8-11-13
The debate is on about why radio advertising is soft. Is the economy to blame? The winter weather? Is the money shifting to digital? Answering a question specifically about radio losing a share of business to digital, Saga CEO Ed Christian said he did not agree with what Radio One CEO Alfred Liggins said last week on his quarterly earnings call. Liggins said part of the issue with radio being soft in the second quarter could be "share shift," specifically, radio losing money to digital. "I really don't agree," Christian said. "I can appreciate Alfred's position and it's a nice way to say that somebody else has caused the problem. It's like the old saying, 'She made me hit her'."
There's a whole different world out there on what advertising and marketing is on the Internet, according to Christian. "There's a lot of misleading information about what's going on in digital. Is there money going there? Absolutely. Is it fresh money? Does it create brands? I ask anyone to tell me, other than the name of a company like Yahoo, what was created as a result of Internet advertising? Who is the poster child for how it's done right, to launch your brand, soley using the Internet or social media. Most people on social media don't want to talk to a brand. They don't want to talk to brand people." Christian said as an adjunct professor he learned that the only thing that would get people to change brands was if they got something for free. And he added, the only thing that has really been successful on the Internet is search engines, calling them "the I-Tunes of the Internet."
(8/12/2014 5:47:30 PM)
While Bob Hoffman has nailed it, the onus is still on radio to significantly upgrade its own advertising messaging - and all by its own damn se'f - while waiting for the digi-phase/trend/fad-thingie to start breaking down in any useful or time-sensitive way.
This isn't one of those deals where radio is going to win by default - right after advertisers "see the light".
Ed mentioned Bob Hoffman in his call yesterday so I reached out to Bob to get a link to his video. You shuld all check it out, especially if you think Digital is winning the day. You may be surprised. By the way Bob is keynoting the Radio Show next month. I'd be interested to read your comments after you view it...and I hope none of you are sensitive to harsh language. Here's the link to his video: https://www.youtube.com/watch?v=EyTn_DgfcFE&feature=youtu.be
(8/12/2014 1:10:24 PM)
What he said is 100% correct. There is a lot of "Emperors New Clothes" going on with Digital (read Roy Williams this week) as Pepsi and their 5% loss in market share learned. Technology changes quickly but people change slowly and the tech only acerbates existing tendencies. Most of what people consider "digital" is just print on an electronic platform and as such, people process it the same way (ie. ignore it unless they are in the market). You can't brand without electronic media.
(8/12/2014 12:44:03 PM)
Say, Ed (the ed.), can I take on the winner...? That is, so long as they both go the full 15 rounds first.
(8/12/2014 12:38:09 PM)
If you guys can set it up, we'd be happy to facilitate that debate, record it and play it back for our readers to hear.
Add a Comment | View All Comments Send This Story To A Friend
