Stakelin: Radio Doesn’t Get The Respect It Deserves

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    Bill Stakelin is a very well-known name around the radio industry. We recently spoke to Stakelin for our special feature on the 1996 Telecommunications Act. His company back then, Regent Communications, was right in the thick of the activity when the buying floodgates opened (he eventually sold to Randy Michaels). Stakelin will be featured in an upcoming issue of Radio Ink about the ’96 Act. We took the opportunity during that interview to get his views on the radio industry today. Here’s what he had to say.

    RI: Why is the radio industry having problems growing its revenue?
    Stakelin: Well, I think the revenue certainly is not suffering the way people thought it would. Of course, radio has always been the redheaded stepchild. Radio has not gotten the respect that it deserves, in my opinion. Some of that was our own fault for the way we priced and sold it. I think it’s stronger now than probably a lot of people realize it is, if you compare it to magazines, newspapers, etc.

    But I think the real problem right now is, what is the right model that gives the ownership and the shareholders of the company a fair return, and at the same time, offers a service that is still wanted, needed, and used, in certain hours of the day, by the general public. And that’s why I like the Townsquare approach. They didn’t start out to buy a radio company and create a radio company. The plan always was to create a multi-faceted media company. I think that’s what most of the operators in radio are doing now. If a radio company right now does not have an aggressive interactive component with their operation, then they’re probably not going to be in a position for growth.

    The pure radio operator will continue to operate at the level they are and struggle a bit. Those that had the forethought to think in terms of media and owning complementary medias all in a package, whether they’re going to present that to investors or whether they’re serving the public with it, hopefully both, they will be the guys that will succeed going down the path the next several years.

    RI: Should radio be worried about the Pandoras and the Spotifys of the world?
    Stakelin: Well, I think you worry about anybody that takes time away from the time that’s being spent with whatever products you have. I do think that radio has done a good job of realizing that they are a local medium and that the music service, as much as Pandora is a very fine product, they are just that. They are music systems.

    We used to always say once we get into being nothing but a jukebox and a music distribution system, then we will lose and we will fall in with the rest of the guys. I think there’s a place for Pandora and satellite radio, but I think the radio industry has done a good job positioning themselves to serve the communities where they are, and there is still reason for people to spend multiple hours a day with those local radio stations. There’s room for both. I just don’t think America has made the turn yet to a national radio system as something that is their main choice. I think that’s pretty far down the road, if it ever occurs.

    RI: Does radio play too many commercials?
    Stakelin: Well, what’s too many commercials?

    RI: Are you hearing too many when you listen?
    Stakelin: No, I am not. Not on the stations I’m listening to. I think that you always have to keep, and the good broadcasters always have and always will, you’ve got to keep the taste and the thinking of your listener, your customer in mind. What is the tolerance level? A lot of people say, “I’m just going to pay a fee and I won’t have to listen to any commercials.” Well, that’s not the majority of thinking. I still think free, over-the-air broadcasting, be it radio or television, is still a primary driving component of many things that are great in this country. It’s a very important service to this country and will always be protected, and hopefully the operators will continue to do a good job to continue to attract large enough audiences that it won’t be threatened.

    RI: What do you want to see radio do better?
    Stakelin: I want to see them stay focused on the local community they serve, to where the local people in the communities feel they really are a part of that community and not a music delivery system. I want to see them stand up and take positions and be a main player and not just a jukebox in all the communities they serve. The smart ones are already doing that and will always continue to do that.

    I’ve been living in Cincinnati now for the last 20 years, and I find here that no matter where I go or speak, people can come up to you and still give you the name of their favorite radio station, the call letters, the program, the personalities. It is part of their everyday life. If that ever goes away, then the system really will be in trouble.

    RI: What keeps you busy nowadays?
    Stakelin: Primarily, I would say right now, after 54 years in the radio business, I am spending most of my time with philanthropic and charitable work here in Cincinnati, which is for me, personally, very, very fulfilling. I miss the day-to-day grind and joy of working in the radio industry. It was the greatest thing that ever happened in my life. I miss that greatly, on a daily basis, but I’m really happy with what I am doing and wish the guys that are following behind me the best, and I am rooting for them because this industry is part of America’s fiber and I hope it always stays that way and is very active in the local communities where they are.

    RI: What do you miss most about being inside a radio station?
    Stakelin:
    I miss the people. Radio is a very exciting game. I miss the interaction with the people. I miss teaching and coaching young people coming into the business. I miss listening to the very smart young executives that we were able to recruit into our company that taught me so much. Basically it is involvement with the people. I miss the industry. The industry is full of a lot of good people, well-intended people, and I miss the hell out of them.

    Reach out to Bill Stakelin at [email protected] and look for our interview on The Telecom Act of 1996 in an upcoming issue of Radio Ink Magazine. SUBSCRIBE HERE

    15 COMMENTS

    1. Note to Bob Nester:
      I think you might agree, Bob, with the following:
      One of the advantages that the monster, highly-rated “flame thrower” stations have and enjoy is a preponderance of National or agency-produced spots – the good stuff.
      Many of those ad productions are as worth continued listening as the programming.
      Of course, that doesn’t apply for most stations in most markets most of the time.

    2. I’ll make just one last reply to the rude Bob..the one who knows only what FM music stations he likes and that’s about it:
      KIIS, WHTZ, FMs I believe. Top-rated, over 40 million a year in sales, heavy spot load. Many others like that around. WTOP was only an example of a top rated heavy spot load station that does very well. What rude Bob has never thought about is this: the stations with the most ads also have the most listeners. They make lots of money and can afford top talent that stay with them for many years. The hot-shot “Now, 3 hours of non-stop hits” stations make no money and have no future. They are boring to listen to because they have no ads. Way over your head, rude Bob.

    3. This issue may have some shades of grey about it It is, however, mostly about black..
      So many ads in the phusterclucks is not up for discussion – argument, maybe – but not a fruitful one.
      Too many ads in an hour? Yes, definitely. That is based on how they are presented.
      But, it’s not only because a barrage of advertising is annoying or overwhelming – even though that is the case.
      The most important distinction is as follows: Too many horrible, poorly-constructed, annoying and unlistenable ads. That’s the most pertinent matter.
      And, gawd, they are, indeed and for the overwhelming majority, simply horrendous, lousy forms of broadcast communication.
      And, no, Ed didn’t order me to say this. I come back wi’ it all by my own se’f. 🙂

    4. Funny how Bill Stakelin is lionized here-deservedlyso-even after he asks, with authority ” Well, what’s too many commercials?” The interviewer didn’t tangle with the subject.

    5. Bob Nester not only is your hostility towards the Editor of this publication unwarranted, but your rant also demonstrates your ignorance, regarding too many commercials. When you challenge the matter of too many commercials “based on what”…clearly you are unaware that Nielsen PPM data clearly demonstrates again and again, that audiences TUNE OUT of a station when that station starts a long commercial cluster break. That is fact. Another fact is, that the ignorance and hostility of some in radio, such as yourself, is one of the major challenges of radio. Denial of problems leads to bigger problems.

      • What did WTOP do last year?…65 million?..audience in top 3 I think. Must have been all of Bob’s tune-outs. Answer mel T’s question, Bob.
        I think you’re hostile to sales reps and ads, Bob. we’re even.

        • WTOP does not run cluster breaks, you moron. We’re talking about many FM music stations, that run long long cluster breaks. Are you really in radio, or are you just a troll, or are you just stupid?? My guess is 2 of the 3 apply, and that you’re not a troll.

          • Your name-calling reveals your shallowness on the subject, emerging when cornered. Radio ads on WTOP-lots of them-are different than on FM music stations? Every FM sales manager just thanked God that you don’t work for them. You are stuck in a narrow path to failure.

            • Again, WTOP does not run long cluster breaks. ….Now Nester, read that sentence again…WTOP does not run long cluster breaks. …What part of that do you not understand? ???? As I said, we are talking about many FM MUSIC stations, that run 6, 8, 10 or more commercials in a row. …And it’s laughable that you ate whining about me calling you out as a moron, after you first attacked the Editor of this publication. Although it appears I was wrong about you being a moron. …At this point, based on your responses, you are obviously a TOTAL MORON!! !!

    6. If a rep “sells” ads, don’t stations have to “play” them? So if Ed says stations are “playing” too many ads, he must mean the stations are “selling” too many ads. Right?

    7. Great article. As a former employee of Bill Stakelin I can say he is not just one of the best owners I have had the pleasure of working for, but also one of the best people I have known. Real Class. Glad to see you are doing so well Bill, and know that we miss you as well.

    8. Bob….
      Your post proves you know very little.
      I came through the business on the sales, then management side. I didn’t ask Bill if radio was selling too many ads. I asked him if radio was playing too many commercials. Your comparison makes zero sense. Of course I wouldn’t ask a business if they were selling too much product. The questions make perfect sense. At times, stations are unlistenable because of the number of commercials in their stopsets. Keep your head in the sand Bob.

      Ed Ryan
      Editor
      Radio Ink

      • “At times, stations are unlistenable because of the number of commercials”…blah, blah. Based on what, Ed? Totally your opinion. Easy to see why you got out of selling radio ads. You hate them. A few questions always flushes out programmers who failed at sales. Like your buddy Robinson.

    9. It’s funny reading Ed Ryan’s interviews.
      “Why is radio having problems growing it’s revenues?”
      “Is radio playing too many commercials?”
      Ed, question #2 would seem to contradict question #1.
      Radio is an advertising business. We sell ads. Furniture stores sell furniture. Car dealers sell cars.
      Would you ever ask a furniture store if it was selling too much furniture or a car dealer if it was selling too many cars if you perceived that either was having problems “growing it’s revenues”?
      When a person asks questions like that, it’s easy to spot a programmer.

      • Radio is definitely not an ad selling business. It’s an info/entertainment business. So the question is valid. When does the business support mechanism begin to cut into the product you are selling to consumers? Great ads are entertaining. Bad ads are a problem but IMO, too much repetition for too long has been the attention killer; especially in the increasing “ADD” environment. Radio commercial creep has slowly programmed listeners to reflexively, punch away or go to a different music/entertainment source altogether.

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