(By Loyd Ford) Welcome to the real 21st Century, where we live in a consumer society. Almost any business is in a hyper-competitive environment today, both for customers and for the best place to spend their advertising dollars. I bet you’ve heard, “Radio is over.”
“No one listens to radio anymore.” Really?
If that’s true, where do radio’s millions and millions and millions of national ad dollars come from? You are very well aware that the sharpest companies in the United States don’t just throw money into things that don’t work for them.
Follow the money.
So what’s the problem with perception? I think I can help.
First, I want you to imagine that you and I are going on a trip together. We’re taking a bus and we get to choose which bus to take.
Bus one has a group of people complaining. You can see and hear them 20 feet from the bus. It does not sound like a good time.
The second bus has a group of people already having fun. You can hear them, too. The guy at the front of the bus is planning things they can do on the trip to make getting there even more enjoyable.
Which bus are we going to pick? The complainers? I don’t think so.
So are you giving advertisers a good reason to get on your bus?
The people who buy advertising are searching for answers. Their most pressing problems are:
- How do I get more customers?
- How do I get my regular customers to come back and spend more often?
How many advertisers are in this “boat?” All of them. Take a minute and think about that. 100% of your potential advertisers are essentially trying to solve these two problems in a society with the attention span of a goldfish.
You’ve heard it. “It’s a jungle out there.” Let’s get real.
Advertisers have more choices than ever. Yeah, we’re in sales. The job is to educate customers who don’t really know the difference between types of advertising that may work for their business or they know just enough to be dangerous.
Have you ever heard of the Dunning-Kruger effect? It’s basically a flaw in human thinking where we know just a little about a subject and yet we believe we are an expert. That’s the Dunning-Kruger effect. Most of the U.S. population has this flaw active in their lives.
Do you really think that your prospect is an actual expert at what they do and an expert at what you do? If you do, you need to spend more time with your sales manager or get a sales coach. Self-educate or find a way to become more educated regularly. That’s how you get confidence.
“The fool doth think he is wise, but the wise man knows himself to be a fool.” —Shakespeare
May I suggest you arm yourself with the knowledge that it is actually unlikely these potential advertisers are also a real expert at advertising. Even the ones that may think they are probably unknowingly have this Dunning-Kruger effect. Literally, these business owners and advertisers are also an opportunity waiting for you to help them.
We are not in the order-taking business in 2024. We are here to solve problems, rent our relationships with consumers to advertisers so they can have the opportunity to grow their business.
We’re also in a promotion business that allows radio to reach out our tentacles into a variety of other solutions involving events, digital, database and who knows what else. I suggest we are limited in this business only by our imagination.
The truth is that we have so many advantages over other forms of advertising. And we make the difference.
Last week we talked about the decision each of us needs to make as sellers. It’s always best for us to keep our attitude in check and to be on the positive bus. You won’t just sell more. You’ll enjoy the process and your life more.
Loyd Ford is president and chief strategic officer at Rainmaker Pathway Consulting Works (RPC). They help local radio with ratings and revenue. Reach him anytime at 864.448.4169 or [email protected]. Read Loyd’s Radio Ink archives here.
So follow the money (Ad Revenue), yes? OK, here is the single fact. You sited US Radio Ad Revenue at $13.8 billion to finish 2024? 20 years ago, US Radio Ad revenue finished at $22 Billion. Broadcast Radio’s business model has been decimated by platforms such as Spotify, Pandora & meaning other streaming platforms. The car was the last bastion for receiving broadcast radio. Well, you say, radio has also expanded into the digital age. Well, other than iHeart, please site a few pureplay websites owned by Radio broadcasters. Finally, have you not seen the Market Caps of former billion dollar plus broadcast companies such as Entercom, Cumulus, Audacy, Inc )filed for bankruptcy) – so, as others have suggested, Radio is Dead.