by Tom Taylor | tom@in3media.com | 609.883.3321

Wednesday, March 10th 2010

T-R-I’s “Radio 2010”, Day 1

So far, it’s a big-market recovery, but some small markets lag.

“Earnings Season” is where the public companies report their fourth quarters and pacings and projections for 2010. But how about the non-public radio companies? T-R-I is starting to poll CEOs, and the early responses are that traditional small-market stalwarts like car dealers and banks are still not supplying much juice. Two CEOs check in today, and let’s get right to Georgia-Carolina Radiocasting’s Art Sutton –

Art Sutton says his group’s same-station revenues were down 8% in last year’s Q4 and “This continued into January. February was off by the same amount. March may be up a little. There are other stations outside our group who report their sales are up, but in the cases I am aware of, it's something like a local election or perhaps a large radio spender just opened shop in town. Two of the big spenders in small markets are banks and car dealers. Needless to say, both are having historically difficult times. The car dealers left are the ones who didn't go hog wild when times were better, so they tend to be a little more conservative. Political advertising will help us make up lost ground, but that is temporary. Long term, we have to do what small town radio has always done best, which is to develop new advertisers. Call on accounts most reps pass by each day thinking they either won't buy or can't afford radio advertising. Many small markets replaced ad dollars lost to non-radio-spending chain stores with local governments. Now they are cutting back, too. I think this may well be the wallop that hits radio this year, at least in the smaller markets. I still think this is a slow, slow recovery that won't feel like a recovery for years to come. Radio stations which stay current on trends and have smart business plans can thrive in this ‘new normal.’ That can't be said for many other businesses.”

Jim Leven of Community Broadcasters LLC says “first quarter was probably up over 25%, after being just shy of flat for last year’s fourth quarter. So we’re pacing very, very well in the first quarter – our team’s done a great job.” But he says “it’s still challenging. People still think before they spend. It’s all about customer-focused selling, being close to the community. We used to talk about ‘finding the customer’s pain and then finding the analgesic’ with an advertising solution.” That formula still works, Leven says. And advertisers are gradually realizing they need to get their message out there. But – the upstate New York owner says “Who knows what’s going to happen tomorrow? Unemployment is still over 10% in our marketplace and it’s almost at 12% in one of our counties.” Leven’s aware of the debate about the effect of having just one large national rep but he says “We have Eastman, and [Eastman owner] Katz is doing a good job by us." Veteran station owner Leven says “It’s very important to mind your knitting with the product, focus on the community, and keep customer-focused selling paramount.” Running a group or some stations? I've love to hear your own Q4 and Q1 experiences - at Tom@in3media.com.

CBS Radio’s talk-based stations will be geo-blocked starting tomorrow – no foreign access.

This ends the unexpected reprieve from the new CBS policy T-R-I told you about last month, where CBS joined the ranks of those streamers which cut off access to their online product for computer users outside the U.S. The cutoff affected just the music stations and surprisingly left the sports, talk and all-news stations available. Now I hear that on Thursday, “CBS Radio will complete all phases of the GEO-IP project…this includes all music, talk, news and sports stations streaming [their] broadcasts.” The CBS internal memo makes it very clear that “this project effectively disables all non-U.S.-based consumers from accessing content via the AOL, Yahoo! and CBS streaming networks.” This is going to disappoint a lot of Americans abroad who’ve monitored WCBS-AM, New York or KCBS, San Francisco to maintain ties with their home cities. Foreign users will still be able to download podcasts and “episodes-on-demand.” But if they’re trying to click on a live stream, they’ll get a message “directing them to our sister property Last.fm, where the consumer can enjoy endless personalized radio stations and discover more music.”

That’s to “reduce the bandwidth and royalty costs caused by unattended listening of the streaming platform” – from a user in Germany or Sweden who decided to go grab a long lunch and watch a little World Cup soccer. The AOL and Yahoo! platforms already use the one-hour timeout. And CBS says “many of our competitors have similar, if not more rigid, blocking [no non-U.S. access to streaming] and timeout standards.”

“Southern California Talk” replaces adult standards “Spa” on Art Astor’s two AMs.

It’s happening Monday, says Don Barrett’s LARadio.com site and the schedule is a hybrid of Talk Radio Network-syndicated shows and programs from CRN (Cable Radio Networks). CRN’s Michael Horn will function as both program director and sales consultant for KSPA, Ontario (1510) in the Riverside market and San Diego North KFSD, Escondido (1450). Horn says “individually, the AM stations have been very difficult to sell.” So the plan is to “package Art’s two AM stations along with the lineups also being offered on one of our CRN Satellite channels. The three outlets should provide a strong sales story for local and national advertisers.” What’s the lineup? At least for the 1510 signal, it begins at 3am on Monday with TRN’s Mancow. Then Laura Ingraham live at 6am. Followed by a CRN lifestyle show that includes Horn titled “What’s Cooking Today.” Then there’s the 11am-noon “Talk Back” with Chuck Wilder. Then Dr. Laura from noon-3pm (same three hours she’s on CBS Radio’s KFWB/980 in L.A.). Then TRN’s Michael Savage, Rusty Humphries, the “PM Show” with actor Robert Conrad and (again) Michael Horn. Then Doug McIntyre’s Red Eye Radio, and Barry Farber, 2-3am. Weekends feature some original programming from KSPA ops director Jeff Gehringer. The schedule above is for KSPA and it will be simulcast on KFSD from 6pm-3am. But there will need to be some replacements on KFSD to prevent conflicts with local affiliates. Such as – Doug Stephan, 3-7am, Dennis Miller, 7-10am. Lou Dobbs will start at noon and Laura Ingraham runs in PM drive until the simulcast kicks in at 3pm. Both stations will use CNN Radio news.

That’s the estimated CAGR – Compound Annual Growth Rate – for radio and TV combined, rising from $29.9 billion last year to $34.3 billion in 2014. BIA/Kelsey doesn’t offer estimates for radio by itself, though that’s available in the new 2010 U.S. Local Media Annual Forecast, for clients of its new Digital Strategies for Broadcasting service. We do get a breakout for digital revenues for the two broadcast mediums – growing an estimated 18% year by year through 2014. Last May’s inaugural Winning Media Strategies conference held in D.C. is now the Digital Strategies for Broadcasting confab, and it’s in the New York area (the Jersey City Hyatt Regency), May 17-19. More info here.

Jelli sticks at 10 stations on launch date.

CBS tried out the crowd-sourcing technology – social networking harnessed to a radio station and its website to select tunes in almost real time – on its San Francisco alternative station, “Live 105” KITS. Last Summer, Jelli CEO Mike Dougherty told me he was excited with the beta testing, because he lives in the Bay area and is a regular listener. The Sunday evening tryout of “user-controlled radio” – within limits by the station – worked, and Jelli was picked up for national distribution by Triton Media. Now Triton announces its first ten affiliates, and they include a second CBS modern rocker (X107.5 KXTE, Las Vegas). Greater Media’s alternative “My 92.9” WBOS, Boston. And Nassau’s hot AC WPST, Trenton-Philadelphia (94.5), Beasley’s modern rock “99X” WJBX, Ft. Myers and GAPWest’s CHR KTRS, Casper (104.7). Jelli offers listeners a catalog of tunes online and encourages them to either vote for it (giving it a rocket) or against it (a bomb). Even while it's playing on the air live, they can say it "rocks" or "sucks", and if it gets enough boos, it's pulled off immediately. Kirk Stirland, president of programming at Triton Media's Dial Global syndication unit, says there are two versions - Rock Jelli and Pop Jelli.

Syndicator Superadio Network says “listeners will have the ability to follow with the show [online] and be part of the action at any time.” They call it “tapping into the wisdom of the crowd.” The special “On Demand Hour” is entirely listener-directed, music-wise. Online fans can also help DJ Richie Rich with the mixing in the “Twittamix” feature. Justin Bieber is the first-week guest (March 27), and Philly-based host Romeo will offer social networking and the chance to chat with the 16-year-old star. Tim “Romeo” Herbster is based at Clear Channel's “Q102” WIOQ, Philadelphia, where he’s the PD, digital content director and afternoon host. “Saturday Night Online” airs 7pm-midnight local time. Superadio’s SVP Programming & Affiliate Relations Rich O’Brien says it will be live on ustream, Skype, Twitter, Facebook, ChatRoulette “and other digital platforms.” Premiere will handle the national ad-repping for “Saturday Night Online.”

Latest “Stark Country” newsletter – “As the job market tightens, broadcasters consider careers outside of radio.”

Heck, not even “careers” – just steady jobs. Our Country Executive Editor Phyllis Stark here at Radio-Info.com delivers Part 2 of last week’s column about out-of-work country PDs, and some of the stories this time are jolting – guys who used to have “a comfortable lifestyle”, but now their kids qualify for free lunches and they have to tell a child they can’t go out for basketball because the family can’t afford the shoes. There’s a lot of pain and some bitterness about potential employers (sometimes old friends) who don’t respond to job inquiries. Today’s Stark Country has a “lighter note: Keith Urban joins the Handsome Men’s Club on Jimmy Kimmel.” If you care about country, do start getting “Stark Country” from Radio-Info.com by email – here.

In today’s Urban First newsletter from Radio-Info.com – Tre Black…Job opening in San Fran…the Source & Slacker.

Dana Hall recalls sharing a Palm Springs-to-L.A. car ride with Tre Black and sharing his enthusiasm for the business and new music (“he turned me on to a group named Portershead”). Now Tre’s dead at 41 of an apparent heart attack, and Radio-Info.com Executive Editor Dana Hall sums up his contributions to the business. She also previews a job opening at San Francisco’s KMEL and generally covers the rest of the week in urban radio. If you follow the format, you probably already know and trust Dana Hall. To subscribe to her Urban First Newsletter, at no charge, go here.

In Orlando – There’s a two-way tie at the top between two Cox Radio stations which both have a 6.4 share (age 12+ AQH) this month. Urban AC “Star” WCFB moves 7.2-6.4 and rhythmic “Party” WPYO is basically flat, 6.3-6.4. Cox is pretty happy about the #3 station, too – its country “K92” WWKA moves 5.4-5.6.

Raleigh – When the Winter book is released in another two months, urban AC “Foxy” WFXC and CHR “G105” WDCG may still be battling it out for the 12+ honors. This time Foxy (6.4-6.7) is just slightly ahead of G105 (6.8-6.6). “Rush Radio 106.1” WRDU debuted on January 1, two-thirds of the way into this rolling three-month average, and the combination of its former country format and talk Rush Radio moves 1.7-2.3. While Curtis Media’s news/talk WPTF, which lost Rush Limbaugh, drops 6.4-4.6.

Jacksonville – Cox talk simulcast WOKV-AM/FM is the obvious #1, 9.8-9.0. While there’s a scrum for the #2 through #4 slots. Renda’s AC WEJZ and Clear Channel’s urban AC WSOL are tied at identical 6.6 shares. Urban “Beat” WJBT is right behind, 6.1-6.4.

Grand Rapids – Clear Channel’s sitting 1-2-3, led by country WBCT, 8.2-8.0. Then come CHR WSNX (7.4-7.7) and talk WOOD-AM (7.3-6.7).

Shreveport – Two stations in double digits this month, and they’re both owned by Cumulus. Urban AC KVMA moves 9.8-10.7 and urban KMJJ is stable, 10.1-10.0.

» Arbitrons Phase I Arbitrends back to top » 34. Orlando - 1,523,100 42. Raleigh-Durham - 1,332,100 46. Jacksonville - 1,144,400 67. Grand Rapids - 717,900 133. Shreveport - 336,100 Click on the city to review recently released Arbitron ratings. View a complete list of Arbitron markets here.

» Wheeling & Dealing back to top » Another Radio Disney selloff, this time in Greensboro, NC. Disney paid $1,675,000 for 5-kw fulltimer WCOG (1320) in 2005 – and here in early 2010 it’s selling it for $350,000. As this T-R-I Newsletter has been saying, Disney’s concluded that with the Internet and other new media, it just doesn’t need broadcasting towers in smaller and medium markets for distribution, and it’s already announced selloffs in markets such as Wichita and Norfolk, and a temporary shutdown of the signal in Tulsa. It took WCOG dark on January 22 to save the electricity costs (January 29 T-R-I). Now here comes Raleigh-based Don Curtis, doing some bargain-hunting. He’s already the largest owner of stations in North Carolina and this pickup gives him a nice AM signal for a decent price. There will be a new format at 1320 for the first time since late 2000, when then-owner Truth Broadcasting first LMA’d WCOG out to Radio Disney, before the actual sale in 2005. Brokers for this year-2010 sale to Curtis Media – Bill Schutz of Schutz & Company for seller Disney, and John Pierce for buyer Don Curtis. The latest on the contested sale of “Classic 99” KFUO-FM in St. Louis? Two U.S. Senators are now involved. Republican Kit Bond and Democrat Claire McCaskill are both interested in the odd transaction, says Sarah Bryan Miller in the Post-Dispatch. First it was Bond adding his voice to the outcry that includes two House members (Republican John Shimkus and Democrat Lacy Clay) and a whole bunch of members of the leadership of the Lutheran Church-Missouri Synod, which has run KFUO-FM (99.1) as a commercial classical station for decades. Senator Bond says (a bit confusingly) that “I have asked the FCC to initiate a Congressional inquiry into this matter.” While the staff of Senator McCaskill says it “has been in contact with the FCC regarding the sale.” Whoever does the investigating, it might slow down the sale to local non-commercial Christian broadcaster Gateway. And that’s what opponents are hoping to do – throw up enough roadblocks to get the Synod to cancel the deal negotiated (apparently single-handedly) by its representative, Kermit Brashear. “Classic 99” fans allege that Gateway lied on its transfer application and that the Synod has engaged in discrimination during the sale process. On the face of it, the deal’s not particularly good for the cash-hungry religious group. Most of the money comes from Gateway in later years. The St. Louis Board of Radio-Info.com remains interested in the story. » Sound Bites back to top » Rick Dees is recruited to join TKO Radio Network’s Classic Top 40 format, taking the place of Charlie Tuna in the weekend lineup. That puts Rick’s “Weekly Top 40” shows from the 1980s on TKO, and positions Dees alongside talents like John Landecker, Jim Zippo, Eric Chase and Marty Thompson. A new country “Wolf” is howling up in Watertown, NY, as oldies WGIX, Gouverneur (95.3) was parked yesterday in favor of country “Wolf” WLFK. It’s owned by Community Broadcasters LLC (Jim Leven, Bruce Mittman) and the Wolf is consulted by Joel Raab. And isn’t Barry Mardit also helping out? Online “Munchkin Radio” aims at kids who aren’t ready for Radio Disney, and the Salt Lake City Tribune observes that it’s quite a stretch, formatically, for creator Mike Peer. He once worked at Howard Stern flagship “K-Rock” WXRK, New York (92.3) and played plenty of hard rock in his day. Then he wound up in Salt Lake City, the father of two young daughters, and he wanted something age-appropriate for them. He started out making mix-tapes for his first daughter – songs from popular kids’ movies, etc. – and realized that in Salt Lake City, there might be a market. Now he and business partner Kevin Powell are building an audience for “Munchkin Radio” through word of mouth and common-sense marketing. If Mike sees a child’s car seat in your vehicle, he puts a flyer on the windshield. » Faces on the Radio back to top » Jim Mandich told his audience on Beasley's WQAM, Miami (560) that he's leaving his afternoon talk show to focus on fighting his cancer. Mandich came to broadcasting after an NFL career that brought him to Miami as a tight end for the Dolphins. More on the Miami Board of Radio-Info.com. Chuck Wilson, an original ESPN Radio voice from its January 1992 launch and later a baseball specialist for XM starting in 2005, is back at ESPN Radio. First assignment – hosting the NCAA Men’s basketball tournament selection show this Sunday evening. He’ll host “Baseball Tonight”, “Football Tonight” and other shows for Bristol, CT-based ESPN Radio. Sounds like one of the things Chuck’s proudest of, lately, is being named one of the “100 Most Influential Sports Educators in America” by the Institute for International Sport. Carl Hirsch, radio entrepreneur, has long been generous with his philanthropy, especially with the Cleveland Clinic. Now the medical facility says he’s made a $1 million gift to the Cleveland Clinic Health and Wellness Center in Palm Beach. The Hirsch family previously donated $1 million to the Cleveland Clinic’s Lerner Research Institute and Hillcrest Hospital in Ohio. His broadcasting credits include being President/COO of Malrite Media, President/CEO of Legacy Broadcasting, and founder or co-founder of OmniAmerica and NextMedia. Cecil Heftel will be remembered as a one-of-a-kind broadcast station owner, mentor and friend at a Sunday, March 28 memorial service at Hawaii Theater in Honolulu. It’s at 2pm and it’s open to the public. His family is gathering photos of “Cec” and asking they be sent to Phil Arnone (PhilArnone@hawaii.rr.com). Sins – From Tuesday’s T-R-I - the new CHR Sunday night show you can belong to is “Club Kane”, and not “Kane’s Club.” Got a newstip or bright idea? I'm at Tom@in3media.com. Tom Taylor » Classifieds back to top » Miami Dolphins Integrated Media Sales Group Account Executives Responsible for developing Integrated Media Campaigns for new customers utilizing one or multiple Miami Dolphins Media Assets: Broadcast / Digital Video Print / Digital Publications Broadcast / Digital Audio (Radio Play-by-Play and Shoulder Programming) In-Stadium and Out-of-Stadium Association, Events and Sponsorships New customer development skills need to include a complete understanding of the strategic and conceptual sales process from suspect to renewal, as well as, a strong acumen and proven track record for uncovering and understanding customer marketing / sales needs; ability to develop a creative marketing / promotional solution utilizing multiple media assets to communicate a concept; and a passion for learning about new media and integrated media selling. We are committed to serving our fans and advertisers in the General and Hispanic Media Markets. Contact: Jim Rushton SVP Corporate Partnerships and Integrated Media Miami Dolphins and Sun Life Stadium jrushton@dolphins.com