My young niece is crazy over Radio Disney. She listens to Disney’s AM outlet in Atlanta. A lot of her friends listen to Radio Disney on 590 AM. I know the Radio Disney operation is not “real” radio. It is a marketing tool for Disney and does not have to “sell” a great deal of commercials. The ratings are not great, but they have a very young loyal group of listeners, who do listen to AM in most cities. I believe there are only 2 or 3 FM outlets for Radio Disney. Disney has let some of their smaller market properties go in the past couple of years, but according to their web site they have been at it for 15 years. Disney is one of the top entertainment Companies in the World. Would Disney keep an operation that might have negative or very little positive cash flow going for 15 years in a shareholder / EBITDA environment, if it was just a marketing function? They could have sold this operation as part of the ABC Radio deal and took the cash and ran. They still could sell these stations to a “non profit” religious operator and score some cash. I will save someone some time and acknowledge that there are so many current “facts and statistics” that doom AM. That is not the point of this tread. I can’t figure out: what does Disney know or “see” in the future with a mostly AM operation that most of the industry doesn’t?
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Could Radio Disney “save” AM?
- Thread starter secondchoice
- Start date
C
cd637299
Guest
I'm not in the biz, so I can only say that I echo the OP. I really do not know the advantage of using AM radio for RD.
I live near Miami, and WMYM 990 (RD here, using IBOC), in my opinion, has the worst coverage of a 5000 watt station that I know of. From my home, I cannot even get the HD to lock. SOmetimes our local RD will appear at functions like sporting events, but I'm dumbfounded as to how they survive on AM.
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I live near Miami, and WMYM 990 (RD here, using IBOC), in my opinion, has the worst coverage of a 5000 watt station that I know of. From my home, I cannot even get the HD to lock. SOmetimes our local RD will appear at functions like sporting events, but I'm dumbfounded as to how they survive on AM.
cd
Interesting to see this discussion as I've started to notice how popular Radio Disney is with high school kids. They grew up with it and RD plays a lot of hits that are clean. Several students of mine have commented on how a lot of church-going kids listen instead of the local pop stations. There is a market for RD, although it would be better in the hands of a corporation that could be equal on kid-hits. For example: Miranda Cosgrove and Big Time Rush get few spins on RD because they are Nick artists.
The market has to be large and it needs to be on FM (like here in Indy), otherwise most kids won't find it. I have remarked on other threads before that I take a quick quiz of my intro to radio students and it's usually a very high percentage that have never listen to AM by choice or, increasingly, by accessibility. I see RD as a great HD2 channel for AC and HotAC stations to capitalize on the parent-child coalition or by pop stations as introductory pop (see KYDZ Las Vegas).
The market has to be large and it needs to be on FM (like here in Indy), otherwise most kids won't find it. I have remarked on other threads before that I take a quick quiz of my intro to radio students and it's usually a very high percentage that have never listen to AM by choice or, increasingly, by accessibility. I see RD as a great HD2 channel for AC and HotAC stations to capitalize on the parent-child coalition or by pop stations as introductory pop (see KYDZ Las Vegas).
secondchoice said:
Based on what goes on nationwide, she may be the only listener to RD on AM.
I think the accountants at Disney finally uncovered an expense that can be eliminated. Talk about low-hanging fruit! Disney doesn't benefit promotionally or otherwise from owning or operating a bunch of derelict AM stations. As someone else here mentioned, time to see if some naive local with more money than common sense would buy a station market-by-market, or just shut them off.
R.I.P
Most people probably don't even know an AM station exists. Last fall when I told a friend of mine Radio Disney was going off the air he told me his 8 year old daughter would be upset. I told him - "You're probably the only one listening to AM 1550." He said "AM 1550? We listen on the satellite in the Envoy". - Apparently either XM or Sirius offers Radio Disney to subscribers, which I was not aware of. (Yes I know they merged, but I don't know what service he has in his Envoy).
At least based on my experience with my 7-year-old daughter, Disney gets it. It's not about the platform, it's about the content, and if the content is on target, the target audience will seek it out, regardless of platform.
When Radio Disney started in the mid-90s, AM radio was an inexpensive way for Disney to make that content available in 50 or so of the larger markets around the country. As new platforms have become available - satellite radio, streaming and now mobile apps - Disney has migrated Radio Disney to those platforms, and it's only natural that it's backing off on its use of AM radio now that it has other platforms that are cheaper and better aimed at its target.
But having said that: if Radio Disney were available on AM in my market (it's not, and never has been), I have no doubt that its target consumer in my household would find it on AM radio, perhaps with a little help from her dad. If she was persistent enough to get me to put the Radio Disney app on my phone (and she was), she's persistent enough to find an AM radio station aimed at her, if one existed.
When Radio Disney started in the mid-90s, AM radio was an inexpensive way for Disney to make that content available in 50 or so of the larger markets around the country. As new platforms have become available - satellite radio, streaming and now mobile apps - Disney has migrated Radio Disney to those platforms, and it's only natural that it's backing off on its use of AM radio now that it has other platforms that are cheaper and better aimed at its target.
But having said that: if Radio Disney were available on AM in my market (it's not, and never has been), I have no doubt that its target consumer in my household would find it on AM radio, perhaps with a little help from her dad. If she was persistent enough to get me to put the Radio Disney app on my phone (and she was), she's persistent enough to find an AM radio station aimed at her, if one existed.
RD has been on FM in Central Arkansas (KDIS 99.5) since Labor Day weekend 2003. It was on 1380AM from 1999-2003 previously.
Radio Disney is a loss leader for Disney. They want to keep the Disney brand at the top of children's minds. By aiming advertising directly at kids, they beg their parents to buy something. It's hard for parents to say no. Radio Disney might be getting great ratings in the 12- demographic, but kids have no money except what's in their piggy banks, their average income is $5 a week.
Having worked for them for 7 years since they started (yes, I was there at the beginning), I can tell you they understand something most radio formats do not. Marketing is everything and cross marketing is better! Radio Disney exists to promote everything else that the company does. Sure they sell ads but it's not about that. Never has been. Sure they exist on AM bands but there's a simple reason. Kids are not, for the most part, interested in radio SOUND QUALITY! They want content. They may market towards the 9-14 year old but they emphasize family values overall. In doing so, parents feel comfortable letting their kids listen to RD. As a result, the kids hear on the radio what is happening on TV, or in the movies, or whatever else Disney wants to promote and they bug their parents until they get what they want. That is how children primarily operate and, because parents nowadays are generally soft on the discipline issue, the kids get the Disney stuff.
Radio Disney, in my opinion, is probably one of the greatest cross-marketing tools ever designed. Disney doesn't care that it's on crappy AM signals. They sell based on the number of people that COULD listen in a market. Ratings do not exist. They sell remotes. Appearance packages where their promo folks can get in front of people. That is where they succeed. Does it make money? Probably not much, if at all. But, for the hundreds of other Disney projects, it's a gold mine.
Radio Disney, in my opinion, is probably one of the greatest cross-marketing tools ever designed. Disney doesn't care that it's on crappy AM signals. They sell based on the number of people that COULD listen in a market. Ratings do not exist. They sell remotes. Appearance packages where their promo folks can get in front of people. That is where they succeed. Does it make money? Probably not much, if at all. But, for the hundreds of other Disney projects, it's a gold mine.
Surfer said:
How many of those kids listen to the AM stations, as compared to satellite or online listening? I do think there is a reason why they've been selling or shutting down several of their AMs - the high cost of running an AM transmitter (especially the 50 kW-ers in NY, LA, and Phoenix) just doesn't add up. Does the promotional value really make up for those costs?
KeithE4 said:
Big markets is where RD can be successful, IMO. Here's a thought that I wouldn't have ever imagined until becoming a parent: think of all the babysitters, daycares and soccer moms providing care all day with children that need to be entertained in a content-intensive presentation. Thats a lot of adults and kids listening for long stretches of time in places (car, work, school, daycare, etc) that streaming is discouraged or unavailable.
butlerguy03 said:
Your points have already been pretty well proven wrong.
* Radio Disney has been in large markets for years, and hardly (if at all) ever shown up in measurement, including diary. Someone in the business office at Disney has finally visited the budget line that includes RD. Believe me, it takes time to unwind something that involves broadcast licenses, unlike shutting down money pits like mall Disney stores. Kids don't listen to AM, unless babysitting grandpa who used to work in radio makes them. Satellite or IPods is a better home for something like RD, even then the penetration into the market is tiny.
* AM suffers more than ever from noise and lack of reception inside buildings. To assume in-building listening would benefit from being on AM, is without merit. FM? Perhaps, but why would Disney go out these days and pay for an expensive FM signal in a major market for "promotional value" alone?
From what I see in Indy, they make an effort for visibility with billboards, etc. Then again, it's a city grade FM.
C
cd637299
Guest
If not for remotes, RD (AM 990) in Miami would be nonexistent. Horrible signal for 5000 watts!
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