With the powerful conservative bloc in Beck-Limbaugh-Hannity now cemented by Premiere (see Radio News), we wanted to hear from media buyers what economies of scale might they expect and ask for by buying the entire day–or part of it—for their clients. Let’s face it—plenty of folks will soon be able to tune in on one station and hear all three without turning the dial. Is that a value proposition for ad sales?
Said Natalie Swed Stone, US Director, National Radio Investment, OMD: “This is good for Premiere certainly since they already have the talk radio advertisers on their roster (Beck/Rush) and are knowledgeable and capable in selling talk—not as good for advertisers who may lose negotiating leverage.
What is interesting is the partnership arrangement forged here—that is a first—the marketplace decided this.
Up until now there has been much station group politics and posturing—this deal suggests that station groups can work together with mutual benefit — it’s like Clinton and Obama teaming up (I know wrong party, but the analogy works) with a larger gain for the “party” –in this case Hannity—the big winner.”
Said Matt Feinberg, SVP/National Radio; SVP/Director, Interactive Broadcast; Director/Radio, Zenith Media Services: “If Premiere decides to sell this as a "conservative talk" block and creates packaged pricing, i.e. volume discount, then advertisers who are ok with being in these shows should see this as favorable place to spend…pretty straightforward.”
Said Agnes Lukasewych, MPG SVP, Group Account Director, Radio Broadcast: “While it is true that these talk shows may have some duplication of audience, the foreground talk environment is still one of the strongest platforms to connect an ad message with an already heavily engaged listener. Reaching this audience more than once over the course of the day is not necessarily an overkill. There are times of the day when the message has more relevance in bringing a call to action then at other times.
Expected economies of scale will still be based on marketplace conditions and overall spend to the network. Undoubtedly buyers will attempt to attain aggressive pricing deals and/or increase ancillary deal options such as billboards, voiced reads, and website exposure.”