Tag: Linear TV

Industry News

WWO: Audio is Optimal for Movie Releases and Streaming Subs

By TALKERS | by TALKERS

The latest blog from Cumulus Media | Westwood One’s Audio Active Group looks at the value of audio marketing for movie theatrical releases and streaming video subscriptions. Using data from five separate studies, the report comes to a number of conclusions, including 1) Audio listeners areimg voracious consumers of movies in the theater and films on streaming services. They are first to see a movie in the theater on opening weekend and when films debut on streaming services; and 2) Versus linear TV viewers, audio listeners are far more likely to see movies in the theater and indicate a greater willingness to watch content. Looking at data about marketing moves and streaming video, the study finds that 1) Linear TV advertising spend for theatrical releases and video streaming brands is 30X audio. Despite this, TV viewers show low awareness of new films and low interest in upcoming films and streaming service subscriptions; and 2) Audio (AM/FM radio, streaming audio, and podcasts) should become a much greater allocation in the entertainment marketing media plan. Reallocating 20% of linear TV theatrical and streaming video media plans to AM/FM radio doubles campaign reach with no additional cost. See the full blog post here.

Industry News

WWO: Nielsen Shows AM/FM Radio Improves Ad Campaign Reach

By TALKERS | by TALKERS

This week’s Cumulus Media | Westwood One Audio Active Group blog looks at a Nielsen analysis of the reach of media plans – specifically those that are rooted heavily in Linear TV with the addition of CTV (connected TV) and digital in the mix. No matter how much CTV and digital spend was added in place of dollars taken from Linear TV, reach did not increase. The blog post says, “Regardless of the size of yourim media budget, adding AM/FM radio to a digital/TV plan sharply builds reach. Via Nielsen Commspoint, the media allocation planning tool, a wide range of monthly digital/TV media plans were examined. Very small, light, medium, and heavy campaigns were examined. The lightest digital/TV campaign reached 10% of the market. The heaviest reached 60%. Then a 20% allocation of AM/FM radio was introduced. The results were stunning. Across the seven monthly campaigns, from the lightest to the heaviest, the addition of AM/FM radio generated significant lifts in reach. Shifting 20% of the lightest TV/digital campaign to AM/FM radio caused reach to double. Introducing the 20% allocation of AM/FM radio to medium-sized campaigns causes reach to soar by 36% to 55%. Even the heaviest TV and digital campaign saw reach grow 20% with the addition of AM/FM radio to the plan.” Read the full blog post here.

Industry Views

Pending Business: TV Knows Best

By TALKERS | by TALKERS

By Steve Lapa
Lapcom Communications Corp
President

imBulletin: “Linear TV” is no longer the winner.

Linear TV is tech talk for combining over the air and cable TV, and according to Nielsen, July 2023 was the first-time streaming TV was the winner, as streaming captured most TV viewing.

From Netflix to YouTube, we are watching more content on streaming channels than linear TV. You have read about the resurgence in “Suits,” the legal drama that originally aired 2011-2019 and is now drawing 18 billion minutes of viewing on Netflix. Whether those 18 billion minutes are part Meghan Markle curiosity or part writers’ strike, does not matter. Those 18 billion minutes of viewing helped drive streaming viewership to an all-time high. Maybe streaming grabbed a page from that old radio handbook that starts with “Content is King.”

But the companies controlling the streaming ad-free experience on Netflix, Disney, Hulu, etc. seized the opportunity and raised rates. Soon, it will cost you more every month to watch your favorite content ad-free.

Wait a minute! Did I just say the ad-free experience as in commercial free or no interruptions? Did the streaming guys just take another page from the well-worn radio programming handbook and turn the commercial-free model upside down to increase income? Streaming channels will deliver commercial free programming and charge you anywhere from $13.99- $21.99 a month as the fees double and triple depending on when you started your subscription.

How about our friends at Amazon Prime jumping on “Thursday Night Football,” or Apple and Peacock pushing baseball? Do not forget the YouTube NFL packages starting at $250. No, this is not a veiled plug for paid programming, nor is it a critique of the value propositions offered in the streaming world. Time for a long look in the mirror:

— The commercial-free experience began when radio programmers dropped the commercials, programmed longer, commercial-free segments to drive listenership and ratings up. In the short term it worked. My hand is in the air, guilty as charged. Maybe I was one of the lone radio management voices who asked, “Then what, run the spots and drive the audience away? Are we sending the wrong message?” We were dumb. After commercial free came rates, packages, and promotions. None of us said, “Raise the rates when the commercial-free stops!” The streaming guys got it right – just raise the rates.

— There is no older radio programming mantra than “Content is King.” You can name the iconic talents with one word, Howard, Rush, Imus, yet major radio organizations struggle as they search for great, soon-to-be iconic talent. It is faster, easier, and more lucrative to become a Tik-Tok, YouTube, or Instagram star.

These are all just examples of how radio was first in and stopped innovating. There is some good news on the horizon. Facebook is stepping back from the news business as news organizations ban together and ask for compensation. This could be the first chink in Facebook’s 113-billion-dollar ad armor. Maybe not. Either way, the old school top-of-the-hour newscast, or large market all-news radio should be re-imagined, opening the door to the next generation of innovators.

Steve Lapa is the president of Lapcom Communications Corp. based in Palm Beach Gardens, FL. Lapcom is a media sales, marketing, and development consultancy. Contact Steve Lapa via email at: Steve@Lapcomventures.com.