The majority of the "play all the oldies" people are probably in their 50s and 60s and no longer part of the "target audience" of a classic-hits station. David seems to have access to all kinds of research, so maybe he can answer: Over the past three decades, has there been a drop in the percentage of 50-year-olds and 60-year-olds who listen to AM/FM radio? Have older people migrated to Internet radio and satellite radio? Or, perhaps, have many of them quit listening to music altogether?
Just anecdotally, both my parents, who are pushing 70, should theoretically have been fans of Oldies radio. They have original vinyl Beatles albums from 64, can talk about hearing Satisfaction as a new song on the radio, and later migrated to FM rock, as reflected in Santana, Jefferson Airplane, Don McClean, and ELO albums in their collection. (Well, the records in the attic. What they actually listen to are mp3s.)
Do they listen to the radio? As a kid, I heard Boston's WBZ AM constantly, top 40 WRKO, FM Soft Rock WJIB, classical WCRB... everything... Today? Never, not even when KRTH really did play Oldies. (They moved out here 15 years ago to escape the cold.) Radio is totally boring to them; it's not even on their radar. In the house, they don't even
have radios, and in the car, it's NPR, maybe the Wave back when it was truly "The Wave."
The dirty secret of radio "ratings" is that all the people wearing the meters are pre-screened. I know because I was asked once. They first find out if you listen regularly. If you don't, they move on. If you do, they move in and try to slap a meter on you. That means they're only sampling people who a) actively listen, and b) are responsible enough to wear and recharge nightly their meters. The true story of radio is that very few people are listening anymore.
The only people I know who are passionate about radio are, surprisingly, children. They love AMP and KIIS....with a few renegades who like 98.7. Those of you with kids know what I'm talking about. For anyone over 20, though, radio is more of a background music thing at this point.