TimeIsTight said:
So all three stations claim to offer R&B, and on the Arbitron ratings list the two that also offer Hip Hop are listed only as "Urban" while the one that only offers "R&B" is listed as "Urban AC."
The Arbitron ratings "list" on this site or on other radio sites use each website's own terms. Arbitron lists WBLS as Urban Adult Contemporary, WQHT as Rhythmic Contemporary Hits and WWPR as Urban Contemporary. That is the descriptor each selected from the list Arbitron accepts.
The fact that industry boards such as this one and All Access give a variety of names to formats gives testimony to the fact that, for sales, a standardized description is needed so that media buyers can understand clearly what they are getting.
I also suspect that most of the major national advertising buys on these stations are done by agency time buyers using sophisticated software that works using all the numbers, and that the short format descriptions don't really mean that much in the final decision making. The computers are doing all with numbers and algorithms.
The general way buys are done is based on rankers (where the format name is prominent in the Arbitron software) and the ability of each station to meet the cost per point the agency desires based on negotiation with the station and its rep firm. At some point, value added propositions are considered, and these are very format-based- After those stages, the campaign is usually optimized for reach and frequency, where the goal is to reach as many different people in the demo at the desired frequency as is possible within the budget; format is quite important in insuring optimal r&f.
And those same computer crunched additional numbers are among the reasons why "Urban" formats aren't doing as well as they used to. Time buyers are working with more sophisticated raw data, and infinitely better crunching abilities and however the stations may try to "obfuscate" the realities with these confusing short descriptions, the PPM numbers tell the tale to sophisticated software that pays no attention and isn't confused.
That's just wrong. The problem with Urban based formats in New York and some other markets has been the fact that the PPM revealed the large amount of rounding up that was done in the diary by the major ethnic listeners. While the PPM discovered larger cumes for general market stations, the Black and Hispanic targeted stations could not grow cume by much, but saw vastly diminished time spent listening and fared poorly in the initial PPM results.
In some markets, the initial loss of share by Urban stations was corrected by fixing obvious lax programming techniques; the Radio One stations in Houston decided the problem was their own, worked on it and they are now both in the top 5 billing stations in the market.
In New York, fragmentation dropped African American targeted stations below the diary levels and billing suffered. It had nothing to do with education and income levels and everything to do with ratings.
So listeners may call a station's format one thing, programmers another, and advertising buyers yet another, but what really matters are all the numbers generated, and the software knows who's listening from Scarsdale, and who is listening in Harlem, what their income is, what their education level is, and the kinds of things they buy and the, likely, lifestyle they live.
We have had that kind of computerized data going back nearly two decades... geography, income, ethnicity, age, gender. In fact, I recall selling with Arbitron Information on Demand (AID) in 1982... more cumbersome and slower, but the data was there.
The fact is that most buys are based on rank in the advertiser's target demo and the price the advertiser wants to pay for each gross ratings point. And that has been the case for many decades.
Its all in the numbers and the words don't really matter all that much anymore. So the stations can describe themselves any way they want the computers will still know better.
Actually, since the PPM came on the scene, we have seen enormous compression... meaning tiny differences in rating between stations and many stations at the same level. For example, in NYC there may be 5 to 6 stations in the 0.4 to 0.6 rating range, 6 to 8 stations at the 0.3 rating level, and another 6 to 8 at the 0.2 level thus accounting for the top 18 to 20 stations in the market. With so little to differentiate between stations, having a good array of formats to guarantee good reach is a major buying concern, as are things like service and promotion from the station, good relationships with the sellers and other intangibles.
The more compression there is, the more things like format differentiation and service matter.