Today’s Broadcast General Manager

RBR.com & TVBR.com –Mike DeLier, President, The DeLier Group. mdelier@thedeliergroup.com In most respects, it has always been a tough, demanding and often criticized job: that of a broadcast General Manager. The broadcast General Manager has all of the responsibilities senior management positions have in other industries; tasked with financial concerns, lender concerns, upper management concerns, concerns of employees and customers. But unlike most of those, he/she must concern themselves with a federal regulatory body, and an outside rating service on an every day basis, or at least, several times each year. The findings of either could very well determine their future. Because of these demands, you have the dynamics of a very unique, challenging, highly visible and volatile job. Some General Managers understand the dynamics of the platform better than others, and adapt to a changing universe on a regular basis. The world we operate in is filled with more economic peril than ever before. Many lenders are putting pressure on group executives and General Managers to perform more than ever before. A major reason is, as always, economic in nature in order to capture the necessary revenue and BCF. Simply put, the responsibilities of all broadcast executives and especially the front line General Manager are many and they are fraught with personal and professional peril. The old saying of “if the revenue doesn’t get you, the ratings will” still holds true, but now you can add HR to that as well. As we all know, we live in a very litigious world, and the fear of being sued stops many managers from involving themselves in problems, because as one becomes aware of problems, it becomes their responsibility to correct them, and there is exposure in the fixing. That is a major problem in this industry right now and why we see so much complacency, blandness, sameness, lack of on air energy, et al. Not rocking the boat has taken over for rocking the ratings and the revenue! So why is it that some General Managers succeed while others fail? I think the answer lies somewhere in the past. Until recently, and maybe going back 10 or so years, and certainly with the General Managers of 30 or 40 years ago, General Managers were risk takers. They had to be. They were experimenting with formats, newscasts, with equipment and the complexities of integration, with multiple audience measurement companies, talent, clients, personnel issues, demanding bosses, all of it. There were no perfect formulas then and there are no perfect formulas now…though some sales and news consultants would have you think so. I believe they contribute to the sterility of the industry, the cookie cutter approach to stacking and producing newscasts, the shine your shoes and diagnostic approach to selling, all of it. And with what results?? The difference was and is inventiveness; some might call it impulsiveness, and say that impulsiveness is wrong, a bad thing. Well, not in the broadcast world it’s not. Risk taking rather than risk aversion, creativity, not predictability, and hard selling everything they aired was the norm. There was very little risk aversion to upsetting an agency, and if so, you went to the client. If your viewers and listeners didn’t like what you were programming, no matter, they could go to your competition with your blessing. It didn’t prohibit a General Manager programming and airing what he/she believed was good for their station and requiring the sales staff to go sell it. And General Managers made calls right along with the AE’s. That was just how it was done. Now management and staff are so concerned with developing new media that their eyes are off the ball. I am not referring to the Internet. Personally, I find the internet unbelievably compatible with radio, television and cable operations. I am speaking about the time, effort, and resources spent developing the one trick pony rather than the daily effort necessary to concentrate on the core operation of broadcasting. Originating more local newscasts and then selling time that is adjacent and within it—that it reaches our viewers and listeners should be the most specific concern of all management at all levels, second only to protecting the license. Many stations understand this, while others seek to take their executives and staff off the street to develop additional resources that are years away from duplicating a station’s current revenue stream, let alone surpassing it. I have to have developed more non traditional revenue than anyone else I have ever known….but never at the expense of the monthly or quarterly revenue figures that were budgeted. NTR should be icing on the cake, not used to make budget. Relying on NTR to make budget is a dangerous game and rarely lasts unless the General Manager and the General Sales Manager are focused on it. The easiest way to make budget and grow revenue is to grow rates. Like everything else, there is an art to raising rates. Successful management understands how to raise rates, when to raise rates, and how to do it effectively. Poor performance in ratings and revenue usually confirm a lack of proper management, not necessarily at the General Manager position. Most times, a new General Manager is anointed with his or her position, having recently been a News Director or Sales Manager. They may have little or no understanding as to how other departments actually work and spend most all of their time back operating the department they know best…that which they just came from. They don’t know and sometimes don’t care to know how other departments work, how to supervise and give direction, how to plan and to manage that plan and to integrate all departments into that plan, and further to use all the resources available to them at the station. The best resource available should be a department head. If they know their department they should be a great aid in the development of the General Manager. Usually, if a new General Manager is not as successful as hoped, it is not always their fault. It may reflect poorly on the current department heads. If they received little or no training from the previous management it will probably take this station time to get up to speed. But get up to speed it can. It always can with good leadership. There are those who wonder why some stations even with the same network perform better than others.. It’s not hard to understand why. Operating a broadcast entity is not accomplished by magic. Rather, by assessing the needs of a station, preparing a plan, organizing that plan at all levels, and implementing that plan. Also, by being so engaged in it that the General Manager knows and understands every facet of it. If the plan is not meeting goals for any reason, then it is important to have the business acumen, guts, nerve, whatever you want to call it, to effectuate change quickly and smartly, and to once again mobilize the staff and head off into a better direction. Generally speaking, you have more information to effectuate the change in plan than you had to make the original plan. Hard work, product knowledge, leadership, total immersion in the operation, by being at the facility daily, talking, learning, coaching up, training, listening, helping, making quick and precise decisions that allow for speed, strategizing with the department heads, discussing the goals for the month, the quarter, the year, and for that day are difference makers. When the sense of creativity and immediacy is lost, all may be lost. When a General Manager cannot or is not capable of comfortably strategizing with department heads , learning their issues, and problems, helping to solve them today if possible and move on, then how can the correct goals for these departments be established and adequately supervised, accountability maintained, and expectations met? Well, they can’t! And that affects the ownership, investors, staff, community…generally with devastating effects. For the most part, the original broadcasters who formed this industry understood this. They were bold without being brash, aggressive without being arrogant, and led by example, and not by isolating themselves from problems so as not to make a decision that could carry personal and professional risk. Nope, they led from the front. If you don’t believe this…ask yourself this question. As an individual, what have I done today that will grow my stations ratings, revenue, and reputation in my market? If the answer is “a lot,” good for you. You pass muster! If it is,” I don’t know, or I am unsure,” then seek out the necessary training and skill set to develop your managerial and leadership skills. Learn how to operate with innovation, creativity, purpose, and ethics. I once worked for a fellow who never watched television…and actually bragged to his staff about it. I thought it absurd then, and think it absurd now! Listening, watching, that’s the job! That’s your product, your responsibility. The most embarrassing question that can ever be asked of any of us is, “I was watching your station last night, and on your news I noticed…..” Or, “I was listening on the way to work this morning and I heard…” Or simply, “What was that all about?” And you hadn’t watched, nor listened and don’t know. How can we ask a viewer or potential advertiser to watch or listen and support our station if we don’t watch and listen? It doesn’t make sense, does it? Our progress is imperiled by certain choke points, usually caused by ourselves. If only we would once again become risk takers, become spontaneous, throw in some impulsiveness, some bold and quick action. To do this we don’t need more screaming on the radio, nor more salacious programming on television and cable. This is not what I mean by risk taking. Leadership is what I am talking about. Being fully engaged in the operation, accepting responsibility every day, all the time. Demand that a handshake seals the deal and is final. Demand that we hold ourselves accountable and hold our department heads and staff accountable. Our FCC license asks of us, requires us to serve in the interest, necessity and needs of our community. Can we honestly say that we are doing this every day? Does the current programming on television, radio and cable reflect this? Are we passing down to the new people what commitment to excellence really is? We have the ability to create our own environment. Let’s be cognizant of that, proudly go broadcast and sell what we have created. You don’t create ratings. Ratings reflect the energy, passion, efforts and direction of a broadcast facility. If all of this is in place, revenue, I have found, takes care of itself.

More Del Taco ads for radio.

Braking News for Radio Managers: The California fast food chain Del Taco is launching a new ad campaign that will rely on radio, TV, outdoor and digital and social media. The ads, with the tagline, “UnFreshing Believable,” emphasize the fresh-for-less positioning. The campaign kicks off with a brand spot and then another commercial will introduce Del Taco’s new “Buck & Under” menu. No budget for the campaign was released. Del Taco has more than 550 restaurants in 18 states. Go create some competition from your local-direct Mexican eatery...Philip Jay LeNoble, Ph.D.

Teaching The Old Dog Some New Tricks

Online Spin Wednesday, April 24, 2013 By Cory Treffiletti “Business has only two functions: marketing and innovation.” This quote is attributed to novelist Milan Kundera, according to most places I searched (some people attribute it to business author Peter Drucker). It’s a great quote, though I'm not sure how Kundera is qualified enough in this arena to have made this statement in the first place. But I do find this ideas interesting as a thought-starter. We live in a world where marketing IS innovation, and now we’re knee-deep in the evolution through two generations of marketers. Allow me to explain. When this business started, back in 1994, visionaries foresaw an opportunity: a world where the Internet would become the central communication tool, and they would establish a basic business around it – that is, a marketing business. During those years we sat back and pontificated about a world where the “dinosaurs” would become extinct and the new generation would take over. We imagined what it would be like when the marketers who believed in digital rose up through the ranks and took their rightful seats at the head of the table slowly being vacated by the old marketing guard. This old guard firmly believed in one inalienable truth: that TV advertising was the driver of business growth. This succession came not so long ago, when most every major brand in the world awoke to the idea that digital drives its customer interaction strategy, sitting alongside TV as the lynchpins of marketing efforts. All roads drive to digital, and those that don’t are slowly creating atomic bonds with digital as a means of measuring their traditional performance. That brings us to where we are today… We sit at a tipping point driven by data , and the quants are saying the same thing about the generation in front of them: They can’t wait until the digital leaders move out of the way and make way for the data scientists. Those “established” marketers who believe (unfortunately) in click-through for direct response and reach/frequency for brand-building are on the precipice of being succeeded by the data junkies whose analytics chops are deeper and more determined. These are the people who revel in the value of database analytics and the algorithmic modeling of customer profiles. Nobody likes to admit they’re wrong, and even fewer like to admit they don’t know or understand something. If you’re 20 or even 30 years into your career and you plan on working for another 10-20 years, you are being forced to acquire a whole new skill set, one that may not come naturally to you. That can be hard. Many years ago I wrote a column about how our brains, those of us in our 30s and 40s now, are being rewired to process information particles from numerous sources differently. We are satisfied with input from many sources, only an inch deep, to allow us to formulate our opinions. We are directional in mindset and can make our decisions, implement and move quickly, all the while understanding that we may have to revisit those decisions later. Behind us sits a more analytical generation, who thrive on the ability to run permutations of data to determine the proper decision to be made. They will take longer to make a decision, but that decision will be more informed and odds are that it will survive in the long run. These are the people you are hiring, who will eventually inherit your job. In the meantime, this is what you need to do to be successful for the rest of your career: You need to learn some new tricks. You need to be comfortable with the fact that innovation does not always look like revolution, but that it can be slower and evolutionary. You may have to look deeper at challenges and find different solutions rather than work the first one that comes to you. You may need to become more analytical, or at least make space for those around you who are naturally more analytical. Marketing innovation is being driven by analytics and the ability to put analytical outcomes into action. The rate of business growth is not directly proportional to the process by which decisions are made, but its very possible that if you crunch enough of the data that your decisions, once implemented, will have a more profound effect on the results than the agile-driven, directional decisions you previously made. Are you the old guard now?

Marketing Evolution: Moving From Text To Images

Online Media Daily by Apu Gupta, Yesterday, 9:00 AM The sheer volume of images generated on social media is staggering. Between Facebook and Instagram alone, consumers are generating nearly 2.5 billion images every week. Images are becoming so core to the social experience, that Facebook just revamped its feed to be more visual. Add into the mix Pinterest, Tumblr, Polyvore and Wanelo, and it’s clear that consumers increasingly prefer to communicate with pictures rather than words. There are two primary sources of this imagery: consumers and brands. Instagram is heavily biased toward user-generated content — photos taken in the moment by consumers eager to share their lives. For example, Instagram users tag Starbucks in images over 10,000 times daily. Conversely, Pinterest is dominated by images supplied by brands. Over 85% of Pinterest engagement comes from consumers saving images from the Websites/blogs of the brands they visit. Taken together, these platforms represent a powerful continuum of the things people want (Pinterest) and those things in action (Instagram). Pinterest, in particular, is driving substantial results for brands. Unlike Instagram, images on Pinterest link back to brands. Those links have enabled Pinterest to become the Web’s third-largest traffic referral source. For numerous retailers and publishers, Pinterest has actually become their top referral source. The traffic converts, with average shopping cart sizes over 75% larger than Facebook. That's not surprising when you consider 70% of Pinterest users use the service to look for shopping inspiration. Digital marketers will need to adapt to these new visual conversations in order to drive consumer engagement and revenue. But, like all things worth doing, this isn’t easy. Despite their long histories, many big brands, particularly in the CPG, consumer electronics and financial services sectors, don’t have compelling repositories of visual assets readily available. In addition, visual conversations are hard to “hear.” Current social listening tools are built to recognize keywords. On Pinterest, for example, only 11% of conversations contain brand keywords, making almost 90% of engagement essentially invisible to brands. Finally, unlike Facebook and Twitter, there is no easy and scalable way to directly buy reach via media spend on emerging visual platforms such as Pinterest and Instagram. So what’s a digital marketer to do to get started in this new world of marketing without words? *Leverage user generated content -Encourage fans and employees to share their brand stories and ask for permission to highlight these photos. *Don’t do it alone – Cultivate relationships with those that engage with you frequently. Provide these advocates exclusive content to share and invite them to collaborate on your visual presence. *Make your site shareable– Integrate “PinIt” buttons throughout your site, and if you’re still using Flash, stop. *Be authentic – Know your brand identity and your brand voice. Even if you don’t have your own content to share, make sure the content you do use fits your brand’s personality. Every shift in consumer behavior brings with it both significant challenges and incredible opportunities. By adapting to this new behavior, you humanize your brand and migrate from transactional relationships with your consumers to emotional relationships with your fans.

Eye Tracker Finds Which Ads Actually Stick, Pushes 'Cost-Per-Visual' As New Madison Avenue Currency

Online Media Daily by Joe Mandese, Yesterday, 8:54 AM Even as Madison Avenue pushes to raise the bar for ad exposure from an “opportunity to see” to a “likelihood to see,” a promising new research technology has emerged that could raise it even further to, well, actually seen. The new research, which is based on state-of-the-art eye-tracking technology, uses consumers' own eye movements to verify what ads they have looked at. While eye-tracking technology has been around for years, what makes the new system -- dubbed Sticky -- so powerful is that it doesn’t apply it in a laboratory or a resting facility, but in the real world, in real-time, while people are exposed to ads online. “Fifty percent of all ad impressions are never seen,” says Jeff Bander, president of Sticky, who recently won the Advertising Research Foundation’s “Great Mind Award” for helping to develop the innovative media tracking technology. That percentage, he notes, is the same as the oft-quoted John Wanamaker line: "Half the money I spend on advertising is wasted. The trouble is, I don't know which half." “Now,” says Bander, “we know which half.” Utilizing the webcams built into their own computers and handheld devices, Bander says Sticky has already tracked ads actually seen, or not, among 350,000 consumers. That’s 700,000 eyeballs, more or less, creating a new form of media currency that some of the biggest advertisers in the world have already begun to use. Among Sticky’s biggest customers is Procter & Gamble. How Sticky might play into media negotiations isn’t exactly clear, but it comes at a time when Madison Avenue is pushing the online industry to adopt a new standard of “viewability” for advertising exposure, meaning an ad has to be viewable on a consumer’s screen -- not “below-the-fold” -- for at least one second to be credited as an ad exposure. Fifty percent of impressions are never seen. “Viewability is nice, but viewability just means that an ad is within the viewable area of a screen,” notes Bander, adding: “It doesn’t mean a consumer is actually looking at your ad.” Citing estimates from the Interactive Advertising Bureau that as much as 30% of online ads run outside the viewable area of a consumer’s screen, Bander says viewability is a good first step, but that the only way to know if someone has actually seen an ad is to track their eye movements. Sticky was recently re-branded from its original corporate name, Eyetrackshop, to evoke the connotation that only the ads your eyes stick to are the ones advertisers should pay for. Bander says that logic evolved from some early beta work Sticky did with P&G, which wanted to know which of its ads were seen or not seen, in order to develop a “real CPM,” or cost-per-thousand for the money it spends to reach consumers. “Their question basically caused us to reinvent our model,” recalls Bander, who says Sticky has refined the notion of a CPM by developing a CPV, or cost-per-visual, which is the actual dollar cost of reaching 1,000 consumers -- or 2,000 consumer eyeballs.

TV Spending Nears $80 Billion, DVR Penetration Chasing 50%

TV Blog by David Goetzl, Yesterday, 4:24 PM Wasn’t one supposed to kill the other? Annual TV ad spending is closing in on the $80 million mark, while DVRs could soon be in 50% of U.S. homes by the start of the new TV season. In an annual report, Nielsen estimates 46% of homes have a DVR, marking a 9% increase over the prior TV season. Meanwhile, the research firm says the U.S. TV market generated $76.5 million in spending in 2012, a 6.5% increase. Without spending attached to an Olympics or federal elections, the growth rate likely won’t be as robust this year, but a less than 5% increase would still propel the total market beyond $80 billion. Reality TV continues to deserve some credit. Last year, nearly 40% of all ad dollars were spent in prime time. While drama programming drew the most of any genre at $7.8 billion, the $5.6 billion spent in reality TV dwarfed the $2.7 billion for comedies. Delving deeper into the DVR-verse, Nielsen data indicates -- not surprisingly -- that the larger the household income, the more likely it is to have a DVR. Nearly 70% of homes with incomes $100,000 or more have a DVR, while 60% have one in the $75,000-$100,000 range. The data shows 25% of homes with incomes of $30,000 or less have one of the devices. But penetration is growing fastest among that group, up nearly 13%. If last year’s growth rates repeat themselves, about 60% of homes with incomes of $50,000 or more will have a DVR by the time new shows launch in the fall. Meanwhile, for all the talk about gaming consoles -- Microsoft and Nintendo are marketing them as entertainment hubs -- growth declined in the past year, albeit by only 0.2%. Data shows 45% of homes have one. Among the five income segments Nielsen identified, the group making less than $30,000 a year watches the most prime-time TV -- one hour and 23 minutes a night on average. Those with household incomes of $100,000 or more watch barely over an hour. Time-shifted viewing is growing in all income segments. The daily average rose from 21 minutes to 25 among the $30,000-$50,000 income segment -- the most for any group.

How do great leaders get great confidence?

SmarBlog on Leadership By Dana Theus on April 8th, 2013 | Comments (0) Why would anyone follow a leader with no confidence? They wouldn’t. Too many aspiring leaders leave the development of this critical skill to chance when, in fact, confidence is one of the easiest leadership skills to build all by yourself. You don’t need anyone else’s permission or consent to get started. Great leaders figure this out along the way, so why not get a leg up on the intuitive process they use? It starts by understanding what confidence really is. It’s not the secure knowledge you’ll never goof up. Confidence is knowing “pretty much” what to expect and knowing how to handle it. You can’t build confidence without learning what happens in certain situations, and practicing responses until you find out what works and what doesn’t. You can’t think your way into confidence either, you have to act. Here’s a simple recipe for confidence building, and it works for the CEO as well as for the entry-level post-grad: 1. Identify an area you don’t feel confident in. This can be a skill (like communicating unhappy news in ways that spur innovation) or an area of substantive knowledge or capability (like knowing the ins-and-outs of your industry’s seasonal market dynamics). 2. Identify the edge of your comfort zone. Just fill in these blanks: I feel confident that I know/can do ____ but I’m not confident I know/can do ____. 3. Identify something you can do within the next week to act just outside your comfort zone. Can you call on an expert to review what you think you know? Can you go to a meeting and make a contribution “out of the zone”? Can you take someone specific to lunch and be “out of the zone” in your conversation? Can you open your mouth and say something you wouldn’t have said before to the next person you meet? Commit to doing it and then do it. 4. Notice what really happens. This is the hard part. Don’t just notice what confirms that you’re outside your comfort zone. You knew you’d find that kind of feedback when you stepped over the line. Pay attention to it and learn from it, but most importantly notice the other stuff — the feedback that shows you what you do know and what you’re doing right. That’s what you want to build on and do more of in the future. And don’t worry about looking stupid. Just learn as you go and you’ll never look stupid; people appreciate your transparency and honesty — especially if you’re the boss! 5. Plot to do it again. Go from the scary place outside your comfort zone to your happy place back inside the zone and have a cup of coffee or a jog on the treadmill. Relax and noodle on what really happened, focusing on what went right. Reflect also on what went wrong and let go of any emotional residue from it (remember, you asked for it). If anything at all went right (and it almost always does), you just moved the line of your comfort zone a little bit farther out. 6. Repeat. Over and over, focusing on the small things. Once you get this process down on the small things, the big things become a whole lot easier. No matter how high up the career ladder we get, we all have more outside our comfort zone than within it. Develop the habit of expanding your zone, and you’re on the path to becoming a confident leader.

Building a Culture of Trust

Smart Blog on Leadership General Management, Inspiring Others By Jennifer V. Miller on April 9th, 2013 | Comments(5) Is your organization built on a culture of trust? Look around you; there are plenty of clues as to whether trust abounds. How quickly are decisions made? How many people do you copy (or worse, bcc) on e-mails? Do executives check in on the “troops” even when on vacation? Given that 82% of workers don’t trust their boss, trust is a scarce resource in many organizations. When it comes to creating a trusting workplace culture, the best place to start is with you. As a leader, you either believe in someone’s trustworthiness or you don’t. Leaders who try to split the difference with “trust but verify” won’t build a culture of healthy organizational trust. Trusting others doesn’t mean that you abdicate your responsibility as a leader. Quite the opposite: When you create a culture of trust, you are demonstrating your belief in others — that, given the proper tools, objectives and leadership guidance, people can and will step up and give their best. This takes courage — it’s not always easy to trust when the stakes are high or grievances inform your thinking. Trust is about creating space for people to thrive; excessive verifying diminishes that space. Use these five tips to reduce the amount of verifying happening in your company so that trust will flourish: 1.Assume positive intent, until proven otherwise. This is the basis for building a culture of trust. Whenever you hear incriminatory information ask yourself, “Why am I assuming the worst of this person or situation?” Seek out other reasonable explanations for why people acted the way they did. Jumping to conclusions kills trust. 2.Banish bureaucracy. Nothing erodes trust faster than having to jump through hoops to get something done at work. When employees are mired in excessive rules, they get the message loud and clear: “We don’t trust you to do the right thing.” 3.Look at your company’s written word. For example, how long are your contracts? The longer the contract, the less that trust is present. The same goes for e-mails. The compulsion to cover every single angle to protect oneself is, at its core, a statement of mistrust. 4.Tell employees: “I trust you to make a good decision.” Nine out of 10 times, they will. And on that 10th time, when someone messes up? It’s the perfect opportunity to affirm your trust in that person. “Yeah, you made a mistake — that represents a poor decision. But I still trust you.” 5.Eliminate “we” and “they” when describing other teams. Listen for language that hints at an “us against them” mentality. Whenever you hear someone saying, “Well, they won’t _____, so we have to ____,” take out the pronouns. Insist that people use others’ names, not for the purpose of blaming others but to humanize the interaction. For a trustworthy vibe to take root in your organization, someone has to go first. It may as well be you. As Ernest Hemingway said, “The best way to find out if you can trust somebody is to trust them.” So go on, give trust a try. When you offer up your trust without the constraints of constant verification, you just might find that far from being scarce, trust is a renewable resource.

Online Advertising Slowly Growing Radio Revenues

Research Brief Online Advertising Wednesday, April 3, 2013 For those radio broadcast companies not in the on-line game game there is significant growth ahead...According to MC Marketing charts reports.."Radio revenues from local online advertising increased by 22% last year to $370.7 million, slightly outpacing overall local online advertising growth of 20%, according to a study conducted by Borrell Associates on behalf of the Radio Advertising Bureau. Radio still accounts for just 2% share of the local online advertising market, which is largely controlled by pure play companies (46.2%) and newspapers (23.6%). Still, almost three-quarters of station managers believe that the internet holds significant potential for their stations." Philip Jay LeNoble, Ph.D. According to the first edition of “Investing In Radio Market Report,” from BIA/Kelsey, radio industry over-the-air revenues inched slightly upwards in 2012, increasing to $14.3 billion, a 1.5% change from the year before. That slight change is due in large part to the sluggish overall economy for 2012 and the increased competition radio faces in the local media market, says the report. The company also notes that station revenue mix will continue to shift somewhat and income from online advertising is expected to rise at a rate of about 10.8% annually over the next five years versus 2.5% from over-the-air. For 2013, BIA/Kelsey forecasts over-the-air radio revenues should see 2.3% growth, or $14.7 billion, again due to the slightly stronger economy. The report shows that in 2012, online radio ad revenues reached $491 million, representing 3.3% for the industry. Markets such as Boston saw 14.2% in online radio revenue with overall numbers rising by 3.6%. The report forecasts radio's online revenue growth will reach $818 million by 2017, while the industry's combined total revenue will reach $17 billion by 2017. Radio Station Revenues 2007-2017 ($Billion) Year Online Revenues Over The Air revenues 2007 $17.9 - 2008 $16.5 - 2009 $13.3 - 2010 $14.1 $0.4 2011 $14.1 $0.4 2012 $14.3 $0.5 2013 $14.7 $0.6 2014 $15.0 $0.6 2015 $15.4 $0.6 2016 $15.8 $0.7 2017 $16.2 $0.8 Source: BIA/Kelsey, March 2013

We're Not The Market

Media Post's Engage: Hispanics By Jose Villa Thursday, April 4, 2013 A veteran Hispanic marketing professional gave me sage advice the other day. Over a lively dinner conversation, he recounted his 30+ year history in Hispanic marketing – how he got into the business, what the industry looked like in the ’80s, and some tall tales about the larger-than-life personalities and key moments of the early days of Hispanic marketing. He recounted some simple advice received from a renowned Hispanic ad agency founder who told him: “Never forget – you’re not the market.” That market is the U.S. Hispanic consumer market. He was reminding my colleague (who was a U.S. born, second-generation Hispanic, for whom Spanish was a second language) to never make the mistake of thinking he was anything like the “Hispanic market” so many large corporations were beginning to pay attention to. He went on to remind him to make sure he watched Spanish TV on a regular basis to never lose sight of the “real” Hispanic consumer. That simple advice, given more than 30 years ago, got me thinking about today’s Hispanic market. Is that advice still valid today? How has the Hispanic market changed since then? How has it stayed the same? It was a simple statement that cut to an existential question about Hispanic marketing – how relevant is it today, and how “different” are Hispanics from everyone else in the so-called “general market.” How it’s still true That advice rekindled a struggle I face in running an ad agency that develops Hispanic advertising: many on my team live different lives from a large swath of the Hispanic consumers we target. I worry that most on my team are disconnected, working in fancy offices in downtown Los Angeles or Washington, D.C., living in gentrified upper-middle-class urban and suburban neighborhoods. Our focus on digital Hispanic marketing often brings us face to face with this reality, where we see very different digital access and behavior than that of our own – as savvy digital marketers. There is arguably a bigger chasm between the practitioners and audience for Hispanic marketing than ever before. The growth of Hispanic marketing means more money and wealth generated by increasingly larger Spanish media, Hispanic advertising and research companies. For my part, I spend lots of time making sure our team douses itself in the Hispanic market, albeit artificially, via immersions, field research and spending time consuming Hispanic media. How it’s no longer true As the Hispanic market in the U.S. has grown, it has radically changed. Since the 1980s, the Hispanic population has gone from a primarily foreign-born, middle-to-lower income immigrant population into an acculturated, higher socioeconomic ethnic group that is more than 60% native born. Arguably, a majority of U.S. Hispanics are more like the professional Hispanic marketers. Many more are bilingual or English-dominant, highly educated, and working in white-collar, professional environments. The data on Hispanic digital penetration reinforces this. In many ways, today’s Hispanic marketer could more credibly say they are a good representative of a large segment of the market they are helping brands reach. Are we more like the Hispanic market or not? So which is it? While not one to straddle the fence when it comes to difficult questions, I feel it’s a bit of both, reflecting how complicated and nuanced the Hispanic market has become. Some segments of the Hispanic market are less like us than they were 30 years ago. However a growing group of Hispanic consumers looks more professional than ever. It’s almost as if there are two Hispanic markets requiring two different types of agencies to reach them.

How Brands Are Passed Down (And Up) Between Generations

MediaPost's Engage: Teens By Maruchi Santana Thursday, April 4, 2013 Teens might prefer to hit their favorite stores with friends, but they’re not afraid to buy the same brands as their parents. In fact, teens think it’s cool to share a passion for a brand with mom or dad. We reached out to roughly a dozen teens, and they told us how their families influence each other’s shopping habits. Here’s a look at how all those brand recommendations take place: Parents introduce established brands to teens. Buying from the most well-known brands—everything from Chanel to Gap to Clinique—passes down from parents to children. “My mom introduced me to Nordstrom,” says Amy, 19. “She loves the customer service there and thought it had a lot of great options for me.” Another teen, Sammie, 15, told us shopping at the Gap is a family affair: “My mom first introduced me to Gap and now the whole family shops there. My older sister just went to Gap looking for her first job interview outfit. My dad loves the pants.” Teens keep parents in the loop on new brands. This inter-generational shopping influence is a two-way street. Teens, who are out in the world trying new things, expose their parents to newer brands, such as Trader Joe’s, Rue21, Adidas and Urban Outfitters. “We love it!” Sammie, 15, told us about Trader Joe’s. “My sister and I discovered it first and brought our parents into the store.” Sammie loves the prepared foods; her sister likes the yummy baked goods, and dad is a fan of the beer. Sharing brands with parents creates special memories. Several teens described loving the same brand as a parent as a bonding experience. Sofia, 15, told us drinking Silk Soymilk was special because “only my dad and I drink soymilk at home.” Being introduced to a brand by mom or dad might also tie into a big moment in life. “My mom took me to Victoria’s Secret to try their bras when I got to an appropriate age to wear and buy things from there,” says Patrice, 19, who still names it as a favorite brand. Passing down cosmetics brands is another right of passage and shared experience for mothers and daughters. Sofia Marie, 19, told us she uses Pond’s moisturizer and cold cream because her mom told her it was the best. “I've been using it my whole life and never really looked at alternatives because I trust my mom on cosmetics.” But teens don’t want to share everything. Some youthful brands, such as Victoria’s Secret PINK, aren’t for adults and teens aren’t shy about voicing those boundaries. “My mother saw my PINK boy shorts, thought they were cute and now she is shopping at PINK with me!” says Sofia, 15. “I don’t particularly like it because PINK is for teens, not for a 48 year old!” Patrice, 19, told us she loves young fashion retailers like Forever 21 and Rue21 but wouldn’t rush out and introduce those clothes to her mom. “They aren’t necessarily appropriate,” she says, noting that she might allow her mom to buy some—but not all—the clothes from those stores. The Takeaway for Brands •Focus on product selection. To appeal across generations, focus on classic, ageless style (like Chanel) or offer a selection that hits a variety of age points, either with basics like the Gap or the sub-brand approach taken by Victoria’s Secret. •Show authentic moments between teens and parents. Many ads (we’re looking at you, cell phone family plans) come across as cheesy instead of believable. Show real bonding experiences between families to make multi-generational connections. •Find creative ways to encourage parent-child referrals. Try two-part coupons with messaging to pass along the discount to mom and dad. Or hold creative mother-daughter events with incentives for shopping together.

Tactics to Spark Creativity Even People Who Lack Ideas Can Set the Scene for Inspiration

The Wall Street Journal April 2, 2013 By SUE SHELLENBARGER WSJ's Sue Shellenbarger and Grey New York president and chief creative officer Tor Myhren look at what context, time-of-day and mood have to do with generating bright ideas. Why is it that some people rack their brains for new ideas, only to come up empty—while others seem to shake them almost effortlessly out of their sleeves? Whether creativity is an innate gift or a cognitive process that anyone can jump-start is a question so intriguing that researchers keep studying it from different angles and discovering new and surprising techniques. Several recent studies suggest that the best route to an "aha moment" involves stepping away from the grindstone—whether it's taking a daydream break, belting back a drink or two or simply gazing at something green. Of course, personality can make a difference. People who rate high in openness to new experiences in personality tests also may be more distractible and curious, according to a 2010 study in Creativity Research Journal. Among 158 college students, those who were less inhibited and more receptive to lots of stimuli also were able to generate more ideas than others, says the study by British researchers. But personality isn't the only path to inspiration, researchers say. Walking away from a problem to do simple, routine tasks, and letting the mind wander in the process, can spark creative new connections or approaches to solving dilemmas, says a 2012 study in Psychological Science. That helps explain why "a lot of great ideas occur at transition times," when people are waking up or falling asleep, bathing, showering or jogging, says Jennifer Wiley, a psychology professor at University of Illinois at Chicago and lead author of a 2012 research summary in Current Directions in Psychological Science. For years, Amy Baxter, a physician and pain researcher, looked for ways to use cold to relieve children's pain from vaccination shots. But her light bulb moment didn't come until she was driving home from work, tired after an all-night shift in the emergency room. The steering wheel on her car was vibrating because the tires were poorly aligned, and she noticed as she pulled into her driveway that the vibration had made her hands numb. With help from her husband Louis, she made the connection: Combining vibration and cold might be enough to ease the pain of a shot. "After an overnight shift, your mind is expansive," Dr. Baxter says. "Connections are made that wouldn't otherwise happen." She applied a vibrating massager and a bag of frozen peas to the arm of her 7-year-old son Max, then rolled over his skin a small metal wheel used by neurologists to test sensitivity. Max felt nothing. That discovery sparked the development of "Buzzy," a toylike vibrating bee fitted with a tiny ice pack. With help from a 2008 federal grant, she produced the device and began marketing it online. Buzzy is now being used in 500 hospitals to ease patients' pain from injections and infusions, says Dr. Baxter, chief executive of MMJ Labs, Atlanta. Dr. Baxter's groggy, wee-hour epiphany wasn't a fluke. Students in a 2011 study solved more problems requiring fresh new insights when they tackled them at off-peak times of day—in the evening for morning people, and in the morning for night owls, says the study, published in Thinking & Reasoning. Such advice runs counter to the conventional wisdom that solving problems requires focusing a person's attention and blocking out distractions. "When you are trying hard to focus your attention, you are going to miss new ideas," Dr. Wiley says. Viewing the color green may help make those ideas more apparent, according to research published last year in Personality and Social Psychology Bulletin. When students were given creativity tests, those whose test-cover pages had a green background gave more creative answers than those whose pages were white, blue, red or gray. Many see green as a symbol of fertility, growth and renewal, triggering the positive mood and striving for improvement that fosters creativity, says the study, led by researchers at University of Munich in Germany. (A 2009 study linked the color blue to increased creativity, but researchers on the latest study explained the disagreement by saying they controlled their results more carefully for the lightness and vividness of the colors used.) Mind-wandering, often seen as daydreaming, allows the brain to incubate new approaches to familiar problems, serving "as a foundation for creative inspiration," says the 2012 study in Psychological Science. In a test of creativity, researchers asked 145 students to think of as many unusual uses as possible for such common items as a brick or toothpick, then divided them randomly into four groups. Three groups were given a 12-minute break with different assignments; a fourth group kept working. When all the students tackled the same problems a second time, those who had done a simple, boring task during a break had more creative ideas than those who were assigned a tough cognitive puzzle, those who rested, or those who didn't take a break, says the study, co-authored by Jonathan Schooler, a psychology professor at the University of California at Santa Barbara. Another tactic: Build time for mind wandering into daily routines, breaking away from tasks requiring concentration to take a walk or run, look out a window or do some relaxing, routine physical task. Atlanta ad executive John Stapleton had been trying for three weeks to come up with advertising ideas for a client, the Costa Rica Tourism Board, to encourage people to visit the Central American nation. But it wasn't until he got out of his Atlanta office, traveled to the Costa Rican rain forest (at the Tourism Board's invitation) and relaxed on his patio at a resort that he got the idea of making an ad based on something other than words. A storm was approaching, and "all the howler monkeys started woofing like dogs, and the rain forest came to life," he says. He and his colleagues developed an iPad app enabling users to create their own jungle music, syncing the sounds of howling monkeys, frogs, rain, fish and streams into a rhythmic symphony, free for children and potential adult visitors to download as a window into Costa Rica's biodiversity. To hatch the idea of illustrating biodiversity via music, "a key factor was to get away from juggling accounts and being constantly distracted, jumping from one task to the next," says Mr. Stapleton, chief creative director at the ad agency 22squared. Moderate drinking can also relax inhibitions in a way that seems to let the mind range across a wider set of possible connections. It can also help a person notice environmental cues or changes that a sober brain would block out, Dr. Wiley says. In a 2012 study at University of Illinois at Chicago, students who drank enough to raise their blood-alcohol level to 0.075 performed better on tests of insight than sober students. Other research suggests watching funny videos can spark the positive moods linked to higher creativity. Priming the mind with a wide range of experiences and input also helps. Tor Myhren, an ad executive credited with many successful campaigns including the ETrade talking baby, says he uses "massive creative stimulus followed by total solitary confinement" to start ideas flowing. Anticipating a period of hard work recently, he read "Wired" magazine cover to cover, then went to see "Django Unchained," says Mr. Myhren, president and chief creative officer of Grey New York. "When I set my brain up properly for it, when I've fed my brain properly, I can do it." He wrote some of the talking-baby scripts while working alone late at night in his office, sipping a little Oban whiskey and listening to Radiohead on his iPod, he says. For him, "an idea isn't just a lightning-bolt thing. I have to work at it." Entrepreneurial people, for example, "have ideas about everything all the time," says Jonathan Kaplan, inventor of the Flip pocket camcorder, an idea that sparked a boom in personal videos a few years ago. "We always think we're right and always think it's possible to do them," says Mr. Kaplan, who is now chief executive of a company based on his latest idea, The Melt, San Francisco, a high-tech restaurant chain offering healthy comfort food. Straying from your field of expertise can help, studies show. Market-research executive Sterling Lanier was looking for successful new ideas a few years ago. "I was in Death Valley from 2007 to 2010, thinking, 'Maybe I lost it,'" he says. "Then I relaxed a little, went out to lunch, started telling stories while drinking beer" with a friend, a cancer epidemiologist. "She started complaining about all the problems she had" getting research subjects to fill out arduous, 400-question medical surveys, Mr. Lanier says. Then came his light-bulb moment: "You have to make it entertaining. Why don't you just make it super fun and friendly on the iPad?" he asked. By applying market-research techniques to a new field, he came up with a colorful, gamelike medical questionnaire that became the basis for the new company he heads, Tonic Health of Palo Alto, Calif.; the product is being used at a growing number of research hospitals and clinics. To have a good idea, Mr. Lanier says, "you have to be able to float through your environment with your antennae up, like a butterfly, and just let things ping your antennae."

5 Most Destructive Phrases in Business

Inc. WILD ABOUT BUSINESS | Peter Gasca Mar 28, 2013 To be a better business leader, you need to avoid these five destructive phrases like the plague. How often have you been in a productive business meeting only to have it come to a grinding halt because of something someone said? It happens all the time. A negative comment or a pessimistic concern can not only bring down morale, it can derail an entire strategy. I am convinced that there is no limit to what a team can accomplish if they were to eliminate these five destructive phrases. 1. "I can't (fill in the blank)." Few other words in the English lexicon irk me more than the word "can't." Okay, technically, it is two words conjugated. Nevertheless, "can't" is a killer. It is one of the most commonly used ways of dodging and dishing off responsibility. It is just another way of saying "won't," as in "I won't do what I need to do to get it done." Remember, whether you think you can or think you can't...you're right. 2. "That's not the way it's done." Like every paradigm throughout history, at some point or another, things change. Conducting business status quo may keep you on the current trend, but to be a standout, you must do and think unlike anyone else. Great ideas and concepts come from disruptors who drive outside the lines, and nothing revolutionary ever came from doing things "the way they are done." 3. "That's impossible." My dad once told me that the only thing that is impossible is for a man to have a baby. Everything else is in the realm of possibility. I replied by saying, "You can't make the sky green." He then proceeded to draw a picture and color the sky green. It was an exaggeration, but I got the point. We are limited only by the limitations we place on our own realm of possibility. And, by his rationale, even my dad was wrong. Arnold Swartzenegger had a baby. 4. "If we only had money." Many entrepreneurs and managers, myself included, often dream and quip of the endless business possibilities we would have if only we had the flexibility of a huge financial war chest at our disposal. Unfortunately, you do not have Apple's $150M cash reserve, so get used to it. Remember, however, that even Apple started out in a garage with very little money. 5. "The problem is (fill in the blank)." There are 7 billion people in the world. Of them, 6.999 billion of them are really, really good at identifying problems (note: that is not a scientific study). The rest are the successful business leaders who are really, really good at identifying solutions. The only time the word "problem" should come up in a meeting is if it is preceded with the words "I think I've have found a solution to the ..." If you want to differentiate yourself as a business leader, then 86 these phrases from your vernacular. It goes beyond thinking positively, as you need to act positively as well. And, in order to encourage your colleagues to do the same, I suggest having a "Phrase Jar" at your next meeting. Punish anyone who utters one of the above phrases by requiring them to contribute one dollar to the jar. Require them to deposit two dollars for the word "can't." It is that destructive and annoying, and let's face it, it is actually two words conjugated.

9 Habits of People Who Build Extraordinary Relationships

Inc. by Jeff Haden Apr 3, 2013 The most extraordinary professional relationships are built by ordinary actions like these. Matthew Kenwrick/Flickr Professional success is important to everyone, but still, success in business and in life means different things to different people--as well it should. But one fact is universal: Real success, the kind that exists on multiple levels, is impossible without building great relationships. Real success is impossible unless you treat other people with kindness, regard, and respect. After all, you can be a rich jerk... but you will also be a lonely jerk. That's why people who build extraordinary business relationships: 1. Take the hit. A customer gets mad. A vendor complains about poor service. A mutual friend feels slighted. Sometimes, whatever the issue and regardless of who is actually at fault, some people step in and take the hit. They're willing to accept the criticism or abuse because they know they can handle it--and they know that maybe, just maybe, the other person can't. Few acts are more selfless than taking the undeserved hit. And few acts better cement a relationship. 2. Step in without being asked. It's easy to help when you're asked. Most people will. Very few people offer help before they have been asked, even though most of the time that is when a little help will make the greatest impact. People who build extraordinary relationships pay close attention so they can tell when others are struggling. Then they offer to help, but not in a general, "Is there something I can do to help you?" way. Instead they come up with specific ways they can help. That way they can push past the reflexive, "No, I'm okay..." objections. And they can roll up their sleeves and make a difference in another person's life. Not because they want to build a better relationship, although that is certainly the result, but simply because they care. 3. Answer the question that is not asked. Where relationships are concerned, face value is usually without value. Often people will ask a different question than the one they really want answered. A colleague might ask you whether he should teach a class at a local college; what he really wants to talk about is how to take his life in a different direction. A partner might ask how you felt about the idea he presented during the last board meeting; what he really wants to talk about is his diminished role in the running of the company. An employee might ask how you built a successful business; instead of kissing up he might be looking for some advice--and encouragement--to help him follow his own dreams. Behind many simple questions is often a larger question that goes unasked. People who build great relationships think about what lies underneath so they can answer that question, too. 4. Know when to dial it back. Outgoing and charismatic people are usually a lot of fun... until they aren't. When a major challenge pops up or a situation gets stressful, still, some people can't stop "expressing their individuality." (Admit it: You know at least one person so in love with his personality he can never dial it back.) People who build great relationships know when to have fun and when to be serious, when to be over the top and when to be invisible, and when to take charge and when to follow. Great relationships are multifaceted and therefore require multifaceted people willing to adapt to the situation--and to the people in that situation. 5. Prove they think of others. People who build great relationships don't just think about other people. They act on those thoughts. One easy way is to give unexpected praise. Everyone loves unexpected praise--it's like getting flowers not because it's Valentine's Day, but "just because." Praise helps others feel better about themselves and lets them know you're thinking about them (which, if you think about it, is flattering in itself.) Take a little time every day to do something nice for someone you know, not because you're expected to but simply because you can. When you do, your relationships improve dramatically. 6. Realize when they have acted poorly. Most people apologize when their actions or words are called into question. Very few people apologize before they are asked to--or even before anyone notices they should. Responsibility is a key building block of a great relationship. People who take the blame, who say they are sorry and explain why they are sorry, who don't try to push any of the blame back on the other person--those are people everyone wants in their lives, because they instantly turn a mistake into a bump in the road rather than a permanent roadblock. 7. Give consistently, receive occasionally. A great relationship is mutually beneficial. In business terms that means connecting with people who can be mentors, who can share information, who can help create other connections; in short, that means going into a relationship wanting something. The person who builds great relationships doesn't think about what she wants; she starts by thinking about what she can give. She sees giving as the best way to establish a real relationship and a lasting connection. She approaches building relationships as if it's all about the other person and not about her, and in the process builds relationships with people who follow the same approach. In time they make real connections. And in time they make real friends. 8. Value the message by always valuing the messenger. When someone speaks from a position of position of power or authority or fame it's tempting to place greater emphasis on their input, advice, and ideas. We listen to Tony Hsieh. We listen to Norm Brodsky. We listen to Seth Godin. The guy who mows our lawn? Maybe we don't listen to him so much. That's unfortunate. Smart people strip away the framing that comes with the source--whether positive or negative--and consider the information, advice, or idea based solely on its merits. People who build great relationships never automatically discount the message simply because they discount the messenger. They know good advice is good advice, regardless of where it comes from. And they know good people are good people, regardless of their perceived "status." 9. Start small... and are happy to stay small. I sometimes wear a Reading Football Club sweatshirt. The checkout clerk at the grocery store noticed it one day and said, "Oh, you're a Reading supporter? My team is Manchester United." Normally, since I'm pretty shy, I would have just nodded and said something innocuous, but for some reason I said, "You think Man U can beat Real Madrid next week?" He gave me a huge smile and said, "Oh yeah. We'll crush them!" (Too bad he was wrong.) Now whenever I see him he waves, often from across the store. I almost always walk over, say hi, and talk briefly about soccer. That's as far as our relationship is likely to go and that's okay. For a couple of minutes we transcend the customer/employee relationship and become two people brightening each other's day. And that's enough, because every relationship, however minor and possibly fleeting, has value. People who build great relationships treat every one of their relationships that way. (That's a lesson I need to take to heart more often.)