As We found out yesterday that some companies are big on Programmatic (iHeartMedia) and others are not (Radio One and Saga). When asked if he thinks the race to programmatic buying and selling will be good for radio or a race to the bottom, Radio One CEO Alfred Liggins says he just doesn’t know yet. Taking it one step further Saga CEO Ed Christian said he refers to programmatic as problematic.
Liggins says he doesn’t see the demand for programmatic in radio. “Advertising agencies want it because it will allow them to do their job with fewer people. And, this also means we don’t have to pay a seller which should save us commission.” Liggins also said the folks at iHeartMedia, CEO Bob Pittman, building the programmatic platform are smart people, so if you can save money it’s a net positive.
Christian says shame on the advertising agencies and shame on them for their clients if they think they can just go out and buy massive amounts (of media) and your accomplishing something.
We’re selling a lifestyle experience of being able to reach and target the consumers you want. Programmatic buying doesn’t look at this. It’s just raw numbers taken in one fell swoop then we say we’ve done our job. I don’t think that works out too well. I don’t think its going to overwhelm the industry and necesarily bring in new dollars.