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MONDAY, DECEMBER 22, 2014

Agency chief says radio is ‘massively underutilized’ by advertisers. The chief executive of one of the most revered ad agencies says advertisers are missing the boat when it comes to radio. Andrew Robertson, global CEO of BBDO, says many New York-based advertising executives don’t grasp radio’s pervasiveness because of their own personal experiences, and that has resulted in enormous under-usage of the medium by agencies and marketers. “We have to be very weary of extrapolating our own experiences,” the head of the 125 year-old agency said during an interview on Bloomberg TV’s “Market Makers.” “If you live in New York, you are not aware of radio advertising the way you are if you live in L.A. or Atlanta or any of the other big cities around the states where people spend a lot of time in their cars,” Robertson said. The head of the shop named by Adweek as the 2014 Global Agency of the Year then proceeded to make nothing short of an endorsement for radio: “There are still huge, huge radio audiences and, frankly, it is a massively underutilized medium because people don’t think to use it as readily as other media,” he said. Widely regarded as the frontrunner to succeed John Wren at BBDO holding company the Omnicom Group, Roberston grew BBDO’s global revenue by 4.5% this year to $1.57 billion. Pittman: Digital has expanded radio listening. For a second consecutive year, readers of Adweek voted iHeartRadio the Hottest Music App of 2014. The online radio app captured 44% of the votes, beating Spotify (31.9%) and Pandora (21.3%). The distinction is part of the ad industry magazine’s annual Hot List issue, which honors standout media properties. Appearing on the Charlie Rose show, iHeartMedia CEO Bob Pittman said digital technology has expanded radio listening by giving it the 21st century equivalent of a transistor radio. “We found another radio,” Pittman said. “You have your clock radio, car radio, office radio and now you have one that you carry around with you.” Rather than hurting radio, Pittman made the case that digital has helped the medium by getting people more interested in music. He contrasted radio with Spotify and iTunes (“that’s where you store your music”) and said the two different types of services are symbiotic. “I speak to the world with my music but I find out what’s going on in the world with radio,” he said. Readers’ poll: Majority of all-holiday stations report increased ad demand in December. Stations that own the all- Christmas position in their market frequently reap a ratings bonanza during the holiday season. How does that impact billing? An unscientific Inside Radio poll of stations that aired the holiday format in 2014 and 2013 underscores how the format’s revenue impact varies dramatically from station to station. A majority indicated the format increases advertising demand, with 36% reporting a slight increase and 28% staying the increase in demand is substantial. Two-thirds of respondents (64%) said they attribute 10%-25% of their station’s December revenue to the all-Christmas format. About one-fourth said it accounted for 10% or less of their December revenue. “It’s difficult to measure if the increase is due specifically to the holiday music or the promotions we air during the holidays,” one respondent said. “The promotions, however, seem to fit best with the holiday music format; and with the listenership shift, the format helps us sell more of the holiday promotions.” The poll results show a 50-50 split in the number of stations that are able to charge a premium for ads while airing the holiday format. Among those that do charge a premium, the vast majority (85%) said it’s in the 10%-25% range. Four in ten Christmas stations polled said they expect a 10%-25% revenue increase in December from the format while one-third (32%) expect a boost of less than 10%. FCC proposes phase-in for mandatory online public files. The FCC is moving forward with its proposal to require radio stations to post their public inspection files online. But in a nod to the logistical complications of a service with 15,433 stations

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— many in small, rural towns with potentially no access to broadband – the agency has proposed phasing in the mandate over the next several years. The first stations required to post their public file online will be those in the top 50 markets and stations with five or more full-time employees. All other stations will get an additional two years to prepare for the mandate, although they’d be able to begin posting earlier if they voluntarily choose to. The staggering is similar to the requirement that the FCC used when rolling out online public files to the television industry. The FCC proposes any stations with fewer than five-full time employees will, as with the EEO requirements, be permanently exempt from the rule. Noncommercial stations would also get a pass. With TV’s transition to online public files less disruptive than first feared, the National Association of Broadcasters didn’t oppose the same requirement for radio — but it had pushed regulators to carve out exemptions for small stations with skeleton staffs and little money to bring on manpower to meet a new mandate. In its tentative outline passed by the five commissioners last week, the FCC says it recognizes that there’s a big difference between small radio and television stations. “We believe our proposal addresses many of the concerns raised regarding radio stations that may have fewer resources,” the agency says. “This delayed transition will assist small stations to budget for any initial costs to upload documents to the file and any extra staff time required for this effort.” What will go into the new online public file? It’s billed as a “modernization” of the public file rules which date back to 1938. But as radio’s public file transitions from a cabinet in the station’s lobby to an FCC-hosted online database, little will change in terms of content. Stations will still be required to maintain, among other things, FCC authorizations, applications, contour maps, ownership reports, EEO materials, issues/programs lists, and time brokerage or local marketing agreements. The political file will also still be required to be part of the documents offered to the public, including data showing the spot rates charged and the class of time purchased by federal candidates — information which will still be required to be retained for at least two years. “In general we expect that these files will be smaller for radio stations than for television stations as fewer political advertisements air on radio,” the FCC says in its proposal. Letters from the public would also be posted online, unless a writer asked it be kept off the web. Social media messages however would be exempt. The agency has also tentatively rejected a request by public broadcasters to allow stations to keep donor lists out of the online file. But the FCC says that’s required for TV and it sees no reason to treat public radio differently. Just about the only difference with an online file is the FCC plans to allow the public to create a digital contour map.

Pai: FCC needs to be ‘sensitive’ to stations without web access. FCC chair Tom Wheeler has said more needs to be done to bring high-speed internet connections to rural America, but for the time being there are wide swaths of the country that don’t have broadband. As requirements for an online public file are contemplated, FCC commissioner Ajit Pai says that needs to be taken into consideration. “I intend to pay particular attention to the feedback we receive from small radio stations,” Pai says. He points to his trip to Fort Yukon, Alaska last year, to Gwandak Public Broadcasting’s “Radio 900” KZPA, where he found a station with “extremely limited” resources. “We should be sensitive to the fact that KZPA and many other stations like it just don’t have the bodies and bandwidth to handle every regulatory requirement Washington might conjure,” he says. But with even Pai supporting a requirement other stations put their public files online, the comment period on the proposal over the next two months isn’t likely to sideline the mandate from being adopted in the coming year. Orlando’s new ‘Wolf’ bridges country’s past and present. Those who believe country is destined for more fragmentation in 2015 can now point to Orlando as another market to help make their case. JVC Media’s “103.1 The Wolf” WOTW, which launched Friday, is positioned as “country hits and throwbacks.” It’s taking on Cox Media Group’s top-rated “K-92 FM” WWKA by offering an alternative, “a country station that’s not afraid to play throwbacks,” as one of the upstart station’s slogans puts it. Big current and recurrent hits from Luke Bryan, Dierks Bentley, Jason Aldean, Scotty McCreery and Blake Shelton make up the bulk of “The Wolf” playlist. But it’s weaving more gold into the mix than the average country station. Heard in its first several hours were Alan Jackson’s “Little Bitty” and “Southern Man,” Alabama’s “If You’re Gonna Play in Texas,” Brooks & Dunn’s “Lost and Found,” Ricochet’s “Daddy’s Money” and other hits from the ‘90s and latter half of the ‘80s.

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The goal is to slice some shares away from “K-92,” which posted a 6.5 share in Nielsen’s November survey, while expanding the country pie with listeners looking for a mix of old and new. WOTW, formerly former Spanish hits “KQ103” WHKQ, marks Long Island-based JVC’s entry into Orlando. Program director Rod “Shadow” Grant, Shadow promises a “very promotionally active and visible” station. “This is going to be a radio station that is live, local and fun, the way radio is supposed to be,” Grant says. For now it’s in the midst of rolling 10,000 songs in a row.

FCC fines Davidson Media over EEO violations. The Federal Communications Commission has levied a $5,000 fine against Davidson Media after it concluded that the company didn’t do enough to meet the agency’s equal employment opportunity recruitment requirements. The Media Bureau says Davidson filled six full-time vacancies between 2009 and 2011 but didn’t publicly recruit for three of the positions — two were filled through referrals and another was filled by a “walk- in” applicant. As part of a penalty on the company, the FCC has ordered Davidson to file regular EEO reports with the government until July 2015. The decision green-lights license renewals for three Davidson stations. Inside Radio News Ticker...iHeart grows in Connecticut...IHeartMedia has struck a deal to expand its presence on coastal Connecticut. It will pay $450,000 for two translators in a deal with Revival Christian Ministries. The deal includes the Meriden, CT-licensed translator W252AV at 98.3 FM. And the New London, CT-licensed translator W283BW at 104.5 FM. A filing with the FCC says the translators will simulcast Hartford market modern rock “Radio 104.1” WMRQ-FM, although the station is no longer owned by iHeartMedia, so the company may have other plans for the new signals..Detroit Radio’s Burton dead at 85...Detroit Radio Advertising Group president Bill Burton has died from complications from a fall at his home. He was 85. Burton led the Detroit trade group since January 1990. Before joining the Detroit Radio Ad Group, Burton was president of Eastman Radio. He started at the rep firm as an account rep and worked his way up through the years… AdLarge to rep Cumia show…After his dismissal from Sirius XM Radio after racially-charged Twitter messages, Anthony Cumia has set out on his own with a web-only program. He’s struck a deal with AdLarge Media to take that show to advertisers. AdLarge VP Jay Green says Cumia has a “tremendous following” and his move to the web has “only increased his reach.” Cumia’s show airs Monday through Thursday from 4-6pm ET. The deal allows AdLarge to expand its digital audio advertising business... People Moves...A new contract for “Pags” plus more year-end staff changes. Check out People Moves HERE. “Loveline” host Dr. Drew gets a daytime slot at L.A.’s KABC. Dr. Drew Pinsky won’t just be on the air after dark starting in 2015. Cumulus Media has announced an expanded relationship with Pinsky. He’ll partner with Mike Catherwood to host a midday show on “Talk Radio 790” KABC, Los Angeles. The company’s network division, Westwood One, will also pick up syndication duties for the nighttime “Loveline” show, with 35 local Cumulus stations adding the call-in advice show to their lineup. In a statement, Pinsky calls the expanded deal with Cumulus a “tremendous opportunity,” especially getting a timeslot on KABC. “It will be a great platform to connect with listeners during the daytime,” he says. The daytime show has been named “Dr. Drew Midday Live with Mike Catherwood” and is part of what Cumulus says will be a “new reenergized lineup” for KABC, which has struggled in the ratings in recent years. The station had a 0.7 (6+) share in Nielsen’s November survey. Earlier this month longtime afternoon talk show Larry Elder exited after nearly two decades at the station. Westwood One had already been handling advertising sales for “Loveline,” which will remain based at CBS Radio’s modern rock KROQ, Los Angeles (106.7). Cumulus says the show will also continue to be available digitally via PodcastOne. All-Christmas format is a gift to up-and-coming artist. The all-holiday format isn’t the only annual tradition at iHeartMedia AC “106.7 Lite FM” WLTW. So is adding an undiscovered artist to its Christmas playlist. This year the spotlight is shining on Elizabeth Chan, who tells Mediabistro being on the radio has boosted her career. Whenever her song “Christmas In The City” airs on WLTW, she sees digital sales of her song jump. And over the past several weeks she’s seen her Facebook page likes grow tenfold to nearly 10,000. “They’re the radio station that can make Christmas standards, because they’re really selective about the music that they play,” she tells Mediabistro. “It’s usually gold standards, so I am definitely an anomaly.” She tells the site that she grew up with her parents listening to Christmas music on WLTW and that sparked her love of the genre.

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No shirts? No hats? No problem!

Many radio stations are entering the start of the new year with great promotional ideas for right now or for the Spring book. But many get slapped back to reality when the cost of the promotion exceeds the budget.

Don’t give up on a great idea. Radio promotions can help your station in many ways, from increased ratings to new revenue from new clients.

Sun & Fun Media helps radio stations by providing what they need - but can’t afford. From promotional items like shirts and hats to Disney vacations. From studio equipment, to concert tickets, TV spots to local billboards. If you meet the minimum ratings requirements, the sky’s the limit on what Sun & Fun Media can provide, 100% barter.

The company has also developed several radio-only partnerships that help stations produce new revenue. For example, CarPoint is a custom automotive lead delivery system that provides local dealers with data on potential buyers, all generated by your station.

Sun & Fun Media helps radio two ways; by providing merchandise via barter, and with new revenue sources designed exclusively for radio. ([email protected] or 800-735-0060)

Broadcast Technology is On The Rise

As the media industry continues to innovate and evolve, the need for technical talent has become critical.

The National Association of Broadcasters Education Foundation is addressing this need through its six-month Technology Apprenticeship Program (TAP) for high-tech graduates and professionals who want to build a career in the broadcast industry.

“TAP got me in the same room with engineers who have been doing it for years,” says Aaron Levine, 2014 program graduate. Levine was recently hired as an engineer with WAMU in Washington DC.

“I think the biggest thing I got from TAP was seeing the amount of innovation that’s happened and really being able to get my hands on that technology, as opposed to just reading about it,” he adds. “When I was in school, we worked with analog and digital gear but we didn’t work with network audio, transmitters, codec for IP or anything like that.”

The paid apprenticeship provides its participants with:

• A free trip to the NAB Show in Las Vegas; • A two-month Paid internship at a radio or television station; • A visit to an industry-related manufacturer for customized training; • The opportunity to present a webcast to the industry; and • The opportunity to become a Certified Broadcast Technologist.

Thinking back on his experience, Levine concludes, “TAP really opened me up to the world of broadcasting; it gave me a chance to show my worth at a large, public radio station.”

The program’s next cycle begins in March 2015. Know a rising star? Encourage them to apply now.

Applications are due 1/15/15. To learn more about the NAB Education Foundation’s diverse offerings, visit nabef.org.

Great ideas and products featured in Must Read Monday come from innovative companies, sponsors and our greatest resource-our readers! If you have a success story or idea to share, email: [email protected]

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If you have a reason to be in the South Central Illinois area, and CALIFORNIA if you are a “selling manager”, Cromwell Radio Group has a great It’s warm and sunny position for you. Growing area, college town on interstate. Not a today in Southern turn-around. Performing wonderfully. Need the right GM with solid California! business and digital knowledge to keep it that way and growing. We Riverside/San Bernardino’s have three FMs, two being the most listened to Country and CHR All Pro Broadcasting Alt Rock stations in the region. Great community involvement. X1039 (KCXX) is looking for an aggressive, high energy This is a position where you can sales leader with a proven make a difference and see it. It track record to lead our sales is not a position for “ratings or department. Must possess transactional” selling GM. It’s a excellent organizational and time management skills along “roll your sleeves up, get the job with a “can do” attitude. done, serve the community and Candidates must be self be a leader” position which is motivated, self disciplined, always appreciated in smaller markets. Base plus bonus and good a great communicator and benefits for the right person. Current 11 year GM leaving on great a positive leader. terms for a position she can not pass up and we support her. Please contact VP/GM Bill McNulty at: Candidate must be involved in the community and be able to lead by [email protected]. example. E-mail resume and cover letter to: No calls, please. [email protected]. E.O.E. All Pro Broadcasting is an Equal Opportunity employer. LOOKING FOR THE PERFECT RADIO SALES SALES - NEW YORK OR MANAGEMENT PRO? Salem Radio in New York is PLACE YOUR JOB OPENING HERE! looking for a dynamic individual EMAIL: [email protected] FOR A to join the sales team for AM 970 The Answer and the legendary WMCA 570, qualLOOKING FOR A MARKET MANAGER TO LEAD BY EXAMPLE New York’s Christian Talk. Compensation is commensurate Are you sick of corporate radio and want a piece of the action in a with degree of experience dynamic market with proven stations? and skills. This is a fabulous career opportunity for the right Wilks Broadcasting is seeking a proven leader to run its Country individual with one of the finest Station - 92.1 The Wolf, Classic Rock - 100.9 The Bandit, and AAA broadcasting Station - 100.1 The X in Reno, Nevada. companies in America. Media experience a must. This position requires the ability to lead by example; desk jockeys need not apply. Our Market Managers become our partners with real equity so you must be a dynamic leader, a consummate salesperson, love to make sales calls, have a strong work ethic, desire to build a great team, believe in honesty at all times, and be able to handle tough coaching.

You must be a radio professional with experience as a Email cover letter and resume to: Sales Manager, Director of Sales or Market Manager. [email protected]. Salem Media is an Equal Note “Mkt Mgr” in the subject line when sending your Opportunity Employer. resume and salary requirements to: [email protected]. E.O.E.

INSIDE RADIO, Copyright 2014. www.insideradio.com. All rights reserved. No part of this publication MORE OPPORTUNITIES may be copied, reproduced, or retransmitted in any form. This publication cannot be distributed @ INSIDERADIO.COM >> beyond the physical address of the named subscriber. Address: P.O. Box 567925, Atlanta, GA 31156. Subscribe to INSIDE RADIO monthly subscription $39.95 recurring payment. For information, visit www.insideradio.com. To advertise, call 1-800-248-4242 x711. Email: [email protected].

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