800.275.2840 MORE NEWS» insideradio.com THE MOST TRUSTED NEWS IN RADIO THURSDAY, JUNE 4, 2015 Study uncovers room for quality improvement in programmatic data. As the radio industry gears up for programmatic ad sales, new research finds there is big room for quality improvement in the consumer data sources currently used by advertisers to make buying decisions. Based on interviews with 22 advertisers, agencies, media companies and data providers, the study offers guidelines for improvement across the entire advertising industry. Beyond just automating the buy-sell process, programmatic relies heavily on data that describes the audience in terms that go well beyond age and gender. But the growing number of consumer purchasing, demographic and lifestyle data sources being used – and the complex ways they’re being combined – pose a quality challenge, the study finds. Agencies say advertisers and media partners want more transparency and control when making decisions based on so-called big data. With the number of data sources accelerating at such a rapid clip, the report recommends greater disclosure and transparency and standardizing vocabulary and metric definitions. It also calls for the creation of a roster of items that must be asked of data suppliers and the creation of best practice standards. Jane Clarke, CEO of the Coalition for Innovative Media Measurement, which commissioned the study, said it’s intended “as a very large first step towards identifying how to evaluate and require data quality.” Asking the right questions should lead to data suppliers making data quality “a competitive point of distinction that drives the level of quality across all data firms,” according to Gerard Broussard, principal of Pre-Meditated Media, who led the report. Old Spice ‘Mandroid’ campaign takes top honors at Radio Mercury Awards. Wieden+Kennedy captured the $50,000 Best of Show prize for their “Mandroid” campaign for Old Spice last night as the Radio Mercury Awards honored the best in radio creative. Arnold Worldwide global chief creative officer Jim Elliott, who served as chief judge, called Mandroid “above and beyond the most captivating and creative campaign we heard.” While presenting the award, Elliott explained the judges’ decision to not give an award in the Best Promotional Use of Radio category. While he and the other judges heard “several contenders” in the category, there was “no clear winner,” Elliott said. “However, what struck us most in both the Promotional and Most Innovative Use of Radio categories was an emerging use of new technologies, along with social media and other channels, to reach and strengthen the connection with listeners.” Starting next year the two categories will merge into a new award under Elliott’s guidance. The Most Innovative Use of Audio award will recognize “forward thinking, innovative, tech-based applications and promotions that harness the power of audio,” according to the Radio Advertising Bureau, which produces the awards show. This year’s Marketer of the Year Award went to Subway, a top radio client that RAB CEO Erica Farber said “consistently leverages radio, both creatively and contextually” and whose media spend “demonstrates their core belief in the power of radio to drive their business forward.” Held in New York, the show was presented by Hubbard Radio in partnership with iHeartMedia. Jubal and Brooke from Hubbard CHR “Movin 92.5” KQMV, Seattle hosted the event, which included presenters from Cumulus, Emmis, CBS Radio and iHeartMedia stations in New York. For a list of winners, click HERE [email protected] | 800.275.2840 PG 1 NEWS insideradio.com THURSDAY, JUNE 4, 2015 FCC process reform legislation advances in the House. Legislation that would change how the Federal Communications Commission conducts business has moved a little closer to reality. The House Energy and Commerce Committee yesterday advanced the FCC Process Reform Act, which proponents say would bring more transparency, accountability and predictability to the Commission. hR 2583 now includes four amendments, encompassing the three Democratic and three Republican proposals approved by the Communications and Technology Subcommittee. The bill was approved by a voice vote. Subcommittee chairman Greg Walden (R-OR), a former broadcaster who co-authored the bill, vowed to continue his years-long push for FCC reform “until we get this done.” During a contentious House hearing in early May, Walden called the existing FCC power structure “a charade” and an “insult to our First Amendment rights.” Among the proposed changes are requiring the FCC to post a rulemaking draft before it’s been voted on, allowing more than two commissioners to meet outside of public meetings, and publishing a list of items that are placed on delegated authority – that is, decided at the bureau level in lieu of a commission vote. The National Association of Broadcasters quickly chimed in with a thumbs-up. “Creating a more efficient and transparent FCC is vitally important to helping radio and television broadcasters fulfill their mission of serving local communities,” EVP of communications Dennis Wharton said in a statement. PwC forecasts more online radio competition. Broadcast radio remains the dominant audio medium in the U.S by a long shot. More people are listening than ever before, according to Nielsen, spending an average 165 minutes a day with radio, making it the second most consumed non-print medium after TV. But time spent listening to radio has slowly declined, particularly among younger listeners. “As online competition grows and smartphone and tablet usage increases, traditional broadcasters will feel increasing disruptive pressure,” PwC says in its Entertainment & Media Outlook 2015-2019 report. The firm points to iHeartMedia’s digital strategy as one intended to ensure it has the best possible chance of maintaining its dominance in the online environment rather than simply letting digital companies siphon listeners away. With 50 million registered users, iHeart Radio “seems to be on a path towards thriving in the digital environment,” the report states. The report notes how iHeart is on “a surer financial footing” due to its hefty broadcast radio ad revenue and that the sheer size and influence of iHeartMedia afford what PwC calls a short-term competitive advantage on the monetization front. The portability and seemingly limitless choices offered by radio’s digital competition will continue to create challenges for the medium. “For all the uncertainty of the digital future, one thing is clear,” the report states. “Competition and disruption are both going to intensify.” Using behavioral targeting, Rhapsody will send special offers from bands to fans. Rhapsody users will be alerted when their favorite band comes to town and receive info and offers about new bands they discover under a new alliance between the streaming service and online music marketplace BandPage. Rhapsody says it will use behavioral targeting to deliver fans info and special offers from their favorite musicians. The streaming service says it will rely on millions of data points collected from users who “favorite” and share tracks and follow musicians to deliver the right offers to the right fans. The company says its biggest music fans – those who listen and engage the most – will be treated as VIPs and be directly notified of special opportunities such as private shows and custom recordings. CEO J Sider says users will “never get anything that feels like spam, they will only see offers for their favorite bands.” Used by 500,000 musicians including big acts like Rihanna, Maroon5 and Carrie Underwood, BandPage distributes artist info to content providers like Pandora, iHeartMedia, Vevo and Xbox. The San Francisco-based company, which was built to develop new ways to generate revenue for musicians, also gives artists more control over what information and content is shared across the internet to their fans. “We’ve known that we were sitting on a goldmine of information about music fans and have been looking for ways to help drive revenue for musicians while improving the user experience,” Rhapsody international director of traffic & demand Greg Spils said in a statement. [email protected] | 800.275.2840 PG 2 NEWS insideradio.com THURSDAY, JUNE 4, 2015 It’s catch-up time for Apple’s iTunes Radio. Apple is expected to revamp the iTunes Radio service for its Worldwide Developer Conference next week. But when it comes to streaming music, the tech behemoth finds itself in a position it rarely occupies: playing catch up. That’s in sharp contrast to its dominant position in the paid digital downloads market. ew data from consumer research company MusicWatchshows iTunes Radio is the sixth most popular service for music streaming among U.S. internet users, aged 13 and older. Just 10% of the internet population reports using the service during the past 12 months. Apple trails YouTube (used by 49% of the web populace), Pandora (35%), Spotify (16%), iHeartRadio (15%) and Vevo (13%). In fact, three out of four iTunes Radio users also stream music from YouTube and nearly the same proportion also listen to Pandora. However iTunes Radio is more at parity among iPhone users. More than two in ten iPhone users report using it, placing Apple third behind Pandora. The figures refer only to free, ad-supported versions of the services and are based on a survey of 5,000 U.S. consumers, age 13 and older, with results projected to the U.S. population. MusicWatch founder and managing partner Russ Crupnick believes if iTunes Radio weren’t an Apple service, the industry would be applauding its progress. “But with nearly 70% of all U.S. internet users now streaming music, Apple has an opportunity to become more competitive in that market,” he says. Two new NextRadio-enabled phones arrive from LG. A pair of new LG devices has been added to the roster of NextRadio- enabled phones, bringing the total number of supported devices to 40.