, at the right time in other words.

Geoffrey G. Parker, a business professor at Tulane University has co-authored a book called “Platform Revolution” where he explains how these tech companies were able to ride the perfect wave of technology change – that being a decrease in the cost of IT, an increase in connectivity and the introduction/fast adoption of mobile phones.

And when it comes to advertising, these companies are in the right place to leverage digital marketing and enjoy most of the benefits of this growth area as well. In fact, since there is a sense that these major digital companies will receive most of the online advertising monies, traditional media – like radio & TV – could see advertising monies return to them.  Let’s hope that happens.

So, where’s the rhyme in this story? Well consider this other time in communications history when television burst onto the scene after the end of World War Two in the 1950s. Radio, a lot of people thought, would cease to exist. Radio’s stars, programs and advertisers, to a large measure, jumped into television. Radio had to find a new act.

Radio was in the right place, at the right time for the birth of three things when TV came along; the transistor radio and the car radio. Both of these technology advancements would be the savior of radio along with one other important development; rock ‘n roll.

Radio was in the perfect place to ride the baby boomer youth wave of rock music, cars and transistor radios. Television grew in large measure by scarcity, only two or three television networks and few TV stations.

When broadband came along, that scarcity factor went poof. Radio now sees its dominance in the car being challenged by a digital dashboard.

The newest radio format to have come into existence – all sports/talk – is now 29 years old. Clearly, innovation in the radio world has stalled.

The good news is radio in America has more reach than any other form of mass media. The bad news is it sees annual erosion of its TSL (time spent listening). This can be fixed. To do this, radio needs to address the very factors that are causing its TSL to erode.

The thing most often heard from consumers about what they dislike about radio are its commercials. Yet, commercials don’t have to be a tune-out factor. No one tunes out the Super Bowl when it’s a blowout because they want to see what other clever commercials might still be coming on their television.

Most radio stations long ago did away with their copywriters. These masters of the spoken word who can craft a story about businesses need to be enticed back into the radio business at every radio station.

The number of commercials in a break needs to be reassessed by the radio industry as well. You can’t kill the goose that lays your gold revenue egg and expect it to continue to lay you golden eggs.

Bring back personalities. They not only sell the music (the record companies need you!); they sell your station and through live reads, your advertisers’ products and services.

Those who remember Paul Harvey News & Commentary will tell you that page two (his first live read commercial) was always something you turned up the radio for. I remember reading Paul Harvey brought in more money for the ABC Radio Network than everything else they did. And everyone loved Paul Harvey’s commercials and bought the products he talked about.

I think retired CBS Radio President Dan Mason said it best when he said this about radio:

“Without community and companionship, we have nothing.”

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