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How long can a station survive with reduced ad revenue?

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Lately I have heard an increasing number of network promos and PSA's instead of commercials on almost all of the major AM locals. I used to hear them only late at night on WOAI during C2CAM, during the day on KTKR on the Jim Rome show and all of the time on the ESPN local. Now they are even on KTSA, as early as 7PM. I recall that in the recent past, KTSA seemed like 50 minutes of commercials and 2 minutes of programming, but not anymore. I assume that the PSA's and promos are used to plug holes in the programs where local commercials are supposed to go and that they don't bring in any money. So how long can a station survive if they can't sell as many ads as they used to?
 
That's a cold, hard, question. The obvious answer comes from our friends over at the newspapers!

I'd think that it depends on each individual station's financial position at the front of what looks to be this long, cold, recession. Those who are newly-purchased may be on the hot seat to produce revenue right now! The old-timers and those with big groups behind them may be able to weather the storm. You might keep an eye on what stations come on the market in about 90 days...those will probably be the weakest sisters, depending upon each individual situation.
 
The better subject line here would be "How long can a station's staff survive with reduced ad revenue?"

With the flip of a switch a station can go 100% syndicated, either music or talk. It can be done overnight with one computer. It can be set-up and ready to go while the staff is all huddled in the conference room for one of those mandatory meetings.

The station will find a way to survive. The people will not.
 
not in the radio biz, (i work for an unnamed satellite provider) :D, but i believe hearing about stations dumping all "inventory" when it comes to commercials at the end of the year, listening to the AM stations in Houston, i find by listening that this must be true...
 
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