VERO BEACH, FLA. — A self-described revenue growth consultancy that specializes in media ad sales is serving up new research findings that show that, as Radio diversifies across new platforms, the sales solutions needed to harness the revenue potential of these new delivery vehicles are still in need of development.
The data come from The Alexander Group, which reviewed revenue growth expectations, sales investments, productivity levels, and evolving compensation strategies for Radio.
With listenership, in its view, “declining across traditional linear media,” Alexander Group research indicates that advertisers are rediscovering radio and its ROI opportunities when sold as part of an integrated marketing solution.
Matt Bartels, principal and media practice lead for Alexander Group, says, “Advertisers are rediscovering the ability of radio to reach an expanded audience when it is part of an integrated solution to drive brand awareness and conversion. However, the traditional radio sales organization is not set up to sell and deliver the new platforms and digital products needed by advertisers to achieve their marketing and overall business goals.”
Alexander Group’s research indicates that traditional commission sales compensation structures in the radio industry have been challenged to drive consistent growth. Across companies and markets, a wide variation of plan designs exists with differing weights on total revenue, digital, and new business. “To attract today’s media sales talent and ensure that sales comp plans are aligned to growth expectations and the desired behaviors by role, leading radio organizations are deploying a contemporary base/salary plus total target incentive model.”
To explore the research findings, Alexander Group is hosting a complimentary three-part virtual roundtable series for radio executives. The sessions will include how leading radio organizations are redesigning their sales strategies, starting with how they structure revenue leadership to drive growth. The series will also include extensive insights derived from the media industry including learnings from pure play digital, integrated print and integrated broadcast.
Part 1: Sales Compensation Evolution: Eliminate Misuse to Drive Growth | December 9,
2020 | 10 am ET
Part 2: Selling Spots to Selling Solutions | January 20, 2021 | 10 am ET
Part 3: Transform the Revenue Growth Engine | February 24, 2021 | 10 am ET