The Elephant In The Room

My last article (We’re Playing A Different Game Now) is a bit of a reality check for listener supported radio stations. In a nutshell, what it says is that in order to survive and thrive in the future, it’s time we got real about the flaws in the current listener-funding model and started a healthy conversation about the new reality of inviting people into supporting their favorite radio station.?

The elephant in the room is essentially this: Because of several factors, listener supported Christian radio stations are asking for too much money a month from supporters. This is correctable, either by A: Lowering the suggested financial “point of entry” for people to join your giving team, or B: Raising the value proposition - in other words, creating a perceived value in a listener’s mind that they are willing to spend extra to get it. In the end, and this is only my opinion, I wholeheartedly believe that the path forward to a sustainable, future-forward listener support model is both option A and B together – bringing down our monthly ask to an amount closer to parity with other subscription-based entertainment choices and increasing the perceived value of what giving a monthly gift does.?

When we join clubs, sign up for a membership, or subscribe to something (anything that requires a monthly or annual fee) we do it for one of two reasons. The first reason is ACCESS (you can’t get in the door without a Costco card, or you can’t watch Netflix without paying first). For radio – both realistically and philosophically, that won’t work, and besides SiriusXM is already doing that.?

The other reason we will subscribe to something is BENEFIT.?Most premium subscriptions offer a healthy list of benefits that may initially create some perceived value on the front end, but the VAST majority of subscribers are paying for only 1 or 2 primary benefits.?As an example, the list of member benefits when joining Costco is stunning, from pet insurance to window treatments. The breaks you can get on different products and services is wonderful, and no doubt some customers do use them, but suffice it to say, virtually no one signed up for a Costco membership first for the pet insurance. Nearly all Costco customers join for the 1 or 2 biggest benefits for them: The ability to save by buying needed household products and food in bulk, and perhaps the location to their home. (and maybe for the $1.50 hot dogs). For radio, finding the right benefits is tough, but imperative (spoiler alert: I don’t think it’s a logo key chain).?

For Christian radio, a very strong third reason some people will consider monthly giving is IMPACT. Regularly sharing stories of how God uses the station to impact a listener’s life can inspire others to give so that work will continue. Even so, research tells us that most people give to Christian radio because of the way it impacts THEM, before others, so we hope that listeners hear their own story in the testimonies we share, and are inspired to give to insure that the station is there for themselves and their family.?

So, where do we go from here? Ultimately, the path forward comes more into view the moment we’re willing to upend the entire existing listener support model, and rebuild it from the ground up. For some organizations, the idea of this is tantamount to turning the Titanic, but ripping the band aid off and beginning to chart a new course now is smarter than sticking our heads in the sand and hoping that things will change.??

Like it or not, subscription fever has changed the game, and we’ve got to re-think and re-align our asks accordingly. For context, this is not a unique problem for us. I had lunch today with a couple who are raising support for mission work, and they shared their #1 struggle in getting people on board with monthly support is (their words), “the subscription mindset.” They had NO idea I was writing this article. Public radio and SiriusXM are already there, and the sooner we get there, the better.?

Next, the listener support model for the future will need to incorporate elements of ACCESS, BENEFIT, and IMPACT in order to keep us growing.

For a monthly supporter of Christian radio in the future, what could ACCESS mean??

? Extra, unique content created by and highlighting your personalities?

? Additional content streams

? Regular surprise and delight moments

? Exclusive artist experiences

What could BENEFIT mean??

? Discount on tickets for every concert your station promotes

? Access to an online Christian business directory

? Prizing and contests

? Station Community Groups / Private FB groups

What could IMPACT mean??

? Creative, compelling messaging of the stories of listener impact

? Your monthly giving to WXYZ supports other work in our community, too

I’d love to know what you’re thinking about this topic – how can we create ACCESS, BENEFIT, and IMPACT that feel like value in the hearts of future listeners and future givers? Or, do you disagree with all of what I’ve written? Are you in fact seeing what I am, that monthly support (especially at the higher dollar end) is starting to dry up? Are you having conversations among your teams about what giving in the future will look like? What’s your genius idea??