This annual Power Of Urban Radio summit, which brings together the leaders from Urban radio with the nation’s top marketers and African American advertising agencies, takes place on Thursday, September 16 in Washington, DC, as part of the National Association of Black Owned Broadcasters (NABOB) Fall Management conference. This year’s topics will include the challenges Urban radio is facing now in terms of advertising, the impact of the PPM measurement system, as well as how the future looks for the format. There’s also likely to be a lot of discussion on the trend for marketers to drop African American agencies in favor of using general market ones, and the possible impact that could have on Black radio. Urban First talks one-on-one with the man behind the Power of Urban Radio, Sherman Kizart, President of Kizart Media Partners, on this and other subjects, here:

RI: What are the biggest issues Urban radio is facing in terms of advertising, right now?

Kizart: I’d be the first to agree that things are getting better - primarily on the national level. Over the past year, Urban radio has been able to enjoy the fruits of the growth in that sector, just like other formats. But local radio advertising in Urban and all formats, continues to be an issue. It is slightly up, but nowhere near the levels that national advertising has grown.

The actions that are going to allow Urban radio to continue to grow its advertising are threefold:

1. There has to be an ongoing effort on the part of radio, to educate marketers – national, regional and local - on the strategic value of focusing their advertising at the $1-Trillion spending of the African American consumer.
2. The second is to show that Urban Radio is the best vehicle to reach this audience. More so than through television or digital vehicles, both of which have their roles, but neither of which has the longstanding and special relationship with African American consumers that Urban radio has.
3. We must do a better job of educating our partners at the agencies. We must continue to work closely with the African American agencies in particular, who are currently under attack. In the past year, I’ve seen more marketers make the decision to drop ethnic agencies, whether it’s for economic reasons or other reasons. This is not in the best interest of Urban Radio. I repeat, this is not good for Urban radio.

RI: I’ve spoken to several market managers about the issue of marketers dropping African American agencies. One told me “I don’t care where I get the buy from, as long as I get the buy.” What’s the problem with that statement?

Kizart: That kind of thinking is short-sighted. If the African American agencies are gone, and the general market agencies absorb those dollars to place, they will go into other media. It isn’t simply a matter of someone else placing those dollars on Urban radio. Those dollars will be redistributed amongst other media like digital, print and television. We’ve seen that to be the case already in several situations.
Throughout their history, African American agencies have consistently used Urban Radio as a main vehicle to reach this specific consumer. With the budgets they have, they get the best results from Urban radio.
RI: How can African American agencies help marketers choose quality over quantity when it comes to Urban radio?

Kizart: I think it’s more appropriate to say that they have a sensitivity and an understanding of the African American segment overall. African American consumers are better understood by African Americans. And the connection to Urban radio is apparent to them. In addition, they understand how to use different kinds of Urban radio targeted to different segments of African Americans, for each marketer.

RI: There was some advertising growth in the early part of 2010 – but now I’m hearing from Urban radio managers, that growth has significantly slowed down and in some cases, advertising is flat or down. What do you think are the reasons for this?

Kizart: The biggest thing is that there is still concern about the economy, among everyone. We have not come out of the recession completely. In recessions past, Urban radio has still done reasonably well. But in this recession, it has required a great deal more stick-to-it-tiveness. But the good news is that in the third and fourth quarters, the political season will help advertising quite a bit. There are a couple of African American agencies that specialize in political campaigns, and they are already planning dollars for Urban radio.

RI: Who will be attending this year’s Power of Urban Radio summit in Washington D.C. and how will meeting these people help you in your business in 2011?”

Kizart: In general – the Power of Urban Radio summit draws major marketers such as Home Depot, Boost Mobile, AARP, and others. It also draws the leading African American advertising agencies. This year we have the CEOs of every African American ad agency in the county attending. Couple that with the leading media buyers across the nation, and the African American broadcast owners.

For those who are serious about doing business in Urban radio, whether you are a marketer, a buyer or an owner, this event can have a substantial impact on your business today. Not just in 2011, but right now.