Country Format Billing

[wadio]

I really am jealous of all these people who are able to enjoy satellite radio, I wish that I could too.
There's some very good channels that play some amazing music I love that will never be heard on ota radio.
For me personally I can't deal with the sound quality, some great sound systems like Cadillac do all that they can to make it as good as possible but for me it doesn't work. Obviously I can't listen to many streaming options either.
The talk programming is fine.

When I first bought my Jeep with SXM I thought the same thing and told people how horrible it was. But after awhile I got used to it. I think our brains adjust to different kinds of sound.

 

[davideduardo]

But those are people who are NOT hearing ads on broadcast radio.

So? Electronic media ads are priced based on reach. You don't, as an advertiser, pay for what you don't get.

Advertisers like the fact that radio reaches 85% of adults weekly. But they don't make a buy on every station, just the top ones in their target demos. So they don't even care that radio reaches 85% of all adults; they care that they get a good price to reach a big number of their potential clients. It's been that way for nearly a century now.

 

[davideduardo]

When I first bought my Jeep with SXM I thought the same thing and told people how horrible it was. But after awhile I got used to it. I think our brains adjust to different kinds of sound.

Since my car now has CarPlay, I just have to find which sources I like and make a "push button" on the screen for them. Out of a hundred or so satellite channels, I only had five or six I listened to regularly. So I only have to find a couple of replacements and then I can kiss satellite goodbye.

 

[Barry]

I believe that it is still the case that some cars use the Sirius system, while others utilize the XM system (even though most of the channels which are broadcast are the same).
I find that the XM audio is far superior to that of Sirius.

 

[Kelly A]

Forgot to mention another kind of ad that I've heard on SiriusXM's talk and news channels, though not sports: Ads from trucking companies, recruiting drivers. Not sure whether these make more money for SXM than the get-out-of-your-timeshare pitches, but at least there's no hyperbole involved in them, and what's being advertised is exactly what the product is: trucking jobs.

Of course it makes money. They're spots.

 

[wadio]

So? Electronic media ads are priced based on reach. You don't, as an advertiser, pay for what you don't get.

Advertisers like the fact that radio reaches 85% of adults weekly. But they don't make a buy on every station, just the top ones in their target demos. So they don't even care that radio reaches 85% of all adults; they care that they get a good price to reach a big number of their potential clients. It's been that way for nearly a century now.

Yeah, I get your point. But a century ago radio had no competition. That's what I was driving at. But I don't know for sure, I wasn't there.

 

[davideduardo]

Yeah, I get your point. But a century ago radio had no competition. That's what I was driving at. But I don't know for sure, I wasn't there.

Wrong.

In the earliest days of radio, stations were put on the air by radio set makers, insurance companies, newspapers, car dealers, chiropractic schools, agricultural supply dealers, department stores, colleges and the like. They were promotions for that business or entity that built them, and it took a number of years for them to "discover" that they could also sell ads, like a newspaper does, to other businesses.

Then, suddenly, the newspapers that did not have stations decided that they saw in radio an ad revenue competitor. Some bought stations and tried to keep the revenue in-house or to restrict revenue going to other stations.

When my stepfather's family's newspaper sold their radio station in the later 1950's, he thought that since "radio is dead, we don't have to have a station to protect our revenue". He discouraged me from going into the business because "TV had killed it". Right.

So "competition" is a relative term. In my case, the Cleveland Plain Dealer saw radio as a definite threat and competitor, so from radio's perspective, newspapers and magazines were definite competition. Papers would be radio's biggest local competitor for four decades. And then TV would take take that role.

Radio had competition since amplitude modulation was used for public broadcasts. In fact, radio was a newcomer to the fight for ad budgets. Read issues of Advertising & Selling at www.worldradiohistory.com and you will see how it took more than half a decade for the ad community to even take it into account.

 

[wadio]

Wrong.

In the earliest days of radio, stations were put on the air by radio set makers, insurance companies, newspapers, car dealers, chiropractic schools, agricultural supply dealers, department stores, colleges and the like. They were promotions for that business or entity that built them, and it took a number of years for them to "discover" that they could also sell ads, like a newspaper does, to other businesses.

Then, suddenly, the newspapers that did not have stations decided that they saw in radio an ad revenue competitor. Some bought stations and tried to keep the revenue in-house or to restrict revenue going to other stations.

When my stepfather's family's newspaper sold their radio station in the later 1950's, he thought that since "radio is dead, we don't have to have a station to protect our revenue". He discouraged me from going into the business because "TV had killed it". Right.

So "competition" is a relative term. In my case, the Cleveland Plain Dealer saw radio as a definite threat and competitor, so from radio's perspective, newspapers and magazines were definite competition. Papers would be radio's biggest local competitor for four decades. And then TV would take take that role.

Radio had competition since amplitude modulation was used for public broadcasts. In fact, radio was a newcomer to the fight for ad budgets. Read issues of Advertising & Selling at www.worldradiohistory.com and you will see how it took more than half a decade for the ad community to even take it into account.

I should have said, no electronic competition. Print is a separate issue, IMO. Today, "radio" needs to complete with all kinds of alternative content: satellite, podcasts, YouTube and everything else that can be accessed on a smartphone. And they have the ability to micro-target the advertisers' audience in a way that broadcast radio cannot.

 

[TheBigA]

And they have the ability to micro-target the advertisers' audience in a way that broadcast radio cannot.

Which is why a lot of the bigger radio companies are getting in that business.

 

[wadio]

Which is why a lot of the bigger radio companies are getting in that business.

True.

 

[TheBigA]

Katie & Company, heard in NY on WXBK-HD2, is now originating from Nashville. After WNSH flipped, Katie moved to Nashville. A year ago Audacy announced a partnership with the Nashville Hard Rock Cafe, and according to this interview with Katie, they'll be opening a radio studio there:

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