RADIO'S NEW REVENUE MODEL FROM GLASCO MEDIA

If you’re still depending on selling flights of spots, promotions, remotes, and web page exposure to make budget, you’re doomed to, at best, inconsistent success. More likely, you have, or will experience abject failure. So, what’s a programming consultant know about revenue models? Well, I know the one we’ve been using isn’t working today. If it were; You’d be making your budget AND your bonus on a regular basis. The lending community would be asking Radio to the dance again. The industry wouldn’t be running scared toward any new tech that comes along that MIGHT produce revenue, We would actually be promoting ourselves. We would actually be concerned about CONTENT instead of COST CUTTING. I’ve been a consultant for 20 years. In that time my primary focus has been on helping clients improve their product and get better ratings. I’ve also been a champion of forming an emotional bond with the listener to insure against cume degradation when the inevitable changes happen in the market or at the station. I’ve also participated in countless brainstorming sessions to create promotional ideas for not only the programming side of the aisle, but for sales as well. Our experience taught us that great ideas make money for the station and the client. I had a conversation with a client this morning that exemplifies the problem Radio is facing today, however. This particular client has enjoyed a 35% rating increase over the past 18 months. Hard work and creativity has paid off in Arbitron. The problem: It’s not paying off on the bottom line. The reason: No matter how great the idea, or what the ratings are, the client community just isn’t spending. The topic we discussed this morning was typical of the problem. For the first time in no one can remember how long the station will not be promotionally involved with their city’s popular NFL team this year. No one in the client community was willing to step up to take part. Without promotional support, the station could not commit. What should have been a slam dunk became a string of slammed doors. The station missed out on the revenue and the good will associated with being involved with the team. One more “localism” opportunity missed. The good news for us is, at some point businesses will have to market themselves to stay in business. When that happens they will likely use the media that has captured their attention and gotten them excited. Read more at: http://glascomedia.com/