Chapter 4Radio Today
Three “C’s” of Radio Today• Competition• Consolidation• Control
Competition• Most competitive of today’s media• More “radio” than anything else• More radios than TVs; more radio stations...
Consolidation• Prior to the Telecommunications Act of 1996,  most radio stations were owned by single  owners; at the time...
Consolidation• After an initial boom in acquisitions, many of  radio’s biggest groups are now selling off  stations, after...
Control• Rigorous product control• Research driven programming and advertising• A lot of cross- talk between sales, promot...
Programming: Formats• What is a format?• The genre of the station; its  music, personalities, contests,  positioning• What...
Types of formats•   Country•   News/talk•   Oldies•   Hispanic•   Adult contemporary (AC•   Sports•   Contemporary hits ra...
Noncommercial radio• Community stations: supported by members of the community,  serves that community, and employs the co...
Satellite Radio Today• Started strong, forecasters  predicted annual revenues of  $8B by 2014• iPod and other mobile media...
Growth of Internet and Mobile             Broadcasting• More than 80% of Americans have  access to broadband connection, a...
Radio station structure• Operations: Traffic department – coordinates  advertising on a station, between sales and  progra...
Radio employment today• Consolidation, automation, syndicated  programming, has made the job market very  competitive• 17%...
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Com110 ch4 (1)

  1. 1. Chapter 4Radio Today
  2. 2. Three “C’s” of Radio Today• Competition• Consolidation• Control
  3. 3. Competition• Most competitive of today’s media• More “radio” than anything else• More radios than TVs; more radio stations than TV stations or newspapers• Take in the least amount of media advertising dollars (about 8%)• Radio is largely a local medium• Audience share: 82% tune into FM
  4. 4. Consolidation• Prior to the Telecommunications Act of 1996, most radio stations were owned by single owners; at the time, you could not own more than one AM and FM in any one market• Market: a geographically based media area; its size determined by population• Telecommunications Act of 1996 allowed for multiple station ownership, resulted in supergroups like Entercom, Clear Channel & Cumulus
  5. 5. Consolidation• After an initial boom in acquisitions, many of radio’s biggest groups are now selling off stations, after failing to turn the kinds of profits expected• LMA: lease management agreement/local market agreement – allows a radio group to control the programming, operations and sales of additional radio stations in the same market (without violating ownership rules)
  6. 6. Control• Rigorous product control• Research driven programming and advertising• A lot of cross- talk between sales, promotions and programming to create a unified station message for both advertisers and the audience.
  7. 7. Programming: Formats• What is a format?• The genre of the station; its music, personalities, contests, positioning• What is a target audience?• Broken down with demographics (age, race, gender, socio-economic status, geography)• How to identify the target audience?
  8. 8. Types of formats• Country• News/talk• Oldies• Hispanic• Adult contemporary (AC• Sports• Contemporary hits radio (CHR)• Classic rock• Classic hits• Hot AC• Modern rock• Active Rock• Urban
  9. 9. Noncommercial radio• Community stations: supported by members of the community, serves that community, and employs the community• College radio: licensed to schools as a learning tool, serves college communities• Public radio stations: meet criteria established by the Corporation for Public Broadcasting• Low Power FMs (LPFM): news stations that serve small listening areas (i.e. the Thruway traffic channel)
  10. 10. Satellite Radio Today• Started strong, forecasters predicted annual revenues of $8B by 2014• iPod and other mobile media may have been a factor in decreasing audience• Today, just one company: SirusXM
  11. 11. Growth of Internet and Mobile Broadcasting• More than 80% of Americans have access to broadband connection, and nearly 505 of homes have at least 2 computers (Arbitron)• ComScore: 2010 – 14% of smart phone usage was to listen to music• Internet music services have to pay a fee to the Copyright Royalty Board for performance rights for music• Some services are limited (number of skipped tracks, time length of stream – all part of their CRB agreements)
  12. 12. Radio station structure• Operations: Traffic department – coordinates advertising on a station, between sales and programming• Sales department: sells airtime for a station• Program department: on-air staff, program directors, production• Engineering: responsible for keeping the station on the air, and sounding good!
  13. 13. Radio employment today• Consolidation, automation, syndicated programming, has made the job market very competitive• 17% ethnic minority, 42% female• Starting salaries are very low, but the potential for success is always there!• Typically sales will make the most, average on air salary is $25,000

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