Friday, September 14, 2007
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A quote attributed to Thomas Watson, founder of IBM, was been disputed. The quote was, "I think there is a world market for about five computers". First it is disputed if he really said that, but even so, their have always been folks that did not believe in emerging technology.
My business is focused on radio broadcasting, yet the computer and internet are going to either be the competing media or complimentary media. Radio stations that are ignoring the internet are going to be left behind. The radio industry seems stalled at how to develop HD radio, which would enable existing radio stations to double or triple the number of broadcast channels they could offer the population. In the meantime, the internet has evolved into a possible replacement for many of the items that people used to rely on radio, tv, newspapers, and magazines for. The smart operators of these traditional media outlets are embracing the net.
Here in Fort Wayne, Indiana, the newspaper owns the website fortwayne.com, which is one of the most valuable pieces of internet landscape for this town. Meanwhile TV and magazines try and promote web sites, however the advantage should go to local radio stations, that can promote their site to thousands of people hundreds of times per week if they want. We do it at least 160 times weekly on each of our three stations. Then we give our listeners a reason to go there. One reason is what is called live streaming. This provides a person with a computer and speakers the opportunity to listen to us where ever they are.
And this type of creative cross-platform is catching on. Audience listener surveys show that while traditional radio listening remains high at over 90%, Subscriber satellite services such as XM are reaching less than 2%, the connection between the internet and traditional radio is sky rocketing.
Take a look at the following article, and if your radio station is not on board yet, "times-a-wasting":
18% of Internet Users Visit Radio Site Monthly
by Erik Sass, Friday, Sep 14, 2007 7:45 AM ET
ALMOST ONE-FIFTH OF AMERICANS ON the Internet visit the Web site of a radio station at least once a month, according to market research from the Media Audit released on Thursday. With 70% of the total American population on the Internet--about 212 million people--that equals roughly 38.6 million unique visitors a month. That's good news for radio broadcasters looking to open up new revenue streams online.
The 18% cohort is dominated by frequent radio listeners and Internet junkies, with people most likely to visit a station's Web site when they're at work. According to the Media Audit figures, the top 10 cities where Internet users visit radio Web sites are, in order: Minneapolis, Seattle, Atlanta, San Francisco, Dallas, Chicago, Denver, Philadelphia, Salt Lake City, and Milwaukee.
Streaming audio is enjoying growing popularity on the Web, and radio broadcasters and ad sales networks have moved quickly over the last several months to bulk up their online sales capabilities. In July, Katz Media Group acquired Net Radio Sales, renamed Katz Net Radio Sales--allowing advertisers to deliver ads across a variety of audio and Web-based platforms, including hundreds of station Web sites in its digital network. The company also provides a variety of interactive ads to station Web sites.
Also in July, Ronning Lipset Radio announced that it had partnered with Corstarr to use its Adcor technology for delivering Internet radio ads. Adcor allows broadcasters to set up multiple radio channels and deliver ads across one or all of them, targeting audiences by demographic characteristics and daypart.
Meanwhile, TargetSpot has signed up a slew of big radio broadcasters for its online service, which allows advertisers to create and place streaming audio ads synced with banner displays on radio Web sites. TargetSpot's list of partners includes CBS, Entercom and Warp Radio.
Clear Channel Radio, the largest radio owner in the country, has led the way with an aggressive online strategy implemented by Evan Harrison, formerly vice president and general manager of AOL Music and the AOL Radio Network. After joining Clear Channel in November 2006, Harrison launched a makeover of over 900 Clear Channel station Web sites, rolled out new products including original video content, and reorganized the network of sites to facilitate ad sale
Tuesday, September 11, 2007
Monday, September 10, 2007
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Although I've never met him, his writings are some of my favorites and everyone should read them. That's why I post them here...
Advertising Can't Create Demand
I don't know which is sillier. The general public who believe that advertising can convince people to buy things they don't need, or advertisers who endlessly search for the magic message to drive more demand for the things they're selling.
Each somehow believes that ads condition people to consume.
They're both wrong.
Advertising doesn't do that. Life does.
What's the single biggest reason that a shopper will buy barbecue sauce?
Running out of barbecue sauce.
Advertising will never convince someone who hates barbecue to love it. It can, however help someone in a grocery store to notice your bottle and say “Hey... I've been hearing about this. I think I'll try it.”
Which means no matter how many gross ratings points you purchase this week, only a small percentage of barbecue lovers will also be purchasing this week. Your mission is to make 'em think of your brand the next time they go shopping.
Side note: both groups of silly people (general public and uninformed advertisers) believe advertising works, but only on other people. Never on them.