Tag Archives: relevancy

How Do You Spend Your Time?

U S Music Industry Revenues 1H 2019When this pie chart was posted on social media, it immediately captured my attention, by showing where the United States Music Industry is making its money. You can read the Mid-Year 2019 RIAA Music Industry Revenues Report HERE.

Total revenues were reported to be growing at 18%, with 80% of the industry revenues coming from streaming. By comparison, the radio industry ended 2019 up 2% and the inflation rate for the United States for 2019 was 1.7%.

Going Apple

I’ll admit, I was late to the Apple party. When I was a broadcast professor at Western Kentucky University, Steve Newberry, EVP with the National Association of Broadcasters, and I were having lunch one day, Steve asked me if I had an iPad. I said “no, and I didn’t know why I needed one.” Steve said, well I can’t explain it, but once you get one you’ll wonder how you lived without one. So, I got one. It would be my second Apple device, the first being an iPod Classic. I purchased my iPad2 on Black Friday in November 2011.

Blackberry to iPhone

I had owned a Blackberry Pearl “smartphone” since my days as a Market Manager at Clear Channel, I loved all it could do and I loved its compact size. But in less than a month of owning and enjoying my iPad2, I would upgrade from my Blackberry to an iPhone4S in January 2012. In 2015 I would switch my university desktop computer from a Dell to an iMac, and today I have added Apple TV for streaming my video entertainment.

One of the wonderful things about the Apple operating systems are that once you know how to operate one, you can operate them all, and they are very intuitive.

iTunes Match

When I got my iPhone4S (the “S” stood for Siri and it was the first introduction of voice command, that has since been joined with offerings by other companies such as Amazon’s Alexa and “Hey Google”), I immediately added a couple of other Apple services like iCloud and iTunes Match.

iCloud backs up all my data and iTunes Match makes it easy for my music library to be available on all my Apple wireless devices, which in 2012 was my iPhone4S and iPad2.

iTunes Match is an annual subscription service, that for me, renews every November for $24.95.

This year after it renewed for 2020, I realized that since owning my Amazon Echoes, I really never use my music library on iTunes anymore. It so much easier to just say “Alexa, play…”

Streaming

I’m sure I own more AM/FM radios than you, unless you’re also a radio geek, then you might own as many as me or even more. But these days, the radios throughout my house broadcast whatever I stream via my Whole House FM Transmitter.

I may stream music from Amazon Prime or Pandora or from one of my favorite internet radio stations, but I never change the dial position on any of my radios because I simply need to tell Alexa to change what I’m streaming from virtually anywhere in my house. (That device has incredible ‘hearing.’)

When we go to bed, one of the things Sue and I especially enjoy is asking Alexa to play some of our favorite songs. Alexa’s the only “DJ” I’ve ever known to not only take requests but play them for you as soon as you ask her to.

You Are No Longer in the Radio Business

This year during Radio Ink’s Forecast 2020 this year, Scott Flick told the audience “Whether you like it or not, you are no longer in the radio business, but the audio business.” Today, the competition is not another radio station or even another media source, but the competitive landscape is for people’s time. We live in a world where a plethora of options can fill our time.

Relevancy Replaces Local

What is local to you? The price of gas at your local pump? The price of goods at the place you shop? The quality of the air you breath or the water you drink? I’m sure you answered, they all are. And chances are not any of them are produced locally, but somewhere else in the world.

Local today is planet earth.

What will make any media property worth a person’s time will be how relevant it is to the person accessing it.

Relevant radio will be one that is closely connected with its audience.

 

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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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Relevancy

82I am a trombone player. Or maybe I should say “was” as it’s been quite a few years since I picked up the horn. Growing up, I knew that was the instrument I wanted to play. Out of all the instruments in the band, trombone was the one that caught my attention and was relevant to me.

76 Trombones

Meredith Wilson’s Broadway smash “The Music Man” is one of my all time favorite musicals. Can you guess why?

In that production, Robert Preston knows to be successful in selling band instruments “you gotta know the territory.” In fact, all of the carpetbaggers knew this. In “The Music Man” the song “Rock Island Line” establishes the rules of selling on the road. In other words, you had to know how to make what you were selling relevant.

And then I heard someone say RADIO

Alan Mason is a programmer that I’ve known for years. I subscribe to his weekly “Mason Minutes” and was thrilled to see Alan promoted to President of K-Love and Air1 as this New Year began. Alan actually assumed his presidency before Trump did.

Alan’s minute recently told the story of celebrating his birthday in a crowded restaurant. You know the scene, you hear lots of conversations but you’re not really paying attention. When Alan said he heard someone say “RADIO” and he heard that clearly.

“It’s funny how our minds are attuned to filter out almost everything except what’s relevant to us. We can be in a crowded ballroom buzzing with people and still hear our own name. It gets our attention and pulls us in,” Alan wrote.

Frost Advisory

I also subscribe to John Frost’s weekly “Frost Advisory” and John must have been as taken by what Alan wrote as I because he made it the subject of his programming memo this past week. John wrote about his friend Eddie who needed to get a passport photo. He went online and found a place all the way across town. It wasn’t until he was on his way home he noticed a camera store near where he lived that took passport photos. He never noticed, because getting a passport photo had no relevance to Eddie, until it did.

Radio Ads

And that’s the way it is with radio ads. The listener never hears them until something that’s relevant to them speaks to them.

Sadly, radio programmers no longer have a say in what commercials air on their radio stations.

I was a general manager before becoming a broadcast professor and even I had lost control of what ads would be placed on my radio stations by (at that time) Google.

Google did a deal with Clear Channel and would insert ads they had sold on all of the stations in my cluster between 2am and 3am in the morning. I wouldn’t even know what they had sold until I heard it on-the-air driving into the station.

I heard ads for restaurants advertising their lunch special for that day and the restaurant was over three hours away from my coverage area. I heard ads out-of-phase air on my AM station in the cluster that were 30-seconds of dead-air. (Out of phase ads means the left and right channels of audio cancel each other out on an AM mono signal.)

Bonneville Beautiful Music

When I moved to Atlantic City, New Jersey in 1984, WFPG-FM was a Bonneville Beautiful Music station. Bonneville had strict guidelines about what content could be added to their music presentation and that included commercials.

Atlantic City’s biggest car dealer did the loudest screaming radio ads you’ve ever heard. We dearly wanted their business but not those screaming ads.

It took lots of meetings but we finally convinced the owner not to “wear a t-shirt to our black tie” radio station over-the-air presentation. We would be the only radio station in Atlantic City to have specially created ads that would perfectly fit the musical content of our format.

I don’t hear that happening on any radio station today.

Relevancy

Today, money talks and nobody walks.

Radio stations appear to take every ad that comes through the door.

When you consider the volume of ads airing on stations these days, one or two ads in that cluster than aren’t relevant might lose the listener’s ear or worse, cause the station to be changed.

WAVV in Naples, Florida is a station that marches to a different drummer. It plays music the owner enjoys and the sound is so unique it can’t be heard anywhere else. It’s why the station doesn’t stream. You have to listen to it over-the-air on your FM radio. But what makes WAVV golden in my book is that the commercial breaks are just as carefully watched over as the music. The ads are about things that listeners attracted by the music will also enjoy. Be it theater, dining, travel, clothing etc.; it’s all relevant.

John Frost ends his article by writing “We throw a bunch of stuff at the wall without using the precise filter of relevance. Start with the listener and work back. What does she care about RIGHT NOW?”

Unless the program director is given the authority to approve every element that goes on the air and insure that each goes through the relevancy test, your product is compromised.

Is what I wrote relevant to your radio station?

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