Pending Business: NAB – Never Assume the Basics
By Steve Lapa
Lapcom Communications Corp
President
Welcome to the NAB edition of Pending Business.
Wait, not that NAB. I am talking about the NAB that affects every manager and seller in the broadcast business, especially radio. This NAB is all about Never Assume the Basics.
Timing could not be better. Borrell and Associates just released a report that validates the Covid pandemic-driven changes in the local advertising marketplace. The shifts are so big, they most likely will change the ad world for a long time. The report shows the measurable local advertising marketplace is now at approximately $143 billion dollars. If you believe the numbers in the report, 67% of local ad dollars are placed in digital media advertising. Simple math says 33% of local ad dollars are now split, radio, TV, all print, outdoor and direct mail. Now that is a genuine showstopper!
These numbers are a tough pill to swallow, especially for those of us who remember the days when (print) newspapers were the king of the hill of local ad dollars. Whether you accept the numbers or not, the trend is your friend, and no manager or seller wants to be left behind. The major drivers behind this seismic shift in local ad dollars are the giants of social/digital media. Members of what TV personality Jim Cramer calls the FANG set – Facebook, Amazon, Google – you know what I am talking about. The shift in local dollars happened and continues happening right before our collective ears and eyes. Some of us are changing with the flow, others are still satisfied just reading a competitive radio monitor report during the Monday morning sales meeting.
Let us pause right here and get back to the danger of assuming the basics. You know what assuming can do, so let us regroup. Zoom back and take a treetop view of how you reconcile the basics of:
— local ad budgets
— sales prospecting
— packaging
What’s changed in your approach to prospecting? What NEW information and new businesses are you targeting? How has your competitive information flow adjusted to reflect local market changes? What is the newest package concept in your sales arsenal? Are you up to speed on the newer social and digital media initiatives in your local market?
Make no mistake, I am not advocating breaking the foundation. Yet we cannot ignore market dynamics. Some companies are driving change and growing in the digital/social media ad space, while others are slower. The great Teddy Roosevelt said “Lead, Follow, or Get Out of the Way!” Leadership is never easy. When it comes to sales, it should be a constant goal. Do not let anyone push you out of the way.
Steve Lapa is the president of Lapcom Communications Corp. based in Palm Beach Gardens, FL. Lapcom is a media sales, marketing, and development consultancy. Contact Steve Lapa via email at: Steve@Lapcomventures.com. Steve Lappa will be moderating the “Generating Revenue” panel at TALKERS 2023 on Friday, June 2 at Hofstra University.
businesses of high-profile radio and podcast personalities as well as production companies. He also serves as a strategic advisor to Oxford Road, a media placement agency specializing in audio advertising, with a focus on podcasts and audio integrations. The nine-year-old agency is a leader in the audio space on behalf of more than 50 clients. Kitchin also serves as chairman of the National Radio Hall of Fame to which he was appointed in 2014. Since assuming the role, he has reinstituted national public voting for two of the six categories of induction and has doubled the voting participant panel. Under his leadership, more than 75 radio icons have been inducted. Prior to launching his own firm, Kitchin was one of the founders of Premiere Radio Networks, Inc., in 1987. The company grew to be the number one radio network in the country syndicating 90 radio programs and services to more than 4,600 radio affiliates, reaching 190 million listeners weekly. He started as executive vice president of sales and by 1998 at the age of 37, he assumed the role of president/COO, one of the youngest in the country to run a $300 multi-million-plus radio company. During his 10-year tenure at Premiere, Kitchin directed and oversaw all talk and music programming and services featuring the nation’s most popular personalities like Limbaugh, Delilah, Jim Rome, Glenn Beck, Casey Kasem, Bill Handel, Ryan Seacrest, Bob (Kevoian) and Tom (Griswold), Steve Harvey, Whoopi Goldberg, Blair Garner, George Noory, Maria Bartiromo, Jim Cramer, Matt Drudge, the late Art Bell, Donald Trump, Bob Costas and others. In addition, he supervised Premiere Radio’s other properties: Mediabase 24/7, the industry’s leading music monitoring service, MJI Programming, and FOX Sports Radio. Kitchin started his career in station management at WFMK-FM in Lansing, MI, and KTYD-FM in Santa Barbara, CA before serving as sales manager of the Katz Radio Group Network in Los Angeles. Kitchin will be one of 60 industry leaders speaking at TALKERS 2023. For more information, see story below.