The End Of Radio?

If you're working in the radio industry, odds are you've heard or read about the concern over losing revenue and market share due to digital offerings or other competitors. Many will tell you that radio, as we know it today, is on life support. Cutting staff and creating regional solutions is the answer. Either we change our ways or we succumb to defeat. 

As someone who is now looking at the industry from the outside in, I can tell you that it has opened my eyes on both the potential and the problems that exist for radio. In my mind, the potential for success is massive. The problem? Well, I see a few issues.

As the National Marketing Director for over 60 retail stores across Canada, I have had the pleasure of working with sales representatives from virtually all media outlets and broadcast companies nationwide. I have also had an opportunity to listen to and view the content that is being created by many of these organizations. In a time when cutting the fat is the solution to increased earnings, perhaps we need to consider looking at the other things that could be affecting the current and future success of radio today. 

Here are 5 observations that I feel are negatively affecting the radio industry and our ability to rise above the naysayers. 

1. Define The Needs - Every day I am approached by various sales reps across the country looking to earn our business. But more often than not, there is no real effort being made to do just that. Typically, I'll receive an email of some kind suggesting a desire to do business. Sometimes this will include a proposal, but usually it's just a touch point. This is usually where it ends. No phone call. No proposal. Just a quick email saying "hey, want to do business?" and that's it. 

Much like any other business, each of our retail locations has a specific set of needs unique to their day to day operation. Sure, as a franchise, we have some corporate priorities we need to focus on. But when it comes to the local store owner, their needs typically differ from one location to the next. Therefore, a consultative approach is an absolute must. 

The sales rep needs to do their research and find out what is happening at the store level for that particular location. What are they doing now in terms of marketing? What have they done in the past? What do they feel has worked or not worked and why? Simply shooting an email in hopes of securing a buy is not a way to drive revenue.

2. Prepare - Again, when it comes to sales, preparation is key. Do the work. I can't tell you how many times I have received a hand written proposal, copy and pasted options that are unrelated to our business or meant for someone else entirely, a proposal built and presented a number of years ago that is simply put in front of me for a renewal without any discussion on whether this proposal worked for us previously, etc. 

I get it. You want to get to the point and attempt to close the sale quickly. Thing is, in today's world it is more important than ever to prepare according to the needs analysis that you have done and present something that actually speaks to the needs of the business at that moment. Take the time to see if what you're offering is even a good fit for what the business is hoping to achieve. This templated, canned, unpersonalized approach IS negatively affecting sales. 

3. Sell The Demo & Value - As a business, I want to know who you are targeting and what you are doing to achieve that target. Avoid selling on ratings and instead speak to the value you are offering with your services, how they will meet the needs we have discussed and how these services will engage the demo we're seeking. Most businesses have a specific customer in mind that they are trying to reach. Your job is to tell them how you plan to reach that customer and make a real, lasting impression on them. 

4. Talent - Sales can do all the right things, but if the talent on the air is not relating to the demo that you're presenting to your client, you will lose the battle. The attention span of listeners continues to decrease at a rapid rate. Therefore what you say, how you say it and what you do is more important than ever. 

When you're on the air, it's not about you and what YOU think is cool. It's about the demo. Content is king and if you do not have the right content that speaks to the very people you're claiming to super serve, you'll lose. 

It takes great people to create great content. That said, more bodies doesn't mean greater success. The key here is to have the right bodies doing the right things. It's entirely possible to have a skeleton crew that is extremely successful. It really depends on having the right talent and the right mindset. I do, however, believe in having local talent that can understand and relate to the needs and wants of the local community.

5. Programming - These days, for many companies, much of the programming is done in a metro market and then farmed out to the smaller stations. Some radio people will tell you that this is why a station isn't seeing the increased ratings or revenue they're looking for. Here's a reality check: The large markets have invested in the research and the experienced talent to ensure that the music and how it has been laid out - works. The small to medium markets are benefiting from this approach as it allows them to spend more time creating content that matters versus worrying about whether or not they are playing the right songs. 

When it comes to what you can control and what will give you a better chance of making an impact, focus on the following:

- Commercials: This is localized content that someone is actually paying for. Be sure that it is speaking to the right people and saying the right things to give the client the best chance of success. Spend more time ensuring that the creative and the production hits the mark. This matters! Take the time to create something that accomplishes the goal rather than something that fills the holes on the traffic log.

- Imaging: Often times we try to get too cute with our imaging. We, as radio people, think it's funny or sounds awesome. What we really need to ask ourselves is whether or not the imaging sells the benefits of who we are and what we do. Does it relate to the demo we are trying to reach? Does the listener care about all of those bells and whistles? Really think about what your listener(s) want and whether or not it will enhance the overall listening experience versus what we think sounds cool. 

- Content: This is the big one and essentially speaks to the other two options above. Make sure that the things you are saying and doing are hyper focused. We live in a content hungry society that is bombarded with fresh content constantly. How will you stand out? How will you relate and engage them? Again, this isn't about you - it's about who you are targeting. This idea that no one listens to radio anymore is simply not true. What people don't listen to is content that doesn't relate to them, entertain them, inform them, etc. If you give people what they truly want, they WILL listen. Do your research, listen to those that have reviewed the data and then focus on what works. Remember, it is getting harder and harder to capture the attention of your listener these days. Therefore, to make an impact you need to utilize all of the tools that are available to you: your show, your community, your peers, video, social media, etc. Dial in your content, use the experience of others and share it everywhere.

- Awareness: It's funny how stations will tell a business that they need to advertise, yet many stations don't follow that same advice. Radio needs to continually look to recruit new listeners and clients. They need to market the brand to those very people we are hoping to attract. This doesn't mean simply putting up a billboard. It means doing the things that make the most sense to reach the demographic you're aiming for. Not everyone consumes media and advertising the same way. Find out which approach caters best to the person you are trying to reach.

In addition to this, the radio station talent need to be visible. This is not to say that they have to MC every community event or be constantly working on their "days off". It means they need to be seen and be doing the very things your core listeners are doing. It's all about relating to the demo and showing them that you are, in fact, one of them. Take photos and video of your community (and yourself) to prove that you live and breathe in the same world. Just like the radio station needs to market and advertise who they are and why they are the best choice for that demo, as talent, you need to do the same. Why are you the on-air talent worth listening to? 

Competition has increased as has the need to do more to capture the interest and attention of those you are trying to reach. When it comes to ratings and revenue, sometimes it's the things you are doing (or not doing) today that are hurting you for tomorrow. Yes, cutting costs can help the bottom line but not if the operation as a whole isn't dialed in. Avoid looking for a band-aid solution and start evaluating if you and your team are doing the things that truly matter.

Rudy Parachoniak specializes in creating content for small businesses with a limited budget. As owner / operator of his own ad agency and over 20 years in broadcast media / marketing, as well as serving as the National Marketing Director for over 60 retail stores across Canada, he has a unique perspective on what works and what doesn’t. Feel free to reach out to him with your questions via LinkedIn:https://www.dhirubhai.net/in/rudyparachoniak/ or send him an email to [email protected]