“I read the news today, oh boy.” It concerns spot radio revenue’s declining performance through the first half of 2014 and the increased revenue for digital darlings like Pandora and Spotify (but not yet making a profit).
Concerned broadcasters believe business is soft in general and look to the encouraging signs of digital growth and non-spot revenue. But as social media and digital audio sources proliferate, terrestrial radio will fall by the wayside unless broadcasters truly address the major issues staring them in the face. Long spot clusters and other negative on-air clutter continue to drive younger listeners on a search for something better. Further, as those in the money demo age and a younger generation not weaned on radio continue their march to “audio consumption dominance,” the radio industry is indeed facing the crossroads. Radio needs to wake up pronto.
The industry knows that playing in the digital space is not a defensive strategy but where people expect to find information, entertainment and social engagement. Radio is still searching for the secret to being successful at it. Emmis CEO Jeff Smulyan exclaimed at a recent digital radio industry meeting, ”I’m still trying to figure out how to make money with my digital assets.”
We want radio to succeed. To grow and flourish. We’ve enjoyed great relationships with radio stations because we try to provide for clients the type of content that makes people want to listen and listen longer: new ideas, better prizes, new opportunities for personality / listener engagement, content. Our campaigns provide radio stations with compelling programming – good for both the station and the brand.
The bigger picture question is what listeners want. Millennials want more music and fewer interruptions. But they also want fun, interesting content and a connection. Everyone knows what they don’t want: those 10- or 12-unit stop sets. Engaging the listener with out-of-stop-set programming, fun contesting and desirable prizes, content that makes people pay attention and personalities who connect with them is what makes radio stand out. It’s always enlightening to hear a new advertiser say, “I didn’t know you could do that.”
Today more than ever, doing things differently and breaking from some traditional marketing staples will make a big difference in listeners’ perception. The latest industry numbers don’t lie, and how many wake-up calls do we need? The virtues of out-of-stop-set tactics: We believe making the client / product / service stand out is what successful radio marketing is all about, thus creating greater time spent listening.
Ron Pell, a veteran of the radio business, is Director of Media Relations for CRN International.