[opendtv] News: RAB's Haley talks expansion of radio delivery
- From: Craig Birkmaier <craig@xxxxxxxxx>
- To: OpenDTV Mail List <opendtv@xxxxxxxxxxxxx>
- Date: Thu, 14 Feb 2008 08:30:53 -0500
This ain't your father's definition of broadcasting...
For years I have been writing about the pending shift to more
efficient methods of advertising and promotion that will help put
people selling things together with the people who want to buy those
things. I have written about the "shotgun" nature of radio and TV
advertising, which offers little more than audience demographics to
help guide advertisers. The reality: most radio and TV ads are worth
little more than the junk mail we get everyday in our snail-mail and
e-mail boxes.
The Internet, with massive help from Google, is demonstrating how
effective targeted,personalized advertising can be, not to mention
that people really do want useful information about products when
they are actually in the market to buy something.
We have spent much time on this list discussing the different
approaches that Tv and radio broadcasters are taking to the future.
Radio is deploying and promoting the hell out of HD radio, hoping
that it will provide the hooks needed to hold onto an audience and to
develop new revenue streams. TV is hopelessly stuck in the past,
choosing to rely upon government largesse to stay alive, while
milking a dying franchise for all it is worth.
The following article demonstrates this difference dramatically,
illustrating how the radio broadcasters are working together to use
new technologies not only to remain relevant, but to build new
businesses. Clearly the radio broadcasters understand the importance
of the shift to mobile markets, and I'm not talking about car radios
here.
Perhaps the TV broadcasters are paying attention too. I firmly
believe that the TV broadcasters are looking to technologies like MPH
to stay relevant in a world where fixed receivers are connected to
wires - AND INCREASINGLY THE INTERNET. The real value of spectrum is
to serve wireless devices, not fixed receivers. Thus I expect that
within 5-10 years, TV broadcasters will be delivering MOST of their
bits to un-tethered devices, in an attempt to cash in on subscriber
fees and revenues from targeted advertising services.
Regards
Craig
http://www.hollywoodreporter.com/hr/content_display/business/news/e3i836142695a60397d7a56d85a96a463fa
RAB's Haley talks expansion of radio delivery
By Paul Heine
Feb 13, 2008
ATLANTA -- Radio Advertising Bureau president Jeff Haley unveiled a
bold industry mission to put radio receivers "on every mobile phone,
PDA and MP3 player within the next five years" during his keynote
speech at the RAB 2008 conference here Feb 12.
Haley didn't elaborate on specifics for the ambitious plan to help
move the industry forward by expanding radio's availability. However
RAB chairman and Greater Media president/CEO Peter Smyth told R&R
that broadcasters are having discussions with device makers who are
attracted to the idea because it would increase the menu of
entertainment choices available to their customers.
Making radio available on every mobile phone could bring the radio
industry an additional $3 billion in incremental revenue, Haley said
in his second keynote appearance since replacing Gary Fries in the
RAB top spot in Sept. 2006. "We need to be everywhere there is a
speaker and headphones," he said.
Haley said there is evidence of demand for radio on additional
devices. An FM tuner is the top selling accessory for Apple's iPod,
and a survey Microsoft conducted of users of its radio-equipped Zune
MP3 player found that 74% of respondents say radio is the main way
they discover music.
To tangibly demonstrate how the definition of radio is expanding,
Haley played stations from a variety of devices that were set-up up
on the stage, including a laptop, a cell phone and an HD radio
receiver outfitted with iTunes-tagging, which allows listeners to tag
specific songs for later purchase on Apple's iTunes music store. He
noted that nearly one in three stations in America is streaming its
signal on the Internet and that off-air revenue is growing at an
average monthly rate of 10% and is expected to reach nearly $2
billion next year.
Digital will open the doors for radio to deliver targeted advertising
messages to individuals at specific locations at specific times,
Haley said, "to drive a whole new category of advertising." In
addition to tagging songs, HD radio in the future will also enable
listeners to tag advertised
products, he added. "We are moving our business forward."
Along with dazzling predictions of radio's digital future, Haley also
promised that the industry would adopt posting, a common practice in
the TV industry where the ratings a time buy was based on are
compared with the audience it actually delivered. The industry needs
to develop guideline for the practice, he said, which would
presumably lead to audience guarantees for advertisers.
Haley also said radio needs an "action plan" for electronic audience
measurement and that it needs to "speak with one voice" on the
subject. He said he wasn't advocating a specific position but instead
calling on the industry to come together to develop a "unanimous and
unequivocally clear position" on electronic measurement.
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