Does this make any sense?

[aaronread]

NPR stations are typically great content providers, especially for baby boomers and the 35+ crowd, but these stations face the same problems that plague commercial radio stations. The local NPR stations seem to be working feverishly to plan ahead and develope new programming. But for the most part, their content does not appeal to listeners under 35 and for all intents and purposes, it's FREE.

For a generation brought up on free file sharing, free music and free content derived from a hundred thousand websites, the question for NPR and Public Radio remains, "how do we monetize this?"

These are very valid concerns, ones for which NPR doesn't have a firm answer yet. At least not that I'm aware of. Although I'd argue that the free model of public radio has dovetailed much better into the "free content" mindset of the web generation than most commercial content models like CD and DVD sales.

But one ace in the hole that NPR has, and has always had, is that society doesn't change as much as you might think. To put it another way, NPR's never needed to reach out to the under-35 crowd because that crowd has consistently sought out NPR as they get older. After all, the rebellious twenty-something punk with an earring and an iPod today is the balding, mortgage-holding, two-kids-and-a-dog parent with an IRA in when they get to be thirty- or forty-something. When your lifestyle changes like that, it tends to change you in ways that drive you to like NPR.

Personally, I'm not TOO worried about attracting the youth market. I'm MORE worried about how radio relies so heavily on in-car listening because portable internet hasn't made too much inroads there. Eventually that's going to change; it already has to some degree thanks to the iPod and iPhone, but it could change a lot more.

 

[JustPastBuffalo]

Today's (11/18/09) Taylor On Radio news letter notes a Walrus Research study that addresses some of the issues discussed in this thread. Interesting reading. And timely.

From Taylor on Radio:

“The Aging Audience” of public radio is the newest study from Walrus Research. George Bailey (a T-R-I reader) says listening for public radio “has long been dominated by highly-educated baby boomers”, and that Garrison Keillor’s observation about seeing more gray heads in the Prairie Home Companion live audience is right-on. That carries some implications. George is kind enough to share the results of his study of three groups of stations - #1, NPR News-based stations, #2, non-commercial jazz outlets, and #3, non-com classical stations. His “Life stage NPR News” graph covers the years 1997-2009 and shows the median age of the audience getting older, from 46 to 52. The percentage of those employed is getting smaller. (“For NPR News station listeners, retirement is top of mind.”) For Life Stage Jazz, the median age is up from 45 to 55, and 23% of those in the audience are 60+ and not employed. For Life Stage Classical, the median age has gone from 56 to 65. Bailey suggests “the end of employment may have an impact on their willingness to contribute money.” There’s another set of graphs, ranking “core and loyalty.” NPR News-based stations have grown their percentage of “core listeners” (think P1 for commercial stations) since 1997. They’ve also grown the number of listeners. But for jazz stations, 2009 brought “a crash in loyalty.” Plenty to think about, including the impact of PPM, for public radio management and listeners. Check out the easy-to-read Walrus Research study.

 

[Element9]

With so many radio people trumpeting the-web-as-savior, it might be wise to consider who and what's being listened to by Internet listeners.

Pandora becomes top webcaster.
The pureplay webcaster, which allows registered users to create their own online stations, blew past CBS Radio and every other terrestrial broadcasting in Ando Media’s October domestic ranker. Web-only operators had nearly twice the growth rate of radio stations last month.

In all likelihood, it isn't that Soft Rock Favorites station in Phoenix. And even if it is, what does it matter to the local advertiser whose commercial was heard by the 48 year old woman in Philadelphia listening at work?

 

[SirRoxalot]

Be careful about statements like "twice the growth rate". Radio & TV stations tout "fastest growing" and "twice the growth rate" when they go from 0 to a 1-share, or a .5 share to a .75 share. The fact that radio listening is growing at all is amazing if it's really true, and not just PPM picking up background noise and not actual listening.

 

[Bob1370]

"George Bailey (a T-R-I reader) says listening for public radio “has long been dominated by highly-educated baby boomers”, and that Garrison Keillor’s observation about seeing more gray heads in the Prairie Home Companion live audience is right-on."

But the PHC audience isn't the universe of NPR listeners, or even the predominant audience now--most of them are information consumers in the middle of their working life, especially for the stations where information and public issue discussion are the core program elements in the schedule rather than music. When you're information-heavy, you're going after a constantly changing group of people, bunched in the 35-64 demos. You'll hold your place in that demo range as long as you keep responding to that demo's concerns. Keep them informed, keep them engaged, keep them in touch...and you'll keep them in your corner.

 

[The Voice of Reason]

These commercial radio critics need to spend a week in the non-commercial world, and learn what it's like to program with no budget.

There are two sides here.

Take into consideration that commercial stations are not subsidized by federal and state tax dollars as non-commercial stations are; nor do they receive grants from charitable organizations. Also non-commercial stations have had the ability for the past few years to feature "underwriting credits" which is tantamount to commercials without the background jingles.

So if one adds up the revenue generated by underwriting, tax dollars, pledge drives and grants, there are some non-commercial stations that have budgets totaling more than some commercial radio stations.

My profession allows me to visit and do business with both commercial and non-commercial operations, and I've seen some pretty expensive studios and equipment at some non-commercial stations versus their commercial counterparts.

As for the pay scale between commercial versus non-commercial, also take into consideration that not everyone on commercial radio these days are pulling in the salaries that Wease and Lonsberry make. Also many commercial operations don’t offer a 403-B plan like some non-commercial stations offer.

So what we have here is a trade-off of sorts.

 

[Element9]

The salaries at public radio stations may be a bit thin ("may" being the operative word, because in some cases, they're not as thin as some might insist) but the TIA-CREF package and company contributions to it often make up for any salary shortcomings. In some cases, the public radio retirement benefits include lifetime health. You won't find perks like that from any commercial broadcaster. It's not a point of contention, simply a perspective.

 

[Bob1370]

"Take into consideration that commercial stations are not subsidized by federal and state tax dollars as non-commercial stations are;"

Neither are the noncomms, at least in the way people think. The state's shrunken share (down over 60 per cent since 1991) is earmarked largely for educational efforts for children on the TV side, and Uncle Sam is limiting his largesse to some major capital projects in various parts of the country, and provision of CPB grants for PBS network productions. If you've visited the studios built in stages over a 30 year period in Rochester, you're seeing am overwhelmingly privately funded facility. Same thing in Buffalo, IIRC. Operating money for radio? Private, from members who subscribe and businesses who buy underwriting.

And in terms of tax deductions, remember, businesses buying flights of :30s on any commercial radio station can and do deduct it 100 percent from their taxes as a business expense. Nothing wrong with that. Let's just acknowledge that the commercials and the noncomms have something in common that many folks forget--there is no BBC or CBC here. There isn't even a state-owned educational broadcasting system here like they have in some Southern states, Here, commercial and noncommercial stations alike all are essentially dependent on the local community's private citizens and businesses to voluntarily provide the money they need to keep going.