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LPFM Successes

I am in the process of weighing my options for a LPFM in the upcoming filing window. I have always been a big supporter of community radio as I understand the direct impact and benefits it can bring to a small market. One of my biggest concerns is whether the station being non commercial and having a low power can make any money. I am by no means looking to get rich from this endeavor. Personally, my love of radio and the benefits I can give the community is a huge compensation for me. I would, however, be devoting a ton of time to this and would like to see the station support itself and even give me some sort of salary for time spent in the business. Do any of you know LPFMs that are profitable enough to be self sufficient and pay the salary or salaries of the employees. I've reached out to a few low power stations for feedback but many of them have had little success or are digging into their own pockets to keep the lights on and bills paid. I have even talked to a couple of operators that are very tight-lipped about their stations and will not share any feedback. It would be nice to hear some stories or feedback from some operators that are doing well and can share some feedback. Some of the other threads on this board have contained great information on station failures. Maybe someone can speak to the successes......
 
It is very possible to have a successful LPFM station, but it is a long process. Don't count on instant success, and don't quit your day job. I operated one for 8 years and managed to flip it into a commercial station, which is doing fine. From the point of view of initial start up cost, very low overhead and inexpensive music licensing costs, LPFM is quite a bargain. When we went commercial, my costs went up by nearly a factor of 10. The downside of LPFM is it simply doesn't cover enough area to be commercially viable, unless you get very lucky. If you can put it in a heavily populated area, you stand a much better chance of success. If you can acquire the use of a translator or two, that will help increase your listener base.

If you are going to get into LPFM, you need to think of success in terms other than money. Doing something good for your community can be it's own reward. Most successful LPFM stations are a labor of love. As was pointed out, WZPH is a very successful station that is loved by its community. But I'm quite sure it's owner has never taken a dime. In fact, I'm pretty sure, if it were not for his dedication and financial support, WZPH wouldn't exist.

If you go into this realizing that "LPFM" stands for "Low Power - Forget Money," you won't be disappointed.
 
R@D2onthe air, Please pay attention to Chuck's comments, he seems to be very knowlegable about this animal we call LPFM. While I don't have any experience with LPFM, I have done quite a bit of research and was interested in filing an application at one time. The more I looked at LPFM, the more I realized that it would be extremely difficult to earn enough to justify the amount of time and money I would need to develop a format which would serve the community the way I think it should be done. I'm sure there are some stations supported by schools or religious organization which may employ two or three with a minimal salary. But the downside of an arrangement like that would be not actually serving the local community but being the voice of the organization which supports the station. My vision for LPFM would actually be serving the community. Giving news, psa's information, music, etc. not being offered by commercal stations and not being restricted by a specific view point. And the station would offer an opprtunity for those local voices and views not usually heard. The station shouldn't be a juke box, because there's so many outlets providing music not heard on mainstream media. Bottom line, the programming should be LOCAL and focused on the LOCAL COMMUNITY. Hope I'm being clear. And please remember, this is only my opinion on what I think LPFM should and could be.

Here in central NC we have several LPFM stations and most seem to be religious or jukeboxes. And it seems most have technical problems, ie, low modulation, terrible audo, etc. One station I have been impressed with is WCOM-LP in Carrboro/Chapel Hill. http://wcomfm.org I haven't listened that much, but the times I've been able to pick them up, I was impressed. And looking at their website it seems as if they are attempting to do what I think a community station should be doing. While I don't agree with some of their views, I do commend them for serving their community and actually doing something with LPFM. Good luck with your project!
 
Excellent points so far on Low Power FM.

From what I have learned, it seems Low Power FM works best when the station is in a high population density area or in an unserved community with little over the air competition.

As for high density population areas, the station needs to offer something the other stations do not. Certainly one does not want to go with 'Your Death Metal Station' or 'All Gregorian Chant all the time'. The trick is to find a format that will target a slice of the listening area with a format now found on the dial. There are a few spots where centering on a specific community might be in order because of the identity factor (a town with a strong identity and feeling of being separate from the area towns).

In small towns without a station, I think the minimal coverage of LPFM can work well. Think along the lines of the small town newspaper. You have to be the 'heart beat' of the community and be a mover and shaker in town, playing what the town wants to hear and being a very local station. Being local means really staying up on what is happening now to the point the music is the filler between the events.

Then, let's not forget, you have to bring in the cash along with the community support. You will have operating expenses and chances are you'll need a way to devote the time to do the station and community right. Earning a paycheck really cuts in on the amount of time you can volunteer, so you need to aim for trying to generate enough income to pull everything off.

Income is almost always the thorn in LPFM's side. Sales has to happen. And not all sales are good. Here's what I mean: There is no way around sales. You will have to do it. Money will not just show up at your door. Doing sales is sort of like being the new kid at a school. Nobody knows you, so nobody talks to you. Then the bad kids welcome you into their fold and it feels pretty good until you figure out they're the ones you don't want to associate with. In time, everybody accepts you and you have your circle of friends.

My warning here is when you start selling the LPFM, you have to toss out the bad eggs and wait for the cream to rise. The ones that don't pay their bills or try to do something shady will likely be the first to say yes. The good clients sit back, size you up and learn to trust you before saying yes. Wait for the good ones and never do anything that seems to be shady or underhanded just because you need that sale yesterday. If it doesn't feel right, wait, the good clients are not far away.
 
There is great hype regarding LPFMs by radio enthusiasts but the reality is that the overwhelming majority are not successful, financially.

The number of LFPMs that turn in their license back to the FCC continues to grow.

If a church is backing it, then it can succeed in the sense that the church will pay the bills but stand alones are far and few in between. The church LPFMs will manage to stay on the air and some in the congregation will listen but those attending other churches will probably not listen as these type of LPFMs seem to have their pastor on the radio every couple of hours a day. In almost all cases he is the only local pastor that you will hear. I can understand this as the ministry wants to grow its ministry rather than another church but in that same way you become isolated.

The biggest obstacle LPFMs must contend with is the fact they must be non-commercial and the fact the coverage reach is extremely limited. 100 watts ERP is not going to cover enough ground even in a populated area. Leasing a translator or two will help but you're still going to have difficulties based on the fact that you are a noncomm.

Years ago it was much easier to succeed in LPFM as radio and television were king. Now listeners/viewers have a plethora of different forms of media to choose from.

If you are going to start an LPFM, you need to sound as good as the other stations in your area. If you and your volunteers don't have "radio voices", people aren't going to tune in. You also need professional imaging, and the guys/gals that do the underwriting spots needs to sound professional.

Also, don't depend on volunteers working out. Most young people today don't have affinity for radio as they did years ago. They'll help out a little bit but if a job, a date, or sporting event conflicts with this unpaid gig, they won't show up and probably won't even call.

You will have to hire real air talent, an engineer and pay your sales people generously. If you do generate a following , expect calls in the middle of the night when your station goes down due to a power outtage, transmitter shut down or other unusual event. TO succeed, you have to work long hours and still financial stability is no guarantee.

If you're thinking about starting an LPFM to use as a voice for your political causes, activism, etc....... don't! People that disagree with you aren't going to listen and people that agree with you are going to listen to the nationally syndicated programming as opposed to your voice. Sure, you're friends will tell you they all listen but the truth is, most won't listen. Maybe your mom and dad, your girl friend and best friends will tune in a couple times to appease you. If you're intent on political talk just buy some time on a local AM station. It's a lot cheaper and you won't run out of things to say if you are on the radio for just one hour a week.

You have to out in the community and getting your voice heard by businesses owners, civic leaders, religious leaders &
municipalities. Even then it's going to take a mountain of your time and effort to eek out an existence.

The station mentioned in the post is a success story I know the original owner, a radio guy. He worked hard to make it successful.

If you're will to work 60 - 80 hours per week you're likely to be more successful. Running it part-time will only make you discouraged and give up.
 
Josh and Chuck and Bturner and others can tell you a lot of things that won't work in LPFM. Since our parents are no longer alive, my wife and I do not travel across country to see them anymore so the number of road trips is near zero. But my experience in whatching what is going on where I live, and what I have listened to through the years tells me that there are a lot of small commercial stations that don't have their act together, don't have much of an audience, and sometimes are almost impossible to sell when the owner wants out.

I think each of the contributors to the conversation is in agreement that LPFM is a very thin revenue-generating vehicle in most cases.

In previous windows the restrictions made it almost impossible to get an LPFM in metro markets so we have little "track record" of stations that carve out a niche within a big city. (That was the dream which was sold to Congress and the FCC. Unserved ethinic neighborhoods are ignored by mainstream broadcasters.) If you told me you wanted to start a station to serve a micro-community within a large metro area, I would be hard pressed to find 3 or 4 example stations that you would want to go visit, or call on the phone for advice.

If you go into a Southern or Midwestern rural county-seat type market that is small and has no commercial station in town, you would think that should be a "sure winner". When you sift through all the websites and all the literature and all the support groups that seem to be in support of LPFM station development, you are probably going to see the same thing I see: A by-the-book LPFM will have a Liberal bent about it. Several of the stations that seem to be thriving will tell you: Our success is because we are a bunch of old hippies left over from the Vietnam era, and we do what we like doing.

If you go into a Southern or Midwestern rural county-seat type market and follow the pattern of "we are a bunch of old hippies left over from the Vietname era...." you need to think your way through that. If you are expecting "the listening public" to support your station with fund-drive contributions, or merchants to buy endorsement-style advertising... will that fly if you community thinks your station may have a bit of a liberal smell about it.

If your LPFM is going to make sure that doesn't become your image, will the middle-of-the-road folks in your community buy-in if your station has a Tea-party/Right-wing smell about it?

There are several directions you can try to take, but you better understand all the benefits and all the downsides of whatever direction you decide to take, and be prepared to defend whatever you are doing and programming in such a way that your explanation offends the smallest number of people possible.
 
The first thing an LP-FM needs to do is research the area right around its transmitter, find out what the people there would want from such a station. Then, give it to them.

Make calls to about 100 households in the area...that's more than enough to get you a good gauge of the people who can listen to the station.

Then, make your station sound as professional as possible. Make and have a format. Don't try and reinvent radio. You will, of necessity, have newbies and amateurs on the air and no problem with that. But work with these folks by critiquing them to get them better. You can find cost-effective ways at getting station imaging and jingles that don't cost you thousands. Perhaps there's a radio or TV station in a nearby city with an announcer you can pay $50 to $100 bucks to and have he or she read two pages of liner and I.D. copy.

Don't be the "anti-radio". There's a reason the commercial guys do what they do...what do you know that they don't? Many of these companies spend hundreds of thousands of dollars on research every year. Just because you have a "hunch" that programming your station 180 degrees the opposite of "corporate radio" will bring thousands to your station doesn't make it so. In fact, it makes many LP-FM's fail.

Lastly, serve your local community. Do at least one or two local newscasts a day. I do weekly summaries of local news (there's hardly enough news to do a "daily" newscast in the community of the LP I program). 3 summaries can run in rotation Mon-Friday...and you only have to update if a story has substantially changed. But, if you take the time to do one or two interviews a week, you can have local news content that is yours and feed in the other local news around it. You don't have to make these big casts either...2 minutes or less is fine.

Still...update your station daily with weather and civic updates. More often if needed. BE the station that tells when the big storm will hit, while the commercial stations nearby are automated and are playing "12 great songs in a row" every hour. Your LP will probably be run by computer, too. But, keep vigilance on updating your programming, and your station can sound more live than the big guys.

Just a few thoughts.
 
One way to get music, and thereby a format, is to feature local and regional bands. This worked well for us at WRSG, as our closest studio is located in "Sounds Incredible" in New Martinsville, WV). Bluegrass music that was recorded there became part of our Saturday/Sunday playlists.

Find the closest recording studio that services a larger area to get the maximum number of groups (our next closest is Sweetsong, outside of Parkersburg, WV), meet the owner and ask permission to post a flyer saying that you'll broadcast their music. An on-air nod to the studio certainly wouldn't hurt. Google the bands in your state, and you may be surprised by the feedback. You could similarly reach out to other studios with the same offer.

Talk to local churches...they may want to sponor free religious programming readily available, as long as you have high-speed internet access. Perhaps a local coffeehouse would sponsor some eclectic programming, also readily available, as we also air it, along with FOUR hours of locally-produced programming exclusively for us. Talk to your local school-you MAY get students that need to earn community service hours to donate time.

Basically, roam your radio dial...DON'T duplicate anything you already hear. SERVICE the underserved. TALK TO PEOPLE, and REALLY listen to what they have to say! Get on FACEBOOK, use Twitter and any other social media to get feedback. Sponsor a 'radiothon' for your school's band and/or choir...we've done that...get the students benefitting from your generosity ON THE SHOW and let them contact their friends. We received a large donation from the relative of a participant located over 2,000 miles away (and NO, we do not stream).

In our area, with an older population, bluegrass is a favorite, generously funded by a local tire company.
 
Excellent Jason.

I'm a big fan of WIOE, an LPFM that streams. I must say they have the option to run a separate feed during breaks so the internet stream can stretch the underwriting rules, but if you take a visit (just Google WIOE) you'll hear a great example of a local station being the community.

Allow me to add a bit. First, support never knocks on your door. You have to sell it. You have to allow time for habits to change.

Second, streamline the operation. Simple and easy is always best. Make everything take as little time as you can. Remember, you will be wearing so many hats you'll need a nice collection of hat racks to hold them all. The more time you can give yourself to work on the most important things, the better.

Third, recognize your value. Don't give away everything. You should analyze the work you do to gain an underwriter, for example. If you have to stop by 8 times to get the deal, think about your time, gas, the time you spend getting the spot on the air, etc. If you sell them for $20, chances are you're willing to work for about $2 an hour. Also recognize you'll never sell out every hour of the day, so price yourself so you can make it if only 20% of your slots are sold.

Don't complicate things that eat your time. The faster you can do things the more time you have to devote to the most important things and the better your chances are you will not burn out.

Figure all this very precisely. People hate change. If you are changing things you will find it unpopular with listeners, underwriters and everyone else. It is better to err on the more than you need side rather than the less than you need side. If you think you need $40 from an underwriter, go at $50. You can always add a bit more value. This beats $20 any day when you discover you really need to double their rate. Or if it takes 2 hours to get the underwriter scheduled, you might want to figure how to whittle that down to 15 minutes instead. Imagine getting 5 underwriters to say yes in one day. For example, I'd rather craft a 10 to 12 second announcement than a 75 to 90 word 30 second one any day. I can write 5 ten second spots in the time it takes me to write 1 at 30 seconds.

This commentary, fragmented as it is, is to inspire you to have an efficient plan thst does not tax your time and makes your job easier while insuring you have enough revenue to keep the thing going.

As one GM once told me: you can always do more but you can never do less. His point is never run at 100%. Give it about 80% so you can always do a bit more when you have to. You never want to be at 100% and have to do more because you can't give more than 100%.

This post centered on the underswriter as an example. I did that because revenue is #1 on your list. Revenue is the gas that runs the engine that is your LPFM. No gas, it ain't gonna crank. Apply this to format, elements of programming, etc. Keep it really simple, easy and fast from point A through Z. You'll thank yourself if you do.
 
I agree and disagree with your thinking Greg.

Excellent point on local music. There is a strong Texas music base in Austin. Some Texas Hill Country stations have formats based on local/regional music. When some of your artists can be seen at local venues, you make a distinctive connection with the listener. Being next door to a hot spot for bluegrass...nab, I'd love that!

My disagreement, at least in a few instances, is on doing something not heard on the radio dial. That decision can be pretty scary. I tend to feel the service area of the LPFM station should be the total consideration. If they want country hits and there are 12 stations playing country, I'd still go with country if that's what the majority wanted. I do agree with your point in respect to realizing that to compete with the same format might just put you as the underdog that will never be as good as that station in the next town. Thus I agree and disagree. The best option is if a format that is not duplicated can be utilized but it better be a very close second choice in your LPFM service area.
 
Greg Goodfellow said:
One way to get music, and thereby a format, is to feature local and regional bands. This worked well for us at WRSG, as our closest studio is located in "Sounds Incredible" in New Martinsville, WV). Bluegrass music that was recorded there became part of our Saturday/Sunday playlists.

Find the closest recording studio that services a larger area to get the maximum number of groups (our next closest is Sweetsong, outside of Parkersburg, WV), meet the owner and ask permission to post a flyer saying that you'll broadcast their music. An on-air nod to the studio certainly wouldn't hurt. Google the bands in your state, and you may be surprised by the feedback. You could similarly reach out to other studios with the same offer.

Talk to local churches...they may want to sponor free religious programming readily available, as long as you have high-speed internet access. Perhaps a local coffeehouse would sponsor some eclectic programming, also readily available, as we also air it, along with FOUR hours of locally-produced programming exclusively for us. Talk to your local school-you MAY get students that need to earn community service hours to donate time.

Basically, roam your radio dial...DON'T duplicate anything you already hear. SERVICE the underserved. TALK TO PEOPLE, and REALLY listen to what they have to say! Get on FACEBOOK, use Twitter and any other social media to get feedback. Sponsor a 'radiothon' for your school's band and/or choir...we've done that...get the students benefitting from your generosity ON THE SHOW and let them contact their friends. We received a large donation from the relative of a participant located over 2,000 miles away (and NO, we do not stream).

In our area, with an older population, bluegrass is a favorite, generously funded by a local tire company.

Overall, some good thoughts there, Greg.

Our LP-FM is in a resort community with a lot of families in the summer, and adults in the winter. Most are in their 40's to 60's. So we do your basic oldies format, except, I've expanded it to be 50's to the 80's. It's a tight playlist, but a wide library (close to 1,400 titles). There's really few stations like it in the area...most of the big guys dropped oldies like a hot potato. We've grown from 12 to 90 plus underwriters in 3 years time and our renewal rate is growing, too. (That tells me somebody's listening, even though too few Arbitron diaries come into our home county from the nearest market for us to show up.)

We don't stream either, as much as we'd like to. But the average $2,000 a year cost for the broadband, licensing fees and so forth will take a generous benefactor we haven't found yet.
 
Jason, it sound like you are doing really well, a mass appeal format with a niche on top of it. That makes you mass appeal yet unique all at once. The big spelling of success is 90 underwriters. That's quite a feat in any market. There are not many LPFMs out there with a good marketing plan to go with their format. Keep up the great work!
 
B -

A lot of people (including many at Prometheus) think LP-FM's should be "alternative". While local areas may dictate that in some places, that is "one size fits all" thinking that I disagree with.

I have no issues with an LP that plays all local music, or gospel, or whatever. But the point should be: target the people who live near your transmitter. Do what THEY want you to do. Whatever that is...doing a format that few near the stick are interested in is a recipe for failure.

Now, what I'd like to see: is one of the U.S. news services to offer a radio service for LP-FM's at a reasonable price. (Or give it away in return for the LP airing underwriting-style messages from their sponsors! It could make potentially good "value added" for them down the road.) Yes, I know all about Feature Service News. It's ok as far as world news goes and they do throw a bone of a U.S. story in their casts now and then. And the price is OK, too. But, with the number of LP's sure to go up in the next year or two, it would be nice if a company in America would offer American LP-FM radio stations American news...
 
I wonder if anyone has asked any of the news networks about becominng an affiliate.

Here in Texas there are non-commercial stations that carry TSN (Texas State Network) News. They cover commercials with PSAs. I'm not sure of the arrangement. Maybe a state news network would be a good starting point.

FSN is a good news service and cheap but I've noticed a few things: casts are not always updated each hour; weekend casts are 'week in review' and I have heard from some casual listeners they felt it was a foreign news service due to the British accent. The accent was not a negative but the listeners did not feel it was 'their' (ie: American) news and thus didn't think of FSN in the same way they did Fox, CNN, ABC, NPR, etc. I love FSN's 30 second headlines for music intensive formats...just enough to update the listener.

I don't know if the LPFM is viewed as 'not radio' to the networks and syndicators. I heard a State Broadcasters Association denied an LPFM membership once but I don't know how entrenched that attitude might be. My feeling is most full power broadcasters consider LPFMs to be broadcasters like themselves but rather insignificant in the scheme of things.
 
Remember that all of the networks you mentioned who provide programming/news/sports/etc to their affilliates do so in exchange for their commercials being carried (cleared) on the station. I'm sure even NPR wants their underwriting mentions carried. Even the local state networks, at least the one I subcribe to, requires us to carry their content WITH their spots and only insert our spots in specific locations. Its a numbers game for the networks: more affilliates=more listeners=more revenue from their advertisers. If you take the advertisers out of the equation, whats in it for the networks?

Not sure how much FSN charges but I am sure the big boys would place a hefty price tag on their content IF they were inclined to get into the sales and billing business.
 
FSN is $15 per month.
 
Nostalgia said:
Remember that all of the networks you mentioned who provide programming/news/sports/etc to their affilliates do so in exchange for their commercials being carried (cleared) on the station. I'm sure even NPR wants their underwriting mentions carried. Even the local state networks, at least the one I subcribe to, requires us to carry their content WITH their spots and only insert our spots in specific locations. Its a numbers game for the networks: more affilliates=more listeners=more revenue from their advertisers. If you take the advertisers out of the equation, whats in it for the networks?

Not sure how much FSN charges but I am sure the big boys would place a hefty price tag on their content IF they were inclined to get into the sales and billing business.

I didn't mention any particular network. I can only see a plus side for the networks by adding more stations (albeit small ones) in areas where there is no station with the same service and allowing them to do underwriting messages for their advertisers. More impressions of a product or service is helpful to any advertiser - multiply times how many LP's could potentially sign up for such a service. By the way - some syndicated programs are already doing this, so it's not like it's a foreign idea.

If radio lives and dies by "value added"...(and judging by the numbers of "free" :15 second spots I'm hearing on radio these days), you can't convince me that networks don't do it, too...to some degree at least and could see some potential value by getting their news product in front more people than they do currently.

I don't think LP-FM's news options should be limited to foreign services...and "alternative" news networks.
 
bturner said:
I wonder if anyone has asked any of the news networks about becominng an affiliate.

Here in Texas there are non-commercial stations that carry TSN (Texas State Network) News. They cover commercials with PSAs. I'm not sure of the arrangement. Maybe a state news network would be a good starting point.

FSN is a good news service and cheap but I've noticed a few things: casts are not always updated each hour; weekend casts are 'week in review' and I have heard from some casual listeners they felt it was a foreign news service due to the British accent. The accent was not a negative but the listeners did not feel it was 'their' (ie: American) news and thus didn't think of FSN in the same way they did Fox, CNN, ABC, NPR, etc. I love FSN's 30 second headlines for music intensive formats...just enough to update the listener.

I don't know if the LPFM is viewed as 'not radio' to the networks and syndicators. I heard a State Broadcasters Association denied an LPFM membership once but I don't know how entrenched that attitude might be. My feeling is most full power broadcasters consider LPFMs to be broadcasters like themselves but rather insignificant in the scheme of things.

And, B, you hit the nail on the head.

Why should our listeners be forced to listen to news from an international perspective from anchors who sound like they live in another country? Where are the entrepreneurs here in the US?
 
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