Radio Cornerstones Of Lasting Engagement

"State of Listening Today," according to Clear Channel CEO Bob Pittman, “Confirms that radio’s reach and appeal remain strong regardless of the platform, geography, ethnicity, or age group.  American listeners – particularly younger generations – feel a strong connection to their favorite on-air radio personalities – which is made stronger by social media – in a way that isn’t replicated by other media.”

The study also helps explain why:

Passion

Bob Pittman is telling Wall Street in his usual cheer-leading style that it's time for "a new life for radio." 

Meanwhile, CBS' Les Moonves is bullish on radio as-is, it seems.  And, their stock price certainly makes it look like he knows what he's talking about.

There's no sense taking sides in the battle of publicly-traded companies in their efforts to tout their stocks.  That's a very profitable business in itself, and reinvention or not, it's not radio to me.

The great thing about talking to our clients, local radio people, every day is that I never seem to have time to dwell on that.

Instead, I am reminded every day how passionate worker bees in thousands of communities are, as they work with passionate creative artists, music promotion executives, advertisers and our equally passionate listeners.

For example, just today....

In telling Country Aircheck's Chuck Aly about next Friday’s Taylor Swift Worldwide Radio Remote (10/26), Big Machine's John Zarling said of Swift: 

“She’ll spend six hours on the 26th talking to radio. She’s spent 20 hours in the last two days doing national radio interviews. And there have been countless media days around the world in the last month. She works harder than anybody to make all this come together.  It just shows Taylor’s conviction and continued engagement with radio, and how much she believes in radio as a way to reach fans.”

KIRO/Seattle's Linda Thomas just blogged

"How could my dream job get any better? It just did.  Here's the funny thing about a new dream coming true. It's exciting and it's frightening.  Creating unique stories for Bonneville Seattle's traditional and new media platforms is my full-time job. A little fear is a good thing. All the interesting stuff happens when we step outside our comfort zones."

Catch me tomorrow and I'll have even more fresh, new stories about what happens when passionate content creators engage listeners.

If you're inside a radio station and not just a corporate office somewhere, I'll bet you can do the same.

Grab some passion and spread it around!

History

Clear Channel CEO Bob Pittman seems to be at every broadcast meeting and in every trade publication putting a positive spin on the wrenching changes affecting local radio service as the era of consolidation which started 15 years ago with high price mergers and acquisitions has culminated in massive junk bond debt.

Pittman showed a chart with competing media revenue adjusted for usage, in an ideal world. Newspapers would get much less of the advertising pie, TV stations would get somewhat less, and radio's take would mushroom from about $15 billion to $38.1 billion. Pittman says it's crucial for radio to "make new revenue to the radio sector our priority." And he has this advice, as a former radio programmer and executive now returned to the business: "Don't badmouth your own industry."

I admire Bob for taking on the immense task before him and hope he's successful, for the same reason I hope that Europe is able to find a way through the Ireland, Greece, Portugal, Italy (etc, etc) financial mess.

If they can't fix the real problem, we're all going to see it at our local bank branch and in our retirement accounts.

So, the hyperbole spinning reductions in force not being about cutbacks, but about reinventing radio's local relevancy reminds me of 1998 when Randy Michaels was trying to motivate the Clear Channel of that time and, just like Pittman is today, the rest of the industry as well.

I'm not sure the downsized folks bought it then and today people like me who lived through that history now hope that Pittman, as with Cumulus' executives see things as they really are, not like they wish they would be.

They are managing toxic assets.

The problem is excessive debt and there's not enough revenue in new media to solve it in the time frame available.

While it's very nice to hear Pittman's optimistic speeches about radio's value (and I agree with him that we need to be positive about the efficiency and effectiveness of radio) the cuts that he's been forced by reality to implement throughout his company are rippling through our entire industry and are equally essential.

Saving an upside-down business in a low-growth economy requires brutal honesty and hard choices.

It's about survival.

Leadership means telling harsh truths, whether in business or politics.

I hope we're all ready for it.

They Are Both Right And We Must Do It All

Bob Pittman's view of today's media audience: "TV is their hobby. The Internet is their research tool. Radio is their companion."

Walter Sabo's advice: "Stop calling them shifts. Call it your show. Constantly hit refresh. Entertain."

For years, I advised talent not to think of their "performance" as "a show," but instead to talk to one person, being real, human, vulnerable, engaging, interactive.

It's time to rethink that a bit.

1. Be friend and companion, of course. Talking to one person, I believe, is the most effective way to do so.
2. Keep it fresh and current too.
3. Tell me something I don't know.
4. Entertain as you do it.

It's not easy to be in personal intimacy mode while putting on an entertaining show simultaneously, but being the very best never is.

The listener has too many other choices than to do anything but all of it each time you open your mouth and mic.

RIF or RIP?

Applying the term "reductions in force" to the firing of people and reordering of financial priorities from content creation, street presence, local middle management and customer/listener service to debt reduction can be a misnomer, sending the wrong message to anyone hoping to gain market share as companies like Clear Channel and Cumulus decide what to keep and what to discard.

Asian martial arts proves that it's quite possible to quickly prevail against a stronger, bigger adversary if you understand what true force is and how to leverage it.

My first lesson in this fact came in the late 1970's when I left local radio in San Jose to join consultant-syndication company Drake-Chenault.

One of my first client station visits was to North Carolina Summit Broadcasting General Manager Roger Stockton, who I was trying to convince that his radio station should move from one of our 24/7 syndicated formats, "Great American Country" which was voiced by the legendary Bob Kingsley to adding a live morning show and other "live and local" dayparts.

"Don't people wonder if Bob ever sleeps?" I queried Stockton.

He replied, "they don't seem to, since we have an 18 share in those time periods."

Consistent music rotations, a familiar voice front and also back announcing all of the current music and tight formatics compared to what other choices Triad country listeners had was sufficient force to win big at the time.

That station was WTQR and fortunately Stockton and his company had the foresight to add budget for some great personalities over the next few years, thus maintaining a ratings juggernaut that has endured for decades.

Now, of course, it's a Clear Channel station and is both in the crosshairs of its present ownership's "RIF" and its Entercom direct country competition which is working to make it an "RIP" instead.

Jay Meyers, CEO of Adelante Media Group and a former Clear Channel executive told Inside Radio yesterday that where a personality is located doesn’t matter.

“Local and relevant are important but live and location are not,” he says. “What matters is whether the content keeps the listener in touch with their community and gives them the same bond they used to get when there were jocks around the clock.”

Meyers is talking about a force that matters most right now if you're across the street as Clear Channel CEO Bob Pittman shakes things up in the programming ranks at radio’s largest company, relevance.

IR also quoted Pittman from Facebook’s f8 Developer Conference in San Francisco last month: “We’ve got to get our program directors to rethink. We’ve got creative talent and great programmers but we have to figure out a way to unleash them so ideas come flooding in.”

Automating radio's programming is nothing new and neither is this tested and proven theorem:

• Great beats local.
• Great local beats unengaged execution, no matter where it comes from or how famous the voice.
• Fun, originality, creativity, passion, interactivity, proper targeting, position, excellent formatics dominate as long as it makes the listener feel something more than anything else on the radio right now.

May THAT force be with you, radio people, as you navigate your career in these turbulent times for us all.

Bob Pittman: "If TV Is America’s Hobby, Radio Is America’s Companion"

Jim Carnegie at RBR just snagged a fascinating interview with "The Father of MTV” and former AOL Time Warner COO who has remained an active investor in broadcasting:

"The way I’ve used it as a marketer in the past is I used TV to create desire – I’m going to go visit Six Flags this summer. The problem is people think I’m going to do something and then they forget about it, it drops out of their mind. I use radio to remind them – constantly reminding them, remember we’re going to Six Flags, let me tell you about Six Flags. I’ve created the desire to go with TV. I’ve created the reminder to go with radio. I think it still does that extraordinarily well.

"One of the reasons the prices are so low is it’s almost impossible to get much leverage, much debt, much credit and if you own a bunch of TV stations and you already have a credit facility you don’t want to start all over again because you’ll never get a deal as good as what you’ve got now. So I think you’re finding even though everybody recognizes the opportunities are out there, there are some impediments to buying them. I think the second issue is that everybody is looking for deals and everybody who has got the TV stations are like people that have an apartment in New York. The prices are down a lot, thank God I don’t have to sell. All it says is buyers right now are shopping for a deal because of lack of credit and a lot of other issues so they will only buy if they can get it at distressed prices and unless you’re distressed you won’t sell."