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And Emmis CEO Jeff Smulyan says he has the product that will deliver "a perceptual change" about radio. Of course, we're referring to Smulyan's radio industry pet project, the FM smartphone chip. About the consumer's perception of radio, Smulyan says "nobody thinks about the fact that we reach 92% of the population." True. Radio executives have been touting that Arbitron fed statistic for a long time and it has not produced stunning revenue results for any of them. So, Smulyan takes the approach that Radio needs something much bigger than a stat and the chip is it. "As we look across the landscape the radio industry was up 1% last year and hopefully it's pacing that well this year it needs a shot in the arm."
The NextRadio equipped phones will be rolling out in the next 60 days and Smulyan urged everyone in the industry to take a look at it as soon as possible. Why does he think radio needs a shot in the arm? Smulyan hears what everyone else hears, and what all the trades have been reporting. ?I have friends in this industry who are having big
troubles with their balance sheet. NextRadio has a chance to change the trajectory of the American radio industry and that's what we need.?
Despite projections that the second quarter of the year looks better, first quarter radio revenue was less than a success with most public companies flat. Some were negative. It's important to note that the back half of 2013 will also include tougher comps from 2012 political revenue.
Smulyan believes, and has for many years, at times all by himself, that a smartphone equipped with an FM Chip is a game changer for radio. He now says he has unanimous support across the radio industry for getting this project completed.
As the American consumer continues to gobble up data through their phones, an angle that Smulyan has taken is that listening to local radio using the chip and the NextRadio app uses no data. His deal with Sprint turned a lot of heads and turned a lot more people inside the industry into additional mouthpieces for the product. "We know it will increase listening. It will open up another revenue stream with enhanced ads, couponing and location based services. When people see it, they understand it. The know it will make a difference in how the American public will relate to radio. We won't rest until there is an active radio in every 350 million smartphones in the United States. We're on our way."
Is the chip a game changer?
Are you behind Smulyan's push for the chip?
Do you believe it will increase listening?
Are you preparing to talk to your advertisers about enhanced couponing and location based services?
Let us know in the comments section below or by e-mailing edryantheeditor@gmail.com
(5/9/2013 1:23:42 PM)
I celebrate along with all of radio, commercial and non-commercial, FM chips in mobile devices. But as we all know, programming causes audience. No matter the medium or delivery method, we need to concentrate on content. That's what has always driven listening and will continue to do so no matter the device used by the listener.
(5/9/2013 11:33:50 AM)
The radio industry has for years been like trying to herd cats. Jeff is a true leader. I hope he can get all the cats to follow his lead. If not it will be who let the dogs out?
(5/9/2013 10:52:02 AM)
. . . Or we could establish a mandatory daily over the air radio listening period with harsh penalties for those who shirk their duties.
We could call it "Two Minutes Hate."
Radio needs a shot, alright. But, it's not in the arm.
(5/9/2013 9:21:20 AM)
Many consumers don't grasp the fact that the phone companies want to try to do away with unlimited broadband. In fact, when I brought it up with a class of college students, I was told "That'll never happen. We won't allow it. And someday, the internet will be free for all! " I told them, "You may have no choice."
None of these young people understand capitalism.
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