HC at the NAB: More Than Spots, Less Than Clutter
By Holland Cooke
Consultant
Radio sells advertisers our listeners’ attention. For a hundred years, our inventory has largely been commercials. Now, as our wandering audience leads us to more revenue channels, are we hooked on spots?
“We’re still in the same business. What’s changed is the tool box.”
Salem Media Group EVP, operations and revenue development Linnae Young was among panelists exploring “The Local Advertising Buying Landscape: What are Clients Buying, and how are Radio Sellers Succeeding or Missing Out?” Her laser-like focus is on the client’s need: “The HVAC company has two trucks and wants six.”
Ditto from session moderator Mike Hulvey, the Radio Advertising Bureau’s president & CEO. He called pitching a multi-store McDonald’s franchisee, who heard-him-out, then asked “Will that idea sell a hamburger?”
We sure have ideas. Researcher Gordon Borrell reckons that “the biggest mistake radio stations are making is underestimating the potential [of digital].” Many now sell video advertising. Prospects “don’t have any questions about radio, other than ‘Can you lower the price?’ They have lots of questions about digital.” Be their guide.
And obsess on outcomes. “Stop with the tactics,” urges Marketron senior director of digital strategy Dustin Wilson. “It’s all about solutions-based selling.”
“As radio has encountered increased pressure on revenue, it has often increased spot loads.”
Ad nauseam, in the view of Edison Research co-founder & president Larry Rosin, whose Ted Talk-type session “Considering Spot Loads” was plainspoken.
Radio has violated what Larry calls “The Commercial Broadcast Bargain” – the unspoken deal that content is worth the time spent listening to ads. “We’ve tilted the bargain in an unfair way,” he said, pointing to “fewer, but much longer breaks; and many, many [music] stations now loading all their spots into two interminable breaks per hour.”
Rosin’s team has long tracked listening habits through its Infinite Dial series, and the trend is clear: Radio’s “Share of Ear” never fully recovered after the pandemic; and commercial loads went up during that time.
“The real problem” is not understanding how ‘Infinite’ today’s ‘Dial’ is, “ignoring the fact that there are other things to listen to.” Ad loads tend to be shorter in podcasts and in non-paid streams. These ad-supported competitors never run more than two spots back-to-back. And increasingly, Americans are paying for ad-free content, via SiriusXM, Spotify, YouTube Premium, and others.
Solutions? Larry was clear: “What I’m NOT saying: ‘cut the load and charge more’ in today’s low-demand environment.”
— Even if you can’t lower total inventory, consider more shorter breaks. “Listeners have, or at least had, an internal clock: song (3 minutes) – song (3 minutes) – song (3 minutes) – break (3 minutes). When you ask music radio consumers, a break should be the length of a song. The two long breaks clock simply can’t be the best we can do for advertisers.”
— Bonus on Rating, not Share, which would “reorient radio programmers to consider ALL competitors, not just other local stations. Radio’s insular world hurts it.”
— Don’t demonize commercials – “a disservice to advertisers” – the way we seem to when we call the stop set “a break;” or tout commercial-free hours to pump-up a daypart (then overdose the load in adjacent hours).
— Improve the quality of commercials.
Holland Cooke (HollandCooke.com) is a consultant working the intersection of broadcasting and the Internet. Follow HC on Twitter @HollandCooke and connect on LinkedIn
There has never been more news. And news has never been more quotable. It costs two-plus cents to make a penny.
Metrics and “Share of Ear” Report, MRI-Simmons, Screen Engine/ASI, Podscribe, and Magellan AI. Four of the key findings from this are: 1) Podcast ad campaigns are too light: No brand is coming close to “saturating” podcast audiences; Brands should allocate 5% of digital budgets to podcasting; 2) After five years with a median age of 33 to 34, podcast audiences finally age to 36, reflecting broader appeal with older audiences; 3) Screen Engine/ASI: Podcast audiences offer CTV advertisers significant incremental reach; and 4) Podcasts tighten their grip on audio audiences: Among podcast listeners, 35% of all audio time spent now goes to podcasts. 
success of our digital transformation strategy led to a 10.4% year-over-year increase in same-station second quarter digital revenue, partially offsetting ongoing challenges related to softness in the audio advertising spot market. Digital revenue accounted for nearly 22% of total second quarter revenue, in-line with our full-year 2024 goal of 20% to 25% of total revenue. On the new business front, our dedicated sales teams are leveraging the audience reach and engagement of our platform to attract new advertisers. We have and will continue to see the benefit of political revenue through the end of year, and at the same time, we are taking aggressive action to address near-term challenges through expense management initiatives, which drove approximately $2 million in expense savings compared to the prior year. We expect to achieve $10 million in annualized expense savings.”
When it comes to advertisers who cancel, Elon Musk said it loud and clear at the NY Times Dealbook Summit, “Go F-Yourself.” He claimed advertisers who objected to content on X were “blackmailing him with money” by canceling ad campaigns on his X platform.
Today, consultant Holland Cooke writes, “With 850-plus confirmed 2024 tornadoes – just halfway through the season – each night’s network TV newscast can make you “thankful that we don’t live THERE…” And with more gnarly weather on the way this week across much of the USA, he reckons that, “regardless of your format, your station can be the weather button that listeners will push, and advertisers can sponsor.” And he suggests a tactic proven over 80 years ago. 
says that key points for advertisers to know about podcast listeners include: 1) More people than ever are listening to podcasts: 67% of the 12+ population has ever listened to a podcast; 47% of the 12+ population are monthly podcast listeners and 34% are weekly listeners; 2) Listeners are spending more time than ever with podcasts: In 2014, out of the daily time spent listening to all audio by those age 13+, 2% was spent with podcasts. In 2024, that number more than quadrupled and podcasts now account for 11% of daily time with audio. Twenty-three percent of weekly podcast listeners spend 10 hours or more listening to the medium each week; and 3) Podcasts reach all generations: 29% of kids age 6-12, 59% of those age 12-34, 55% of those age 35-54, and 27% of those age 55+ are monthly podcast listeners. 
Actor Hugh Grant’s Tweet called it “The destruction of the human experience. Courtesy of Silicon Valley.” He was reacting to Apple’s 
of $3.5 million for the same period in 2023, “primarily due to the $6 million gain on the sale of an investment in BMI holdings and lower interest expense.” Company CEO Caroline Beasley states, “Beasley continues to advance our core initiatives, which are focused on driving revenue and cash flow, including our digital transformation, revenue diversification and expense management initiatives. We expect digital to account for between 20% and 25% of total revenue in 2024, driven by the ongoing growth and success of our premium content creation and digital services. On the new business front, our dedicated sales teams are leveraging the tremendous audience reach and engagement of our platform to attract new advertisers. In summary, Beasley’s underlying fundamentals – mainly, our local audio and digital platforms and audience engagement – remain strong. We are proud of our teams’ steadfast commitment to delivering exceptional content and services to our listeners, advertisers, online users and sports fans, and remain confident that the actions we are taking to transform our company and strengthen our balance sheet, are laying the foundation for future growth and success.”
Ratings – and advertisers’ results – reward what listeners remember, what sticks-out, not clichés that blend-in. So, avoid blah-blah-blah such as…
It’s complicated, this whole Federal Trade Commission ruling potentially banning the non-compete. Considering where you stand on the non-compete concept, it’s really all about evaluating the five “C” profile of your media business.
The media headlines are dizzying these days, yet they all share one common thread. See if you can solve this puzzle.
Will video save the radio star? I hope so.
Is that host read you are pitching “baked-in?”
If you’re a news/talk station, don’t assume that you own “news radio” in your market. Imaging is important, but it merely talks-the-talk. You walk-the-walk with local news copy that delivers what solid commercial copy does: benefits. Just doing local news makes you special. But do listeners simply hear a station voice… reading something? Are you merely… accurate? Or do you deliver “take-home pay,” unwrapping the story to tell the listener something useful?
“News Talk 1050” and two music brands. Townsquare regional vice president Robert Wawrzyniec says, “Mike is the ideal executive to lead Townsquare’s broadcast and digital operations in West Central Missouri. Most important, he knows the Sedalia market and what resonates with its listeners and advertisers. His expertise in creating, developing and executing exceptional local multi-platform solutions for advertising and marketing clients, as well as driving new business opportunities and forging important community partnerships, has resulted in deep client relationships and a strong commitment to listeners. I am looking forward to working with him in his new role.”
News for its podcasts from John Solomon, Victor Davis Hanson, and “Bauer and Rose” on the SPN platform. The agreement allows Salem to market and sell the podcasts to its array of advertisers and provide additional promotional support. Salem SVP Phil Boyce says, “John Solomon and his team are a perfect fit for Salem and will provide an additional layer of news credibility to the stories he covers. When you add Victor Davis Hanson’s podcasts, and those of Bauer and Rose, it makes the partnership complete.” Solomon comments, “Salem Podcast Network has amassed one of the most formidable audiences and lineups in the industry. We are excited to be joining the team and introducing our news and analysis to a whole new audience.”
Ready to go back to the future?
Radio talkers: What is this hour about? How will listeners benefit from listening? And how long do you expect them to wait to hear that?
I asked my pal, longtime radio seller, now retired: “How often were you asked, ‘How much would you charge for ONE commercial?’”
When was the last time you went shopping for a quality living room rug? Not an oriental, because that is just too easy. We’re talking high quality living room rug that will blend in and stand the test of time… and the dog. Next to fighting with a credit card company, it’s the worst shopping experience ever.
THE Best Bit I’ve Heard This Month was by Gene Valicenti, morning host, WPRO-AM/WEAN-FM, Providence.