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Radio is Considered "Mass Media" for a Reason

 

In his Monday Morning Memo Newsletter titled, Radio of Tomorrow?, Roy Williams explains how successful Radio is reaching the masses. He writes: "Radio alarm clocks wake America in the morning and Radio remains our companion in the car. People who work alone at night - about 14 percent of our nation - think of the Radio as a friend."

Print media and electronic media have suffered with the digital age, but broadcast media such as TV and Radio are still the ones that reach the masses and have the greatest influence in shaping people's ideas.

In a world where everything is overwhelming, it's hard to know where to put your ad dollars to reach the most people. What we tend to forget is that the majority of Americans still turn to the basic broadcast to get most of their information. 

"Radio is considered "mass media" for a reason: It reaches the unwashed, unfiltered masses. Rich and poor alike. Homeowners, apartment dwellers, and children still bumming a room from their parents..... If you want the public to think of you when they need what you sell, a nonstop radio schedule will work wonders." - Roy Williams, The Wizard of Ads

On one hand it's important to know the niche and the lifestyle of your market, but when you're looking at the bigger picture, Radio can deliver your message to a larger variety of masses, while simultaneously remaining local.  It's the best of both worlds. In short, Radio's mass appeal is necessary and influential. It has a big impact on our thoughts, cultivating our knowledge about the world, life, social issues and orienting our attitude towards them. Including Radio in your marketing mix is probably the single most important link to you and reaching the masses. 

 

 

 

Set Yourself Up for Success in the First Quarter

According the U.S. Department of Commerce, the first quarter is red hot for bookstores, office supplies, florists, auto dealers, and real estate. It is also primetime right now to set the ground work for a great first quarter. Radio listeners have money to spend. Will you be the business they spend it with? Who will own their share of mind?

January

Book Stores – January accounts for up to 13.3% of their annual sales.

If you’re a bookstore or you're trying to make the best-seller list, getting on top of people's minds in December through January would be a good way to start the New Year. Portland Metro Radio listener's spending power on average $11,832,000 each month. Seattle/Tacoma Metro Radio listeners spending power on average $16,444,000.

Office Supply Stores – January accounts for almost 10% of their annual sales, really the whole first quarter is big for this industry. It makes sense doesn’t it? People want to get ready, be organized and face the New Year. This category should hit the ground running first quarter. Portland Metro Radio listeners' spending power on average is $15,602,00 each month. Seattle/Tacoma Metro Radio listeners' spending power on average is $27,978,000.

February

Florists – You guessed it, Valentines Day makes this month worth on average 10.5% of their annual sales. The monthly spending power of Radio listeners each month for florists in the Portland Metro area is $3,844,000. The spending power of Seattle/Tacoma area Radio listeners is $5,540,000.

Auto Dealers (Used) – The monthly spending power of Radio listeners this month for used cars is $351,233,000 in the Portland metro area. The spending power of Seattle/Tacoma area Radio listeners is $649,498,000.

Real Estate (New Homes) - Houses light-up this month typically with 9% of annual sales.

March

This is a big month for everything "car"! New, used and car parts are all hot selling items in March. New car dealers sell about 9.2% of their annuals sales. Used car dealers who are on the mind of the masses will achieve about 9.4% of their annuals sales. And, auto part stores see a surge with 8.6% in sales this month.

Portland Metro Radio listeners have the spending power on average of $27,262,000 each month. Seattle/Tacoma Metro Radio listeners have the spending power on average of $49,382,000.

Win With Radio

Inventory is more available in the first quarter so you may be able to negotiate fabulous integrated package with local Radio groups or stations. You can really hit the market running with on-air messages, personality endorsements, online, email, streaming, and social media. There is a real opportunity to stand out and feature high selling solutions for New Year resolution consumers. All these assets can come in handy to create a potent interactive and high-touch marketing solution.

 

Sources: Data is obtained from the U.S. Department of Commerce and publications focusing on specific industries. “HOT” months (8.6% or more of annual sales). Arbitron Retail Spend 2012 Report for Portland and Seattle. 

Bling Bling 2013

 

According to Diamonds.net, jewelry sales made a big comeback in 2011 and 2012.   

"Jewelry store sales in February 2012 rose 18.7 percent year on year to $2.69 billion, according to the government's calculations. For the first two months of the year, jewelry store sales have increased 13 percent year on year to $4.42  billion. Meanwhile, the index for consumer jewelry price inflation in January was at a record high, reflecting price increases of 8 percent from one year earlier, and the index rose 6 percent in February." (Source: Diamonds.net)

Predictions say bobbles are still hot for 2013. Radio has a ready audience for these gems of affection, according to Arbitron in their Spend Report 2012 people in Seattle/Tacoma Metro areas spend about $26 million a month on jewelry and Portland Metro spends about $12 million.

February, May, and December are key months to make sure 2013 is a prosperous year. The US Dept of Commerce says that those three months equal 37.2% annual sales for retail jewelry sales.

Media Audit research shows that Radio and TV are media of choice for jewelry consumers. The PowerPoint above shows the effectiveness in reaching target audiences throughout the year with Radio and TV. Radio is particularly strong in Portland, and for Seattle, Radio rounds out a strong campaign by reaching people who don't watch TV. 

 

Two Kinds of ROI

 

We all know that advertisers are looking for ROI, "Return On Investment," when they choose a media mix, but they should also consider the marketing mix and its ability to achieve Real Observable impact. 

Historically, the value of return is measured in dollars and cents only, which can be misleading. Today, most consumers are not brand-loyal. The real challenge in advertising today is authentically changing perceptions and owning a share of mind. Jack Trout, World renowned marketing strategist and author of several classic marketing books explains in an interview, 

"What’s happening in the real world is the commoditization of things. In category after category analytics are becoming commoditized. The question is: How do you differentiate yourself? You need powerful differentiating ideas. Commoditization numbers are not doing an effective job of communicating.  They are not telling the story of their brand. You’ve got to get on Radio to tell your story.

Products all look the same, but they don’t have to sound alike."

A one-time purchase is not a real return on investment.

The 'quick-fix' is only an illusion of profitability. The "transactional approach" strategy commoditizes the product. The irony is that 80 percent of your business comes from repeat customers. In other words, building solid relationships is a long-term fruitful way of doing business now, and in the future. This "relational approach" reaps the largest rewards if your advertising strategy supports this business practice.  Read the differences between the two approaches here.

Radio Proves its Value When Measured with Traditional ROI

While measuring the success of a campaign, media should take into account perceptual changes due to clear strategic positioning, the truth is, many still just look at the bottom-line.

That is why Arbiton set out to measure Radio's fiscal impact in a marketing mix. In a recent article from Radio Ink Magazine, Carol Hanley wrote about how the new PPM system is collecting positive data on how Radio is directly impacting ROI. 

"Arbitron, along with partners Dial-Global and Premiere, undertook an extensive study to determine how Radio data can be enhanced to improve the modeling process. We spoke with modelers, advertisers, and agencies to identify best practices and how to design new model-ready data. We then worked with three leading modelers who compared the results using these new data with what they had used previously. The results were very encouraging.

Their research reveals that Radio hits home on both financial and perceptual ROI.

• Radio listeners remember the way commercials make them feel.
• Radio listeners seek out brands pre-shopping due to hearing them on the Radio. 
• Radio Listeners are loyal to brands for additional purchases.

Radio delivers sales and can create a movement that may not be about the immediate sale but will make a difference long-term. 

What kind of impact is your marketing campaign creating? Are your advertisements memorable?  Are customers telling everyone about you? Are you creating a story that the listener cannot forget? Increase both of your ROI's with a good Radio campaign. 

Download Arbitrons ROI Study Here

 

 

Link Station Assets for Better Frequency

 

Radio Ink posted an article reminding us about the power of a good media mix, which is something advertisers tend to take for granted when it comes to Radio.

In it, David Gifford writes on why advertisers must still use Radio as part of the overall media advertising mix for ad buys.

Here are some highlights:

• Media mix translates to adding more and different ad media to increase reach.  Overspending on reach, at the expense of driving commercial messages home repeatedly, represents the biggest mistake in advertising today. In short, reach doesn't mean anything without frequency.
• A proactive, Radio-driven media mix campaign includes using many platforms to connect with a consistent relationship-driven audience. Radio uniquely works well with digital connection points.  Advertisers increase frequecy and connection by linking station assets.
  
  
• Here is an example:  Run a robust spot radio schedule, activate promotions, and/or big event sponsorships, create buzz with texting and Twitter, give info with website tie-ins linked to prospects' websites, connect with direct mail to your listener database, point-of-purchase merchandising, and partnering with outdoor to help advertisers reach those active lifestyle consumers when they’re out shopping.

Read the full article here.

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Tim Miles: Two Kinds of Compliments

“Young man, I want to pay you two compliments,” he said – with a wink in his voice before so much as a ‘hello’ in our weekly phone call.

(These calls always make me nervous. What if we’re tracking downward? What if the things we’re doing aren’t working? But, you have to make the call. You do the hard thing especially when you’re worried it’s not working.)

He and I are finishing up our first year together. We’re about ten months into our partnership.

“First,” he said, “I am humbled by your greatness. 

"Sir," I said, "It's awful early to be drinking."

“No, sir,” he said, “How in the world you listen to me ramble on and on about the business and customers and somehow come back with just the right thing to say to bring us new customers … well, I just don’t know how you do it.”

I have learned, and repeatedly practiced, saying simply, “Thank you, sir.” I do not take compliments well – particularly these kind of compliments.

“Second,” he continued, “we closed out January and made our goal by $940. Last January, we missed our goal by $81,000. And I want to thank you.”

Those kinds of compliments, I take very well. We each swung our own hammer to benefit the business. We did what needed to be done.

Today, we spent a few minutes sharing in the success, and then we got back to work. It’s a tall mountain, and we’ve only just begun to climb.

As I look outside and see the dim pallor of the day and hear the guy on the radio talk about snow coming this way, I can't help but think it’s a beautiful day.

Success is so much sweeter when shared with someone who makes you smile.

Thank you, sir.

Tim Miles
Milestones for Small Business
www.justonewins.com 

 

Facebook Fail

In a recent article in eMarketer we got the low down on the problem with Facebook advertising: no one pays attention to them. In a May 2012 poll by the Associated Press (AP) and CNBC, 83% of Facebook users in the USA hardly ever, or never, clicked on online ads or sponsored content when using Facebook. 

Although Facebook still has a lot of daily engagement, people don't stay on one page for very long and move quickly from page to page. They aren't interested in the ads. Getting a consumer to click through a brand website is difficult.

Consumers don't like to leave the Facebook environment. “A very common thing for a lot of advertisers is when they try to direct users off of Facebook, they find that their conversion rates are considerably lower than if they try to keep them within the Facebook environment,” says Chad Warren, senior manager of social media product marketing at Adobe.

In contrast, Radio holds more than 92% of it's lead-in audience during commercial breaks without turning the dial. This dispels the myth that people turn the dial when a commercial comes on.  

Let's remember that Radio increases website traffic by 52%, which means using Radio to drive traffic to your Facebook fan page, or to your personal website, is the way to go. Radio starts the conversation, which then leads clients to more direct clicks. 

 

 

Tim Miles Gets Rave Reviews!

The results are in. This is what small business owners said about Tim Miles: This is Your Brain on Marketing. There were 42 respondents out of 112 attendees. The entire survey is at the bottom of the page.

Here are the highlights:

• 100% said they would recommend other business owners to attend a Tim Miles Seminar.
• 75% were so impressed they want to make time to meet with Tim next time he is in town.
• 97% said that they will use the information provided to improve their daily business.
• 62.9% want a workshop designed to help with crafting a marketing position and strategy.

A sampling of what was said about the content of Tim's presentation:

"I saw his presentation in October, but I never get tired of hearing his advice, and I found the personality test fascinating."

"I learned what motivates consumers and when it's useful to market to the various types."

"I like his advertising philosophy and his basics for a well run business."

"Every thing about the distribution funnel diagram."

"The discussion about owning radio real estate before moving on to another station."

"All of it. Some confirmed what I already knew. Thank you for reaffirming the snail mail mailers don't work and to be consistent with message...Most useful is how the brain reacts, and the chocolate ad paradigm."

"Radio takes time so be patient. Treat it like a campaign instead of one commercial forever. Produce a clever slogan or saying that is used on every ad."

"All of it! It was a great presentation and I hope to come back in October!"

"The most memorable quote was, "advertising is the penalty you pay for being unremarkable." I also liked the idea that advertising must engage the mind in specific ways to be effective and something other than white noise."

"I learned the difference between Transactional v Relational Customers."

"Learning about breaking through the broca part of the brain."

"How important telling a story is to getting your message across. Also, being realistic about how many people you want to reach, and customers you can handle well vs people just in the door."

Tim Miles Seminar Survey - Your Brain on Marketing

View more documents from Melissa Kunde

Tim Miles Part 5 of 5: It’s Elementary

Part 5 of 5

(Bragging Father’s Note: It’s worth pointing out that our son was non-verbal just a couple years ago. We never cease to be awed by his progress, his mind and the patient guidance he receives from his teachers, therapists and classmates.)

The morning after I’d gotten back from speaking to a group of not-for-profit organizations, Will said to me:

“Daddy, you should come speak to my class.”

“Will, what should I talk about?”

“I don’t know. Rachel’s mom talked about Hanukkah. Do you want to talk about Hanukkah?”

“Probably not, buddy.”

“Okay. You think about it.”

So I did.

Listen, I’ve spoken on a stage in front of more than a thousand people, and it didn’t produce more than a flutter of anxiety, but at that moment – trying to imagine holding the interest of a group of forty discerning elementary school students – I nearly soiled one of Baby Sarah’s diapers.

How could I engage them?

Well, with storytelling, I suppose. It’s kinda what I do.

So I thought about every Pixar movie we love and deconstructed a simple, foolproof method for inventing any story that I could then teach to the children.

I think. It’s seemed foolproof. It worked on my son. But – I don’t know if I’ve mentioned this – he’s alarmingly and unfairly intelligent. And handsome.

Daddy’s Fool-proof, Sure-fire, Rock-solid, Lots-of-hyphens Storytelling Formula

Answer these questions:

1. Who’s your story about?
2. Is anybody with them? Who?
3. Where are they going?
4. Why?
5. Is there a bad guy?
6. Who?
7. What’s in their way?
8. Why?
9. How do they get around it?
10. How do they live happily ever after?

Go ahead, try it. Tell me you couldn’t write a great story following that formula.

Oh, and tell me also – isn’t that pretty much strategic planning? Couldn’t you use it to simplify the problems facing your business? Try it the next time your worries get too big.

Yesterday, I shared a part of a presentation called Strategic Planning Made Simple.

I think Will and I have developed our next presentation. We’ll be coming soon to an elementary school near you. : )

 

Tim Miles Diagnosis: Company

Part 4 of 5

“What kind of iPad should I get?”

Being known as 3e geeeky, I get asked that question at least once a week.

I know they want an easy answer. Something like, “Black 32gig wifi,” but I always start my advice by answering their question with a question of my own:

“How do you plan to use it?”

I mention this because I’m always anxious when meeting a new client – as we are this week in Tennessee – that they’ll expect easy answers to complex questions and simple fixes to compound problems.

We want easy answers, don’t we?

We crave black and white.

We like life being a gumball machine – coin goes in, gum comes out … every time. Safe. Predictable. Just like magic.

The problem is – companies aren’t easy or simple. Life ain’t a gumball machine and things are rarely black and white.

Questions usually lead to more questions, don’t they? Or, at least, they should.

That’s the doctor’s most important job, isn’t it? The diagnosis.

Sometimes, I’m an iPad doctor. Sometimes a company doctor.

I mention this because today, when touring our new client’s training room, I spied this on one of their white boards. When I saw it, I knew we were going to be okay. They don’t tell people “Black 32gig wifi” either. 

Tim Miles, Wizard of Ads