Special Reports and Popular Stories
Sports radio: A hazard to your health?
One study claims listening to sport talk radio while behind the wheel can be just as dangerous as drunk driving! DETAILS
Classical increases share of non-comm ratings pie.
The addition of nine non-commercial classical stations, combined with a steady decline in the number of commercial classical outlets, is giving the format a bigger slice of the public radio pie. The format increased from a 13.7 share in 2008 to 15.4 in 2010, the largest increase of any public radio format in 2009.
Study links radio waves to cancer.
A court-ordered study on Vatican Radio concludes the high-powered electromagnetic waves beaming from the station have put residents near the transmitter at risk of cancer. MORE
Study: Women’s disconnect cuts TSL.
It may sound like a cliché, but women say they’re just not understood. By radio, that is. A study by Alan Burns and Associates being released today shows one-quarter of all women who listen to the demo’s core adult contemporary and CHR formats believe there’s no station in their market that understands them. MORE
Study: Pandora awareness at 33%.
While Pandora continues to finish first in internet radio ratings by a wide margin, only one-in-three consumers who listen to audio on the web can recall it on an unaided basis. The preliminary finding from a forthcoming study from Coleman Insights uncovers a brand recall problem in the streaming audio marketplace.
Most favor cell phone with FM.
Message to mobile phone companies: add FM and you may sell more handsets. That’s according to a recent Alan Burns and Associates study. It shows nearly half of women (47%) and three-quarters (73%) of female early adopters would buy a cell phone if it had an FM receiver built-in.
Rock On: PPM shines on rock radio.
Since PPM first appeared on the scene the numbers have showed electronic measurement has been good to rock stations. As more stations have converted from the diary, that continues to hold true. Not just among young demos, but also with the key advertiser-friendly 25-54 target.
Inside the CHR mind.
Top 40 is one of radio’s most popular formats – and has proven to be among its most profitable. Last year’s top-billing station was L.A.’s KIIS-FM. So what makes CHR successful even among iPod-crazed young people? A new study shows it’s more than just hot acts like Justin Bieber.
Ad buyers look more to middays.
While morning and afternoon drive remain radio’s most in-demand dayparts, some agencies are encouraging advertisers to allocate more dollars to middays. Once viewed as “housewife time” because it was believed to be a haven for female listeners, middays are showing higher listening levels under electronic measurement than in the diary.
Burns: ACs under less digital attack.
The FM dial remains the place a large number of female adult contemporary format listeners first think of when they crave music. A new survey by Alan Burns and Associates finds only one in every six female AC fans has ever downloaded an app to her cell phone. MORE
Study: Age 40 shifts pop preference.
The line between the typical “Lite FM” and its hot AC rival continues to blur. One reason may be how much longer female listeners are sticking with contemporary artists. An Alan Burns and Associates study of female AC listeners finds Pink is the top artist among 30-39 year olds, while the 40-49 year old demo picks the Eagles as its favorite.
Study: Web radio in five million cars by 2015.
Motorists are on the road to having not just dozens of local, over-the-air radio stations at their fingertips, but thousands of internet stations, too. A new study forecasts five million cars will be internet radio-equipped in North America by 2015, using a “hybrid-connected model.”
Study: AC P1s more ad tolerant.
The female P1 listeners of adult contemporary radio are twice as likely to listen to a stop set than a CHR station’s P1s. That’s one of the findings of Alan Burns and Associates study into the habits of female AC and CHR listeners. With an upper demo female audience, AC listeners are among the most sought-after by advertisers.
For AC radio, cash is king.
A new Alan Burns and Associates study into female listeners of AC radio shows a bias toward greenbacks. More women would rather win $1,000 in cash than a new car worth significantly more. While 51% of women said they’d tune-in at a specific time for a shot at winning $100, the number who’d do that for an iPad dropped to 45% -- even though an iPad retails for $500 and up.
Radio holds up with middle-aged.
If birds of a feather flock together, then much the same can be said about socioeconomic groups’ media usage patterns. That’s according to a year-long study by Bridge Ratings using a sample of 7,000 surveys of adults (15+).
Study: Radio dominates at-work.
The cubicle may have more options today from iPods to Pandora, but a new report from Alan Burns and Associates says radio remains the top pick. Of women employed full-time who listen to music at work, 54% generally listen to their music on radio. MORE
Inside Radio survey: Mixed feelings.
Americans are increasingly nervous about the economic recovery, and the radio industry is worried as well. Fewer than one-in-three (29%) of Inside Radio readers believe the second half of the year will be better than the first six months.
Inside Radio survey: 73% say hire from radio.
It’s arguably the biggest job opening in radio in years. Clear Channel CEO Mark Mays has announced he’ll step down at the end of the year and the company’s hired an executive search firm to find his successor. If Inside Radio readers have their way, the next chief executive will come from the radio industry. More, Including YOUR comments, HERE.
Inside Radio Survey: Majority keeps it clean.
The threat of multi-million dollar fines or being shown the door for an indecency violation continues to loom large over the radio industry despite this week’s court ruling. Nearly half of Inside Radio readers (49%) say they will continue to operate as if the FCC rules are in full effect until the Supreme Court has its say. MORE
Inside Radio Survey: No more consolidation.
Many of the industry’s largest radio operators would like to see FCC ownership limits relaxed — even to the point of allowing an owner 12 stations in a market. But a majority of Inside Radio readers believe bigger isn’t better. More than half (52%) say ownership diversity and competition are healthy for the industry. Another 14% say further consolidation will mean fewer jobs. MORE
Study: Radio newsrooms steady.
The annual look inside radio newsrooms shows most still have just a single person, and often times they’re working for more stations than ever before. That’s according to the annual survey conducted by the Radio-Television-Digital News Association and Hofstra University. But the author says in this case, steady isn’t necessarily positive news.
Inside Radio Poll: Most stations aren’t hiring.
Jobs remain difficult to come by in radio, despite recovering revenue. Half (51%) of respondents to this week’s Inside Radio Reader’s Poll say their cluster or company isn’t adding any employees yet. Some stations are even still trimming staff. MORE
Inside Radio Survey: More stations hit the streets.
From station concerts to kid-friendly events and business breakfasts, radio has long counted on off-air revenue. But during the recession a lot of stations scaled back to focus on the more important spot sales. With advertisers coming back, 45% of respondents to Inside Radio’s Question of the Week say they’ll have a stronger presence at community events this summer. MORE
Inside Radio survey: Patience with Apple.
The fourth generation of Apple’s popular iPhone debuted this week by CEO Steve Jobs. Once again the handset has FM tucked inside, but Apple has yet to activate the feature for users. More than one-third (36%) of Inside Radio readers aren’t discouraged, and believe the radio industry should continue to build its relationship with Apple. MORE
Study: P1s still key to ratings success.
With the PPM reporting station cume audiences nearly twice as large as what the diary showed, some have questioned whether P1 listeners are as important under the new ratings methodology. A new study of 16 markets by the Research Director shows they are.
Study: Radio rings registers.
Nearly two-thirds of consumers listen to the radio just prior to shopping. That data from a groundbreaking Council for Research Excellence (CRE) study could be a powerful tool to radio salespeople for years to come.
Study: Smartphone owners want FM.
A new study of adults across the U.S., UK and Canada shows a considerable appetite for an FM tuner on smartphones among consumers who already own or are likely to get one in the next six months. MORE
Survey: FM on mobiles has wide appeal.
A new poll of U.S. consumers considering buying a smartphone in the next six months shows nearly one-third would like to see FM activated by Apple on its iPhone. There’s some even fresher data that shows it’s bigger than the iPhone. MORE
Exclusive: May pacing much higher.
Radio industry revenue had its fifth consecutive positive or flat month in April, with revenue up 5% over one year ago. April performed noticeably better than most expected...Read this months' report HERE.
The Inside Story: Stitcher wants to be radio’s friend
PDF VERSION | While it is often referred to as the spoken word equivalent of Pandora, mobile content aggregator Stitcher is increasingly being viewed by radio networks as more of an ally than an enemy. A growing number of radio companies agree.
Inside Radio Survey: Mobile phone applications seen by most as the 2010 growth story.
With Apple’s iPhone and iPads generating buzz wherever they go, it’s little wonder than two-thirds (67%) of Inside Radio readers say mobile phone applications have the most growth potential this year. A distant second are social network platforms, seen by nearly half (46%) as a medium for radio to watch. MORE
Borrell: Local mobile to double in 2010.
Since mobile marketing first appeared on the scene, it was seen as the next big thing. But there hasn’t been an explosion of revenue from mobile. Until now, says a new report from Borrell Associates. “We see mounting evidence that mobile marketing will fulfill the promises made about its potential — and more — beginning this year.”
Spring blooms on radio.
The turn in seasons is clear on the list of top radio spenders. The Home Depot, Scotts lawn care and Lowe’ were the top national advertisers last week, according to Media Monitors. Home Depot was by far the biggest, airing nearly 58,000 ads. The U.S. Census Bureau ranked second, with about 36,000.
Research adapts to a new radio reality.
Shoestring research budgets have spawned a new menu of products from vendors catering to stations that can no longer afford a pricey perceptual study. New research products range from syndicated perceptuals to focus blogs.
Exclusive: March revenue accelerates.
Near double-digit revenue gains last month gave the industry its best growth number in six years. March revenue was up 9%, according to data from a sample of markets collected by analyst Jim Boyle for Inside Radio’s exclusive Insider Outlook.
First quarter’s first results.
The industry has received its first revenue report card of 2010 as Journal Communications reports first quarter radio revenue was up 7% and second quarter revenue is pacing flat to up single-digits. While just one company, it bodes well for radio as a whole.
Survey: Majority say station is reinvesting.
After a year where the old joke about spending money on paper clips became reality at some stations, there are some in the industry that have begun to open the checkbook again. Nearly six-in-ten (59%) of respondents to the Inside Radio Question of the Week say their station is putting money back into research, promotions and equipment as radio’s revenue picture improves. MORE
Report: Web video becomes more effective.
A new survey has good news for stations offering online video advertising to clients. Advertisers plan to up their online video ad spends this year and are increasingly comfortable buying the medium.
Inside March PPM ratings.
Tampa can’t get enough of classic hits. In Pittsburgh the adult hits format is on the rise. While in Boston the new Rush Limbaugh home is already seeing its ratings increase.
Study links web content and newsroom size.
The Radio Television Digital News Association and Hofstra University annual newsroom survey says more radio stations are putting news audio webcasts and blogs on their websites, although the number who says they are posting photos and news video dropped slightly compared to a year ago.
Report: Nielsen preps IPO.
The Financial Times quotes sources saying Nielsen plans to once again become a publicly-traded company, four years after a group of private equity firms took the marketing and media information company private. Nielsen declined to comment.
Radio Recovers: Momentum into May.
It may sound exaggerated, but this could be the most important day of the year for radio. As the first Monday in May, it will not only set the industry’s revenue tone for the top-billing month — but potentially the remainder of the year.
Report: CBS in talks with CNN.
CBS and Time Warner are in “serious” discussions about a news-gathering alliance, according to the Financial Times. It is the third time the two companies have discussed a partnership since 1997. But with cost-cutting sweeping the news business, analysts think any differences could more easily be settled this time. MORE
NAB SHOW Exclusive: Inside Radio Q&A: Gordon Smith.
From the latest on a performance royalty including what role the mid-term elections may play – to the FCC’s ownership review – Inside Radio’s Paul Heine goes one-on-one with NAB president/CEO Gordon Smith HERE. MORE
Winners among the revenue losers.
Much has been made about the revenue declines seen by radio over the past year. But that’s just half the story. Among BIA/Kelsey’s top 1,000 billing stations, there were 32 that posted revenue increases. Across the industry, nearly 400 stations grew last year. The top performer is a Chicago FM that nearly doubled its revenue.
Majority of stations offer video ads.
Streaming was the sexy young sales offering a few years ago. Today, video advertising is the next logical step. More than six-in-ten (62%) respondents to Inside Radio’s weekly survey question say they’re offering advertisers streaming video ads. MORE
Explosive social media growth.
Nearly half (48%) of Americans have a profile on at least one social networking website compared to about one-third (34%) a year ago. The Infinite Dial 2010 national survey shows one-in-three people use the site several times a day, compared to 18% a year ago.
Survey: Americans listening less.
An explosion of entertainment options has resulted in Americans listening to FM and AM radio for an average 18 hours a week, down 18% compared to five years ago. The biggest attrition of listening has been among 12-24 year olds, who are spending five hours less with AM-FM radio each week.
Winner’s Circle: America’s #1 gospel station.
“Praise 102.5” WPZE, is enjoying its highest ratings since Atlanta converted to PPM measurement in December 2008. The Radio One outlet deserves praise - it ranks fourth in February (6+) with a 6.0. No other gospel station in a top 25 market even comes close. MORE
Fewer jobs drive CHR to classical.
The industry’s smaller payroll is having residual effects far and wide. In Seattle, Northwest Public Radio will take over CHR “I-91” KVTI, Tacoma (90.9) under a deal with Clover Park Technical College. The school chose NWPR to assume management of its station after closing its radio broadcast program in response to state budget cuts and fewer job opportunities for graduates. MORE
Survey: Smartphone users prefer web radio.
Nearly one-third (31%) of U.S. smartphone and iPod Touch users said they’ve listened to internet radio or a music streaming service on their device in the past week, according to a new study by digital research company Vision Critical. By comparison, 19% reported listening to an AM or FM station on the same platform. MORE.
Social networking usage doubles.
The percentage of 12+ Americans who have a profile on one or more social networking web sites has reached almost half of the population in 2010 – double the level from two years ago. Consumer use of social networking sites is not just a youth phenomenon: almost two-thirds of 25-34s and half of 35-44s now have personal profile pages, according to a new national survey from Arbitron and Edison Research.
Arbitron-Edison: Digital growth slows.
Following several years of growth, Americans pressed the pause button on much of radio’s “infinite dial” during the past 12 months. The weekly online radio audience held steady at 43 million weekly listeners or 17% of the 12+ population — unchanged from one year earlier.
Inside Radio Survey: Industry headed in wrong direction.
Revenue that’s no longer in decline, signs that some stations are hiring and renewed interest by Wall Street in radio have all been seen as positive indicators. But for a vast majority of Inside Radio readers, the industry still has the same problems it did one year ago. MORE
Study: New media doesn’t steal listeners.
Radio is second only to TV in media usage (reaching 92% of Americans 12+), followed by cell phones (84%), broadband internet (64%) and online radio (52%). But the hierarchy changed when Arbitron and Edison asked which platforms and devices have a “big impact” on people’s life.
Rapid growth forecast for mobile.
Spending on mobile advertising is expected to increase rapidly over the next several years, reaching nearly $600 million this year and $1.56 billion by 2013 according to eMarketer estimates. A new Arbitron-Edison report suggests it’s more important than Facebook.
The 2009 revenue winners.
A pair of stations on opposite coasts completes Inside Radio’s series on stations that were up in a down year. L.A.’s KBIG and Monmouth-Ocean’s WRAT both bucked last year’s down revenue trend.
Network radio sees ad sales gain traction.
After seeing revenue declines slow late last year, Westwood One says its 2010 upfront sales were “up significantly” across a wide range of categories. “We entered the year with momentum that has continued into 2010,” CEO Rod Sherwood told analysts during a conference call yesterday. “Revenue should be up in the first quarter.”
Two sides of “station-trading triangle” return.
The three sides of radio’s deal market include buyers, sellers and lenders. Two sides: buyers and sellers – are once again talking. But banks aren’t lending, and that’s kept sales few and far between.
Economy still silencing stations.
Northern Star Broadcasting is pointing to the “depressed economy” for taking WIHC, Sault Ste. Marie, MI (97.9) off the air. It tells the FCC the station “has been operating at a loss and the licensee has decided to take the station silent while it considers whether it is possible to make the station economically viable.” WICH had aired the classic rock “The Bear” format. The Inside Radio database shows 305 stations currently off the air.
Video is radio's hot new sales tool.
In a bit of irony nearly 30 years in the making, video may not have killed the radio star but instead is helping to sell the medium. In some cases it’s not the add-on, but the base which the radio campaign is built from. It comes as the online video ad market now tops $1 billion a year.
Survey: More in-car MP3 listening.
Nearly one-quarter of respondents to an Arbitron-Edison Research survey say they’ve listened to an iPod, iPhone or other MP3 player while connected to a car stereo. Among those that do connect, most tune into an MP3 more than once a week. The number is likely to grow as more automakers make it easier to plug in removable devices. MORE
Radio Recovers: A sunnier forecast.
The rising economic tide is raising all media boats in a newly-revised 2010 outlook from Barclays Capital. The firm originally believed radio revenue would be off 4% this year. But by mid-February it became clear the tide had turned and they revised their outlook to up 2.2%. With revenue gains accelerating, they’ve now revised yet again and forecast radio revenue will be up 7.4% this year.
2009 Radio Revenue
The RAB and BIA/Kelsey both say radio revenue in 2009 was off by 18% compared to 2008. But both offered different revenue totals in their final report. The difference is methodology. CLICK HERE.
Study: Three-quarters of listeners are texting.
Traditional radio consumers may still embrace a technology that’s 115-years old, but they’re also increasingly using new media. Bridge Ratings finds text messaging is used by 77% of radio listeners, up from 55% in 2007.
Study: Country listeners crave variety.
A new survey of country music fans by the Country Music Association shows monthly country radio listening is up from 79% of fans in 2008 to 93% today. And respondents say they would listen even more if stations offered a more varied playlist.
Mobile news consumption rockets.
Perhaps nowhere has the impact of the internet been more profound that on how Americans consumer news. But big growth is also being seen on mobile phones. The data also shows radio now beats the newspaper.
**SPECIAL REPORT** Inside Radio takes Digital Deep Dive.
This special report on radio’s digital initiatives looks at how companies are growing and monetizing the space and how radio distribution channels are blurring. The series includes insights from industry leaders about how they’re using online and mobile to evolve radio to rapidly changing consumer behaviors and to drive deeper engagement with listeners and advertisers. DOWNLOAD HERE
Indecency backlog tops one million.
The FCC Enforcement Bureau had 1.45 million complaints and 12,049 active investigations into possible indecency violations at the start of the year. That’s an increase of about 500 pending cases in the last six months according to SNL Kagan.
Pirate radio turns deadly.
South Florida police are investigating the death of a 27-year old man who was electrocuted setting up a pirate radio antenna in his backyard Sunday. The metal rod apparently connected with a low-hanging power line. Witnesses say the unidentified man was planning to put station on the air targeting the large number of Haitians that have moved to the Fort Lauderdale area.
Streaming usage returns to pre-holiday levels.
An overwhelming majority of internet broadcasters tracked by Ando Media experienced increased usage in January in sharp contrast to December, when most streamers saw usage declines. Ando attributes the increase to “a return to pre-holiday streaming levels as in-office listening presumably mirrors the return to work-week norms.” MORE
CRS 2010: “Listening occasions are the new pink.”
In a PPM world, programmers are discovering just having high cume doesn’t mean ratings success. How often they listen is more important than ever. It also requires new strategies. MORE
Christmas format keeps giving.
While the goal of going all-Christmas is to come out of the holiday season with stronger ratings than going in, that often hasn’t been the case. This year may be different. Many all-Christmas stations appear to be converting holiday cumes into long-term listeners.
For CBS, video helps the radio star.
In another example of the cross-platform synergy CBS Local Media is pushing, the company’s radio and TV stations in Philadelphia have amplified content sharing and cross-promotion. “According To Danny,” featuring WYSP morning man Danny Bonaduce, launched Monday on co-owned “CW Philly 57” WPSG-TV.
Nielsen: Ad spending down 9% in 2009.
Late-year blossoming helped soften declines, and Nielsen reports overall advertiser spending last year fell 9% to $117 billion. The last six quarters have show negative growth in the ad industry, but declines are slowing.
Field: It all comes down to price.
Since Entercom CEO David Field went public with predictions of double-digit revenue gains for radio in 2010 four months ago, many skeptics have become believers as negative revenue numbers turned positive. He’s still bullish, but says the key factor will be rates.
More teams move to FM sports outlets.
The Tennessee Titans had aired on country WKDF (103.3) in Nashville. Now Citadel moves play-by-play and other Titans programming to its FM sports outlet, “104-5 The Zone” WGFX, beginning with coverage of the NFL Draft in April. MORE
Auto ads make a u-turn.
Automotive was the turnaround story of 2009. One year ago radio was seeing its top spender in free fall. Car sales fell and auto ad dollars went down even faster. But the latest data shows a turnaround. Like before the recession, radio’s best success continues to be at the local level.
Report: FCC probes game show.
In a page ripped from the 1950s TV quiz show scandals, the FCC is investigating whether the producers of the Fox-TV game show “Our Little Genius” gave answers to the children contestants prior to taping. The New York Times says the FCC received a complaint from a parent in December, two weeks before Fox pulled the show from its schedule before it had even taped. MORE
RAB: Signs the worst is over.
For the third year in a row radio posted a decline last year with revenue down 18% (or $3.4 billion) to $16.029 billion. While most are ready to leave 2009 behind and focus on 2010’s rebound, there is evidence radio’s recovery actually began months ago.
EXCLUSIVE REPORT:
Radio Revenue turns positive.
For the second consecutive month, radio industry revenue is not a negative number. After 31 straight months of decline, the radio sector was up slightly (+1%)...Read Jim Boyle's "INSIDER OUTLOOK" HERE.
Live at Five: Radio’s royalty fight.
NAB-produced ads airing on radio and TV stations aren’t the only outlets for performance royalty messaging. A least a half dozen TV stations have carried stories with headlines like “Music may cost local radio more.”
Music biz slams radio over royalty ads.
Thousands of radio and television stations are airing NAB-produced announcements this week. The spots are designed to catch the attention of members of Congress back in their districts on February recess. They’ve also been noticed by members of the Music First Coalition, which accuses broadcasters of spreading a “fog of misinformation” to kill the bill.
Navigating rocky PPM road, Arbitron projects growth.
While it initially expected a 65% revenue uplift in its PPM markets, a tumultuous rollout is dampening Arbitron’s profits. Univision is not subscribing to the controversial service in any market except Houston and Spanish Broadcasting System has stopped paying for the service altogether in a dispute that has moved to the courtroom.
Arbitron weighs streaming return.
Arbitron CEO Bill Kerr says the company is exploring “new and improved” metrics for measuring online radio, a business Arbitron conceded to Ando Media early last year when it severed its relationship with comScore and exited the sector.
Struble: Don’t be “spooked” by Pandora
From in-car internet radio to WiFi desktop receivers, terrestrial radio’s competition is increasing and will intensify in coming years, says iBiquity CEO Bob Struble. He says that has “spooked” a lot of broadcasters. But he believes the threat of streaming is exaggerated. “Radio needs to adapt for sure, says Struble. “But Pandora in Fords does not spell doom.”
Survey: Consumers will pay for webcasts.
With marketers spending less on advertising just as inventory across multiple platforms has never been more abundant, media companies are considering new revenue models to monetize content. A new Nielsen report says there's opportunity for pay radio online.
Few expect to earn more in 2010.
Several companies shrank paychecks last year to cope with falling advertising revenue, while those weak sales meant commissioned employees took home less. Nearly six-in-ten (57%) respondents to the Inside Radio survey report they earned less money last year.
Two-thirds budgeting for gains.
It’s old news to say last year wasn’t one of radio’s best, and a vast majority of people who took the Inside Radio Year-End Survey confirm that. Nearly eight-in-ten (78%) report their station did not meet 2009 revenue goals. With that as a base, few appear prepared for a replay this year. Flat isn’t acceptable for most either.
New year begins with optimism.
It is unlikely there will be much nostalgia for last year, one of the worst suffered by the radio industry in decades. But there’s a sense in some corners that a revenue rebound is brewing. Analysts say digital remains radio’s biggest growth opportunity — and competitor.
Survey: TSL is Pandora problem.
Large cuming stations tend to have lower average time spent listening simply due to the sheer size and variety of listeners. The same can be said of Pandora, according to a new Bridge Ratings survey. MORE
Ando: Pandora tops broadcasters.
More online radio listeners tuned into a Pandora web radio station in November than those offered by terrestrial radio. Ando Media's monthly ratings shows Pandora averaged about 187,000 simultaneous listeners compared to 134,000 for CBS Radio and 71,000 for Clear Channel. The Katz Online Network comprised of several companies averaged 142,000. MORE
RECAP: PPM FORMAT STUDY
Urban AC tops PPM: Despite the continued controversy over PPM’s impact on ethnic-skewing stations, the Research Director/Inside Radio PPM Formats Study has a surprising conclusion. The report focuses on these formats: Urban AC, Hot AC, AC, News-talk, Country, CHR and Regional Mexican. Read all of the week's study results Here.
Radio sets new all-Christmas record.
Whether it was the economy or the years of ratings success by stations that have employed the strategy, the number of Christmas stations jumped 12% this year to a record 484 signals. The previous high market was 431 last year and in 2006. Five years ago there were only 279, according to the Inside Radio database.
FORGET FORECASTS, RADIO SEES INCREASES.
Analyst forecasts don’t square with what local stations are budgeting for next year. The prognosticators foresee another down year, although not as painful as this year. So where do radio budgets end up during the current budget season? An informal survey by Inside Radio shows broadcasters believe the numbers will go in the opposite direction.
RADIO: THE DOMINANT AUDIO MEDIA.
In the biggest media study of its kind, the Center for Research Excellence and Ball State University tracked 376 people around in five markets — Atlanta, Chicago, Dallas, Philadelphia and Seattle — for two days, observing media consumption every ten seconds. The results show broadcast radio overshadows all other forms of audio media — including the iPod.
KAGAN: CROSS-MEDIA DRIVES WEB REVENUE.
Digital offerings account for a higher share of total revenue among diversified media companies than for radio and TV pureplays, according to a new report from SNL Kagan. The firm projects online revenue could account for nearly 5% of industry dollars within the next four years.
OFF-YEAR POLITICAL SPOTS ADD UP.
The letdown of an off-year election can be tough on the ledger, particularly following last year’s record-setting presidential race with $130 million spent on radio. With just two state gubernatorial races this year, there’s been a concentration of dollars. A handful of small New York markets are also being inundated with congressional advertising.
THE AE PENDULUM SWINGS TO HIRING.
After a year of personnel cuts that included the downsizing of sales departments, the recovering advertising marketplace is spurring some hiring. Cumulus CEO Lew Dickey says, “We hired 50 new sellers in the last six weeks, and we’ll hire 50 more before year’s end.”
Shades of 2000 election for Edison.
Just when the trauma of the 2000 election night had healed, last night’s results may’ve caused a relapse. After calling billionaire and WBBR, New York owner Michael Bloomberg the winner of a third term as New York City’s mayor, Edison Media Research reversed. But not before NBC News went public with the report. MORE
CBS’ MOONVES: RADIO GROWTH IN 2010.
If CBS Radio managers had hoped to file flat budgets, it appears they won’t get far. CBS CEO Les Moonves says sales trends across the company’s local businesses continue to improve. "We expect radio to grow," he predicts.
CBS RADIO, CITADEL TOP ANDO RATINGS.
Ando Media webcast ratings show CBS Radio had the largest average number of simultaneous streams in September, with 175,261 users. Citadel had the highest average time spent listening: 3 hrs, 33 min. The ratings were the first released by Ando Media since last spring as the company made revisions to its methodology.
Clear Channel: Radio beats outdoor.
There was no hiding from the advertising recession last quarter for Clear Channel with both radio (-17%) and outdoor (-19%) revenue declining compared to a year ago. The company points to declines in automotive, retail and telecommunications advertising. MORE
"COMPELLING" CASE FOR RECOVERY.
For the first time in two years investors are being told media stocks may be a good buy. UBS analyst Michael Morris says, “We expect national advertising platforms to continue to thrive over the next two years.” That jibes with reports from some radio executives in large markets who say they've seen hints of a rebound in national ad spending.
Live venues feed radio platforms
Radio isn’t just audio anymore — broadcasters have built out multiple platforms that need to be populated with original content. Performance spaces are helping feed the monster. CBS Interactive Music Group’s “Live On Letterman” airs live on select CBS Radio stations and streams live on stations sites. Live and on-demand video from the series, which has featured Tim McGraw, Pearl Jam and Elvis Costello, helps feed another half-dozen CBS properties.
New Media, New content source
As music becomes increasingly commoditized, broadcasters are developing exclusive, original content that can help set them apart from an ever-widening array of music sources. Fully equipped performance spaces are becoming new content creation centers.
Analyst: Newspaper's not that bad.
Radio’s local advertising rival has been taking hits, with some pundits predicting the newspaper’s obituary should make the next edition. With bankruptcies and circulation declines, Borrell Associates president Colby Atwood says it’s easy to erroneously forecast a straight decline. And radio's history helps prove the case. MORE
BORRELL: LOCAL DIGITAL ADS PLATEAU.
The low-hanging digital fruit’s been eaten. So Borrell Associates says the surging five-year growth in local internet advertising has now peaked. “Media companies are starting to eat sand,” says the firm’s outlook on 2010 digital revenues. Local online advertising will hit $14.2 billion this year, up 12% from a year ago. But Borrell projects growth will slow to just 5% in 2010.
CROSS-PLATFORM BUZZ GROWS LOUDER.
Arbitron’s recent formation of a cross-platform measurement unit reflects a growing trend among broadcasters and advertisers toward multimedia selling and buying. Cox, Bonneville and CBS are taking first steps toward packaging their radio and TV audiences for advertisers, while the drumbeats from Madison Avenue for single-source measurement grow louder every day.
CROSS-PLATFORM CULTURE CLASH.
The biggest challenges to successfully getting radio, TV and newspaper employees to work side-by-side are merging disparate cultures. Each has major cultural differences. Radio operators are accustomed to operating in a highly competitive environment while newspaper people have more of a monopolistic mentality. And TV stations are the masters of self-promotion.
DIGITAL PROMOTION BUDGETS GROW.
Radio doesn’t just have new competition on the sale of digital advertising. Increasingly, other companies are finding a way to go after radio’s longtime stronghold on promotions. As local advertisers increase online marketing budgets, Borrell Associates says, “Most of this growth, however, is not in advertising but in promotions.” Borrell notes online promotion budgets are often separate from advertising allocations.
LARGER SAMPLES = LOWER COSTS?
Using one panel to measure both radio and TV audiences in Canada resulted in modest sample size increases and significant costs savings for broadcasters. Would U.S. broadcasters realize similar benefits? Arbitron says strong support of PPM outside of radio raises "the potential for enhancements" to PPM methodology and sample size.
MOBILE POWERS ONLINE GROWTH.
No matter how you slice it, streaming continues to surge. But increasingly, that new wave of growth is coming from mobile phone distribution. One of the big drivers in the growth of mobile streaming is exclusive content. By using celebrity hosts, broadcasters are also ripping a page from the satellite radio playbook. There are also a growing number of sponsor-branded channels.
Revenue gains could mean higher royalties.
The Radio Music Licensing Committee contract with performance rights organizations BMI and ASCAP expired last December and a federal court has yet to set an interim royalty rate for stations. But the radio industry’s revenue reversal may also have an unintended consequence. It could mean higher short-term royalties.
Inclusive royalty may come at a price.
From websites to cell phones, radio content is available in more places than ever. To address the growing list of distribution outlets, the Radio Music Licensing Committee hopes to sign new royalty contracts with ASCAP and BMI that will be all-inclusive. But such a deal could come at a price.