The State of Radio and WOWO in 2024

The State of Radio and WOWO in 2024

by | Jan 29, 2024 | Marketing and Advertising Insights, ScLoHo's Collective Wisdom, The Not-So-Secret Writings of ScLoHo, WOWO Fort Wayne Radio Advertising with Scott Howard

Is Radio still a viable advertising media in 2024?

The TL;DR answer is yes.

Last week I shared the story of the demise of our local newspapers over the past 20 years and my insider numbers.  Today, I’ll review the local radio scene and include some numbers from a recent study on the benefits businesses can get from becoming an advertising partner with me on WOWO.

There are all kinds of studies and surveys and polls that are used to predict what is going to happen.  In Fort Wayne, Indiana there were two companies that were measuring radio station listenership, Eastlan and Nielsen, but with some changes back in 2022 and 2023, we just have Nielsen.

Federated Media which is the company I work for, subscribed to Eastlan for well over a decade.  I was working for some competing stations when we heard that Fed Med was switching to Eastlan while the rest of the Fort Wayne area stations were still using Arbitron.  Arbitron was bought by Nielsen, but Nielsen and Arbitron are essentially the same for radio.  Eastlan used a different methodology for doing their research, and when we were subscribers, it served it’s purpose.

However at Federated Media we wanted some of the additional research tools that Nielsen offers and that’s why we returned and dropped Eastlan.

Fort Wayne is market number 116 in size and we get surveyed twice a year, in the spring and fall and we just received the results from the Fall 2023 survey. The rating numbers for all of the local Federated Media stations, including WOWO are good.  Depending on the demographics we look at all 5 stations are doing exactly what we want and that is being listened to by the locals more and more.  Just the opposite of the newspapers which saw readership declining as I shared last week.

Overall, Federated Media’s Rock station, WBYR, 98.9 The Bear along with Country Station WQHK K105 and Hot Adult Contemporary Music station WMEE are strong and growing with the most listeners overall, and each of those music stations have a competing station in Fort Wayne that we are beating in terms of listenership.

Our two talk stations are also doing well.  WKJG 1380 The Fan is a Sports Talk station that has a steady niche audience with both local and national sports talk and play by play games.

WOWO, my primary radio station is also setting new records.  As a News Talk radio station for 25 years at 1190AM, we’ve also had an FM signal.  10 years ago it was at 92.3FM, then Federated Media made 92.3 and FM Music station for a number of years.  May 1st, in the middle of our last rating period, we flipped the programming on 92.3 FM back to a News Talk Simulcast of WOWO 1190 AM.  This most recent rating period shows the full impact of putting the WOWO News Talk programming on 92.3FM along with 1190AM.

As a side note, because 92.3FM still has the legal call letters of WFWI, when we look at the ratings, we do a combination on WOWO & WFWI to get a true picture.  WOWO’s target audience is what I call grown-ups.  Adults ages 35 and older.  Those are the ones that are spending money on big and important stuff for their families and for themselves.  Sure there are a few teens and 20 year olds who listen to WOWO too, but at that stage of your life, you’re more likely to listen to the radio for music, not news and information.

Of course the real reason WOWO and our other Federated Media stations are successful is that they are also a good choice for businesses to advertise.  The antidotal stories of success from WOWO advertising partners keep coming, but today I’m going to point to a national study that shows why radio is relevant for businesses to grow this year.

Inside Radio reported last week a summary of marketing researcher Peter Field’s latest study.

Based on case studies from 2000-2022, advertisers using AM/FM radio have seen notable increases in brand trust (up 58%), profits (+42%), market share (+28%),and return on ad spend (+23%). Also notable among Field’s findings is that since 2016, profit increases among advertisers using AM/FM radio have steadily grown, compared to those not using the medium. What’s more, over the past two decades, AM/FM radio advertisers have experienced a 23% greater return on ROI vs. non-AM/FM users.

There’s also something in this report that I’ve seen during my 10+ years at WOWO and also at stations I worked for previously, but even more so with WOWO and that is Top Of Mind Awareness of a company.  I’ve called it Word Of Mouth with a Bigger Mouth for years.  This report on radio stations overall states that there is a 13% increase in what they refer to as Mental Availability.  This simply means your company, your brand, your product lives in your future customers mind so that there is a greater chance of you being considered when they are ready to make a buying decision and that is due to the power of radio advertising messaging.  You won’t get that from a Tik Tok video.

Want help seeing how to apply this in 2024?  Reach out to me,  Scott@WOWO.com or 260-255-4357.

 

 

What Happened to Our Newspaper?

What Happened to Our Newspaper?

by | Jan 22, 2024 | Marketing and Advertising Insights, ScLoHo's Fort Wayne, The Not-So-Secret Writings of ScLoHo, WOWO Fort Wayne Radio Advertising with Scott Howard

I get to work with all kinds of businesses, new ones, old ones, online only and brick and mortar only along with many that are some kind of combination of all these factors.

This is the final few months for one of my favorite clients in Fort Wayne, a retail shop that has sold coins since 1976.  They used to also sell stamps and then switched over to jewelry along with the collectable coins and related supplies.  They were a big advertiser in the local newspaper when they began and only in the past decade have stopped their newspaper ads.

The reason they are closing is their business has changed.  Michelle is the youngest of the owners at 58 and her partners are 70+.  When their lease expires this summer, they will have liquidated all the gold, silver and collectables and either retired or picked up something else to do with their time.

The store closure is a sign of the times as many businesses have closed as the owners have decided to call it quits.  Some are sold to new owners, some are passed down to another generation, but those that last have made some changes over time.

Another client of mine recently completed an ownership transition as the previous owners sold the company to some of the management staff.  That company is over 70 years strong and will continue for a few more decades I predict.  They also used to run newspaper ads and don’t anymore.

Two decades ago when I returned to the radio advertising world in Fort Wayne Indiana, the major media sources that you could use to advertise with were radio stations, television stations and newspapers.  Fort Wayne had a pretty healthy newspaper business with both a morning paper and afternoon paper and it was filled with ads and local news.

This would have been 2003.  We had the internet, but MySpace was the primary Social Media platform until Facebook launched a couple years later and grew to be the dominant online site in the world.

Traditional media has made adjustments, as radio and TV have evolved and added services to keep and grow their audiences so businesses could continue to advertise and invite those viewers and listeners to spend money with them.

Newspapers however have not faired as well.

Earlier this month, on Facebook,  I posted a picture of the building that used to house our two daily newspapers.  All day long and for a few more days, people were commenting about how much has changed with the newspaper business.

For starters, the afternoon paper finally ceased publication a few years ago and more recently the morning paper dropped from publishing 7 days a week to just 6 with a combined weekend edition for Saturday and Sunday.

As I was sharing some of my insider knowledge about the reasons the newspaper has become so small with a fraction of the number of pages, I decided to also share some data that I received with actual numbers.

For a long time the Radio Advertising Bureau was able to provide me with personalized reports that were verified and audited for our local papers.  My access to this service ended in 2015 but the numbers tell the story.

In a snapshot in the time from 2009 to 2014, the number of households in our area climbed 2.6%.  That’s good.

Newspaper subscriptions to the morning paper fell by over 34% during those 5 years.  The number of subscribers to the afternoon paper declined by over 40% in those same 5 short years.  In an attempt to hang on, the newspapers increased their advertising rates on their rate card by 18.5 percent.  That’s bad.

If you were unable to cut a deal with the paper you were paying over 18 % more to reach between 30% and 40% less people than you had 5 years before.   That’s a spread of over 50% that is not in your favor if you were a newspaper advertiser.

This downward spiral of decreased subscribers which lead to decreased ad revenue (despite the attempted ad rate increases) has lead to less pages in the daily paper.  Less reporters too along with less people overall.  In short, that’s what happened to our newspaper.

The last set of circulation numbers for the afternoon paper was less than 13,000 and the morning paper 42,000. Population figures in my reports indicate there were over 300,000 people in our area back in 2014.

I tell this not to gloat about how great radio is compared to our papers.

While it is true we have more radio listeners to WOWO and our sister stations at Federated Media then the remaining paper has subscribers, and I can help you invite those listeners to become your customers…

… I am saddened by the demise of our local paper.  The journalists and the people who supported them are a type of news media that needs to find a way forward.  Long form investigative reporting along with seeing the news about your family or neighbor making a positive impact, that’s good news worth keeping alive.

Getting Your Business Priorities Aligned

Getting Your Business Priorities Aligned

by | Jan 15, 2024 | Marketing and Advertising Insights, ScLoHo's Collective Wisdom, The Not-So-Secret Writings of ScLoHo

What kind of disconnect in your business model do you need to fix this year?

4 years ago with the Covid-19 Pandemic shutdowns, there was a whole heck of a lot of disruptions as we were exploring the great unknown about a virus that we were told could wipe out a significant percent of our population.

Earlier this month I was at a conference and was reminded of some facts that I’d forgotten from history that occured around a hundred years ago.  Between the Spanish flu and World War One, we lost 10% of our population or more depending on the geographic parameters you look at.  In 2020, our governments and those around the world were looking to prevent a similar catastrophe and as a result we had a combination of business and supply chain shut downs along with increased adoption of emerging tech.

For example, the work from home business model that some companies used on a limited basis soon became mainstream with a lot of organizations.  Video meetings and platforms like Microsoft Teams and Zoom existed before 2020, but now everyone knows about them.

The use of apps to order food exploded and the adoption of many businesses to still provide products and services with less people pushed emerging tech to faster adoption than if we had not had the Covid Crisis.

I’m not talking about politics, I’m referring to reality which we can see with hindsight.

With the aging of the biggest population demographic, the Baby Boomers, and their retirement rates effectively reducing the working population before the pandemic (10,000 are turning 65 every day) we already had a growing labor shortage in many fields such as trucking and healthcare.  The Covid Crisis, while not as bad as 100 years ago, percentage wise, impacted us in this manner too.

Organization improvement by necessity is what kept most of the pre-pandemic businesses alive today while others never recovered.

There’s still more to do.

MarketingCharts.com released a study of Business to Business priorities that are equally important in the Business to Consumer world too.

The top priority for B2B go-to-market (GTM) teams in the year ahead is to strengthen marketing, sales, and customer success alignment according to the report.

I’ve seen this too many times in businesses and non-profits that there are too many silos.  Or to use a term my parents used, “the left hand doesn’t know what the right hand is doing.”

When I’m working with business owners and we launch an ad campaign, too many don’t tell or share with their teams what we are doing except for some very vague mention like, “we’re going to run some ads to increase sales.”

What is really needed is that everyone in the organization is made aware of just what is going on to promote your business.  From the person that answers the phone, to the front line customer service and tech people, even those mostly behind the scenes need to know what you are doing, what the details are, and why.  When you invest in promoting your business, make sure you have everyone in your organization, “in-the-know.”

When you do this, then most of the other priorities on this list can happen.  That includes:

  • Enhance Customer Experience and Engagement
  • Increase Brand Awareness
  • Increase Internal Process Efficiency

Which can set the stage for the last three on the list pertaining to growth and expansion.

How are you posed to improve and grow this year?  If you are in the area of Fort Wayne, Indiana, contact me and I can help you and your team begin the process outlined here.

The ROI Problem

The ROI Problem

by | Jan 8, 2024 | Marketing and Advertising Insights, Sound ADvice, The Not-So-Secret Writings of ScLoHo

I’m going to start off the new year with a story.

In 2023 I was invited to be a guest speaker at Trine University and ended up presenting information to a class in October and was invited back to be on the judges panel for the students final project.  The students had been divided into 4 groups and each group was a make believe advertising agency.  The judges were to evaluate each group including asking questions as if we were the company that was looking to hire one of these four ad agencies.

Students were given certain guidelines and requirements and along with the judges, Professor Snider was going to be grading their final project.

When it came time for me to ask the students a question, I asked the first three groups to explain the Return On Investment that I (as the business owner) would receive on their plan. This was kind of a trick question.  Each of those groups promised a dollar amount in sales volume.  But here’s why that was a trick question and why I didn’t ask that question to the 4th group.

The last group’s presentation started off with a keen understanding of the big picture goal and while they gave us specifics of how they were going to spend the money, they also created and shared a bigger picture plan that didn’t need to be justified in short term sales revenue.

The problem with justifying most advertising and marketing expenditures is that it’s simple impossible to accurately track even digital ads.

Readers of my Sound ADvice newsletter got a perspective recently on ROI that went like this: 

In normal day life, the meaning of “cause vs effect” is fairly simple. It’s the relationship between two things when one thing makes something else happen. For example, if we eat too much and do not exercise, we gain weight. Eating too much without exercise is the “cause”, and weight gain is the “effect”.

When it comes to advertising, it isn’t quite as simple, or is it?

The quest to measure advertising’s ROI (Return on Investment) and what was and wasn’t successful has been going on ever since the late 1800s when department store magnate John Wanamaker said, “I know half of the money I spend on advertising is wasted; the trouble is, I don’t know which half.”

Over the years, businesses have put coupons in their newspaper ads, Yellow Pages and magazines have issued separate “traceable” phone numbers, and some misguided radio and TV stations have run ads that said, “Say you heard it here”, to prove the advertiser was getting a return on investment.

In the late 1990s, it was the dot com kids in Silicon Valley who made millions capitalizing on marketers’ thirst for measurable advertising results, promising measurable click-throughs and responses.

But online marketing expert, Ari Rosenberg, wisely says that online media taking credit for consumers’ actions is “like taking credit for the sale of coffee because you work the cash register at Starbucks.”  

Human action is always preceded by a complex chain of influences that take place over time, long before action is actually taken. Before any action or purchase, our minds travel from unawareness of a product to awareness, from awareness to interest, from interest to liking, from liking to preference, and on to finally actually taking action.

The dangerous and underestimated irony in this process is that the closer we get to measurable action or response, the less opportunity marketers have to influence or change that action. 

Marketing and business consultants agree, “Once the consumer has clicked on the Ford truck website or has their checkbook out to buy the Ford truck, it is difficult to persuade them that the Chevy might be a better truck.”

Our problem is that consumers don’t really know why they do the things they do, so the last point of contact, a Google search for a product or service, or a search for a specific business website, receives credit for the purchase decision. Again, it’s like giving the person at Starbucks’ cash register credit for the coffee sale.

There is an old saying, “The game never changes, only the names of the players.” 

The marketing game really has not changed since Wanamaker’s famous quote, only the names of the media available to advertisers have changed. But it is a chain of players and platforms during the game that results in a goal. And the player that scores that goal could not have done it without the other players on the team.

If you would like to discuss how to build a marketing chain that covers the entire decision-making process from pre-awareness to measurable results, contact me.

Send me an email to start getting your weekly copy of my Sound ADvice newsletter.  My email is Scott@WOWO.com

Business Lessons from “A Christmas Story”

Business Lessons from “A Christmas Story”

by | Dec 25, 2023 | Marketing and Advertising Insights, Sound ADvice

With Christmas and New Years days falling on Monday’s this season, I am going to take a couple weeks off from the podcast and even publishing next week  Both will be updated with fresh material on January 8, 2024.

In the meantime, I am sharing the content from last weeks Sound ADvice newsletter that you can get free from me by sending me an email to Scott@WOWO.com

Have a very Merry, Blessed and Happy Christmas and Holiday season!

I wanted to take this opportunity to say thank you to the thousands of business owners and managers all across the United States who read SoundADvice each week.

My hope and our goals are that you find the articles worthwhile and that they help provide some thought-provoking ideas on how you can run your business more smoothly and more efficiently.

As we did last year, again this year in the spirit of Christmas we will lighten the topic, while still hopefully providing some valuable business and marketing lessons.

As a reminder, last year we wrote about The Leadership Secrets of Santa Claus. Santa is a great leader, and his leadership lessons not only work in the North Pole but will work in any business as well.

While researching for this year’s Christmas edition of SoundADvice, I stumbled upon a newsletter published by Forbes in December 2014. The lessons are from one of the all-time great Christmas movies, “The Christmas Story”. If you recall, this beloved holiday movie follows the exploits of Ralphie Parker who spends most of his time dodging his nemesis and bully Scut Farkus. In the movie, Ralphie’s only wish for his Christmas gift is a “Red Ryder Air Rifle”.  The movie takes you through the trials and tribulations of his quest for the perfect gift.

The business lessons that can be taken from the movie, while somewhat simple, can also be impactful.

Lesson #2 – Don’t Bow to Pressure. Competitors, colleagues, and economic pressures find ways of triple-dog daring businesspeople into making poor decisions. Lowering standards to compete or ride out an economic rough patch, for example, can sometimes seem like the only option. But it rarely is the right one.

To see all Five Business Lessons Learned from “A Christmas Story”, click here.

In the end, Ralphie gets his Red Ryder Air Rifle and learns many valuable lessons along the way.

As we wrap up 2023, we hope that SoundADvice has and will continue to provide you with valuable lessons so that you too can reach your goals.

From all of us here, we wish you a Very Merry Christmas and a Happy, Healthy, and Successful 2024.