Wednesday, February 11, 2009

Second Post: Taking stock

You need to recognize 2 things:

1) This asset you have is very powerful.
- You already know this.
- You’ve seen it drive traffic.
- You’ve run a client's ad for a month and the copy was attention grabbing and it increased sales: They re-signed for 13 weeks.
- You’ve been at a local business packed with people, the local owner and you are standing there while a jock is announcing someone’s name, giving something away, and you have that tangible PROUD
 feeling of success.

Terrestrial Radio drives foot traffic.
Terrestrial Radio still drives music consumption.
Terrestrial Radio is a very profitable business. Not bankrupt like Sirius XM. Not losing money like on-line broadcasters. (Competing media would KILL to have your advertising revenue and profits, and they're going after your clients.)

…But this is today!


2) This asset’s value won’t last forever. Not in its current state. Won’t happen!
- Listeners are harder to reach and need more personal interaction.
- Advertisers want accuracy and accountability in their advertising, and the PPM is still the exception, not the rule.

So what’s your company’s plan to come out on the other side of this digital revolution with your asset intact? Not the short term, the long term. 2014. What about 2019? What will the value of your company be then? What actions will you have taken to remain competitive?

Time to strategize on HOW TO HOLD ON TO THOSE ASSETS. Time to build the plan.

RBC's plan is solid. I'm proud of the steps we've taken. I'll share these plans as we go, but before I lay it out there, you've got to accept the reality above. Sharing this info before that would be pointless. 


1 comment:

  1. How dare they turn of their radios. What do those googlers know about media anyway?

    Plus, it will be years before GM uses their bailout cash to develop an Ipod input jack.

    Google pulling plug on radio advertising service

    MOUNTAIN VIEW, Calif. (AP) - Google plans to stop selling advertising on broadcast radio at the end of May. The retreat is the latest example of how the recession is forcing the Internet search leader to reassess its ambitions beyond the online ad market.

    Thursday's announcement could lead to up to 40 layoffs among Google's work force of 20,200 employees, the Mountain View, Calif.-based company said.

    The decision to stop selling ads for broadcast radio stations comes less than a month after Google scrapped its effort to sell ads for newspapers. The company expanded into radio advertising three years ago.

    Google said it still intends to place ads on television.