iHeartMedia CEO Bob Pittman appeared on Beasley Media CEO Caroline Beasley’s business podcast this week where he spoke about the power of radio advertising, how radio has a better R.O.I than the big digital companies, the importance of providing advertisers with data and how Alexa has become the new radio in the home. Did you know that iHeart helped with the development of Alexa?
Despite the fact that radio stations are in daily competition at the local level, including iHeart and Beasley, Pittman says we are all together when we try to get advertisers to appreciate the benefits of audio. He says in the case of radio, it’s about companionship. And that’s where Amazon’s Alexa comes into the mix. “We are large enough to have teams of people that can work on the future. It’s a luxury most companies in our space do not have. We spent quite a bit of time with Amazon, before Alexa, helping them develop it, so we made sure radio was an important part of it, and that they understood the benefits of radio and that they understood how consumers used the radio. Alexa turned out to be a massive hit.”
And there’s no doubt that Alexa and other home devices are replacing traditional radio’s in the home. In the case of Alexa Pittman added…”Radio is doing very well in the car, very well in the office and we do well at home where people have the radios. But, over time the number of radio’s in the home has declined and its hard to go find an old fashioned radio to buy. Alexa turned out to be the new radio. And, consumers use it just like their clock radio, their bathroom radio, their kitchen radio except it’s easier to use, just tell it what to do, That’s been the poster child for how these new devices go.”
Listen to the entire 30 minute podcast HERE