The pandemic continues to wreak havoc on radio with Beasley Media Group reporting a decline of $51.8 million for the first nine months of the year. The company has done its best to offset the revenue decline by reducing operating expenses by $32 million.
The good news is that July revenue was up 8% over June, August was up 24% over July and September was up 22% over August. Political revenue was strong for the company, coming in at $3 million, compared to $300,000 in 2019.
Beasley Media Group CEO Caroline Beasley said that while coronavirus cases are rising across the country, the company is focused on its getting back to work strategy because employees are more effective at what they do when they are at the office and working together.
Beasley said digital revenue was up 1.3% and now makes up 10% of total company revenue. Local revenue was down 34% in Q3 while national was off 11%. Consumer services, Beasley’s largest advertising category (27% of revenue) declined 21.9% in the quarter. Retail, Beasley’s second biggest revenue category (16% of revenue) declined 25.5% and Auto (12% of total revenue) dropped 34%. Political made up 9% of Beasley’s overall Q3 revenue
In Q4 revenue for October increased in the low- to mid-single digits, and November revenue is currently pacing down in the low teens.
This could be a permanent long term radio revenue fall off. At our group, many local advertisers even though they are now open,have not returned. A significant number have told us they have shifted to digital, because (according to them) of trackability and better ROI. Only time will tell if this is a long term trend.
Very counterintuitive.
U.S. GDP grew at an all-time historic 33% in Q3…yet Beasley revenue *falls* by significant double digits in the same period.
What’s the problem, Beasley? A decline…okay. But, by that much?