Will Howard Sterns Major Move have a Dramatic Effect on Radio Advertising RevenueWritten by Louis Victor - New Age Media Concepts
Recently “King of All Media” Howard Stern announced his agreement with SIRIUS Satellite Radio, question is what type of impact will that have on world of radio and it’s advertising revenue?Well lets just look at impact that Howard Stern himself has made on world of radio, he is undeniably one of most popular figures in world of all media not just radio. He has made his mark on media as being pioneer of what they have dubbed “Shock Jock”, but before that was popular he was one of only radio personalities that had vision and more importantly had heart, for lack of a better word, to make his own path and not follow herd. He created a revolution of sorts in world of radio spawning a new breed of Disc Jockey in all of major radio markets. Stern has overcome adversity and has been pinned to cross more times than not. He has commanded loyalty from his audience and from his team, this has helped him conquer any market that he was allowed to enter. So him being one man, how is this going to possibly have any major effect on radio advertising?, Howard Stern is a leader and an innovator, his listeners are loyal to him, these are ratings, high ratings equal increased advertising dollars. He is essentially “Pied Piper” of radio but this doesn’t only hold true for his listeners but it holds true for industry. Is it out of question that he will attract best of best to follow him to SIRIUS?, I think it’s more of a reality than most radio stations want to admit.
| | Accountability in AdvertisingWritten by Louis Victor
There has been a lot of talk as of late in regards to level of accountability that an advertising agency should have when working with an advertiser on it’s branding and campaign endeavors. Since “Merger Mania” of all big players in advertising industry has been in full swing there have been a lot of accounts in review and accounts jumping from one agency to next. So what are advertisers actually looking for, are they looking for new ideas? Perhaps, are they looking to build or rebuild their image? Could be or are they in search of agency that steps up to plate and says “Hey we’re partners in growth of your company and it’s our responsibility to help increase your sales revenue and if we can’t then we shouldn’t get paid”. Simple thought but not 100% realistic because there are a lot of cost associated with developing branding ideas and then launching initiative. But there has to be a comfortable medium that would make sense to both ad agency and advertiser. Recently at a panel discussion during “Advertising Week” in New York, Stefan Jacoby of Volkswagen made a very strong statement in regards to ad agencies, “The 15% rule is ancient, ad agencies should share accountability with advertisers”. Low and behold they are working on consolidating their global billion dollar advertising efforts with just one ad agency, as opposed to five or six. Well if that isn’t an indication of things to come then I don’t know what is. Everyone will have an opinion on this subject, as will I, but it doesn’t change fact that when an advertiser brings in an ad agency, they don’t do that just to create a cool commercial and a catchy line, they do it to help increase their sales revenue. So if ad agency doesn’t do well, they get fired, but they also get paid their fee.
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