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	<title>The Top 22 &#187; Digital</title>
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		<title>New STRATA Survey Shows Potential Triple Whammy For Radio</title>
		<link>http://www.thetop22.com/2011/10/new-strata-survey-shows-potential-triple-whammy-for-radio/</link>
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		<pubDate>Tue, 25 Oct 2011 01:55:32 +0000</pubDate>
		<dc:creator>The Top 22 Editor</dc:creator>
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		<guid isPermaLink="false">http://www.thetop22.com/?p=10112</guid>
		<description><![CDATA[New data released by STRATA appears to confirm what we&#8217;ve been warning about &#8212; that agencies and their clients are less and less interested in radio. It&#8217;s time for owners to wake up&#8230;
 Last month, in a couple of different posts, we made the case that radio is getting it wrong. The strategy is not [...]]]></description>
			<content:encoded><![CDATA[<p>New data released by STRATA appears to confirm what we&#8217;ve been warning about &#8212; that agencies and their clients are less and less interested in radio. It&#8217;s time for owners to wake up&#8230;<span id="more-10112"></span></p>
<p><a href="http://www.thetop22.com/wp-content/uploads/2011/10/Strata.png"><img class="alignleft size-full wp-image-10114" title="Strata" src="http://www.thetop22.com/wp-content/uploads/2011/10/Strata.png" alt="Strata" width="229" height="227" /></a> Last month, in a couple of different posts, we made the case that radio is getting it wrong. The strategy is not working. And now a new STRATA survey of more than 900 agencies supports our thesis.</p>
<p>We argued that old school radio guys (they are almost ALL guys) and the consultants who enable them have swallowed lousy research (PPM) whole, and created game plans that turned radio stations into little more than lowest common denominator jukeboxes.</p>
<p>To recap, we wrote:</p>
<blockquote><p>Television, with sagging shares and the same lousy economy, managed nearly a 15% year-over-year <em>increase</em> at the advertising sales upfront. Digital media has romanced the auto  industry, among many others, and continues to eat more of the pie. Even  Public Radio  shows growth.</p>
<p>But not commercial radio. Defensive, fear-based programming tactics  rack up passive cume, but continue to strip radio of any meaningful  sales story and the advertisers are hip to it. The result of all this  “work” is anemic, 1% year-over-year “growth”.</p>
<p>With radio’s cash register failing to ring, advertisers are either  not sharing commercial radio’s enthusiasm for big, passive cume, or  those  advertisers can easily reach those same people through other  mediums (television for wide reach, digital for targeted reach).</p></blockquote>
<p>The STRATA survey data delivers a potential triple-whammy for radio.</p>
<p>Among the unfortunate bullet points:<br />
* The number of agencies reporting radio-focused clients is down.<br />
* The number of agencies who plan to spend less on radio is at a two-year high.<br />
* The two categories agencies most expect to cut spending are auto and entertainment &#8212; both are big for radio.</p>
<p>37% of agencies said they&#8217;re less focused on radio than a year ago. And no, don&#8217;t read that to suggest that 63% are more focused on radio.</p>
<p>In response to the same question, 85% said they were more focused on digital than a year ago, local cable was up 31%, and network TV was up 12% year over year (but up 86% since Q3 2010).</p>
<p>Overall, agencies report that they&#8217;re most focused on local television and digital.</p>
<p>The one-two punch of television and digital has crushed print, and radio is flat &#8212; for now.</p>
<p>We&#8217;ll make the suggestion again &#8212; time to re-think. Time to clean house. Time to get back to research, development, and talent acquisition.</p>
<p>Remember, agencies can actually <em>hear</em> your radio station. These pros know the difference between a passive, jukebox-cume-machine, and a station that&#8217;s actually exciting, active, and engaged with the audience.</p>
<p>Read also the previous post: <a href="http://www.thetop22.com/2011/09/memo-to-commercial-radio-broadcasters-its-not-working/" target="_blank"><strong><span style="text-decoration: underline;">Memo to Commercial Radio: It&#8217;s Not Working</span></strong></a></p>
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