Labels Say: "No Payola"

[TheBigA]

There you have it. The FCC asked the major labels if there's a payola problem, and the labels say "no."

http://www.insideradio.com/free/big...cle_84ebf6be-95ad-11ea-bddf-cfc443dcea82.html

The question was asked after Rolling Stone, a magazine that gets loads of money from record labels, said that payola has resurfaced in radio. They had no real proof. Just some quotes from unnamed sources.

Actually if you read the responses from the labels, they are very well written. Had I been at a label, and the FCC asked me this question, I would not have been as diplomatic.

 

[davideduardo]

The question was asked after Rolling Stone, a magazine that gets loads of money from record labels, said that payola has resurfaced in radio. They had no real proof. Just some quotes from unnamed sources..

They just want more money for themselves.

The fact is that record labels have significantly reduced their support for radio... whether it be artist participation in station concerts, give-away items and even interviews.

At best, in a major market, you may get a free lunch or some concert tickets to give away. And even the concert aspect is reduced since the labels have less participation in events now.

Promotion staff dealing with radio is reduced in many music genres to almost zero.

The focus is on trend-setting and generating downloads (less) and online plays (more). A few format-specific promoters do "take care" of radio, such as country, regional Mexican and Urban. But that is very limited compared to fifteen to twenty years ago.

And a PD in a major market with a nice 6-figure income is not going to to jeopardize that in this era for a favor. And, of course, the Colombian Snow era of the 80's is long gone... along with the Coke-o-Grams to stations in Bakersfield.

And, finally, a lot of this has to do with almost all of the major stations being part of large groups where there are internal controls and checking of playlists. Add in the ability to see what each station plays, even in off hours, via BDS and MediaBase, and it's hard to play a $ong anymore.

 

[TheBigA]

The fact is that record labels have significantly reduced their support for radio...

Depends on the format. As we've discussed, label support for the rock formats is almost non-existent, not just for radio but also for the artists themselves.

But in pop, country, and urban, there are still pretty active promo departments.

Last time I asked, the promo budget for a major country single can be as high as $1 million. That covers a lot of expenses on the artist side, such as travel to appear on GMA or ticket give-aways for a tour. Labels have developed "artist services" departments.

But yes, it's a lot cheaper to offer free concert tickets than a pound of cocaine.

 

[davideduardo]

Depends on the format. As we've discussed, label support for the rock formats is almost non-existent, not just for radio but also for the artists themselves.

But in pop, country, and urban, there are still pretty active promo departments.

Last time I asked, the promo budget for a major country single can be as high as $1 million. That covers a lot of expenses on the artist side, such as travel to appear on GMA or ticket give-aways for a tour. Labels have developed "artist services" departments.

But yes, it's a lot cheaper to offer free concert tickets than a pound of cocaine.

And a Colombian Caress has gone up in price, so tickets are much better. Stations can give them away on the air, but they can't do the Z-109 "CokeCall" to the 10th caller.

Most of the promotion budgets are not for radio specifically.

And lots of good stations limit the contact with labels. I'm always reminded of the phone message from the PD of a huge LA rhythmic station: "Leave a message after the tone. If you are a record promoter, you can hang up now."