Monday 26 March 2012

A Rebuttal to Radio Today's Stuart Clarkson

Radio Today is supposed to be a radio news site.  But last week's commentary from Stuart Clarkson about brands, which although spoke a lot of truth, asked one really stupid question.  Was anybody missing Plymouth Sound?

Yes, people are missing Plymouth Sound, and Gemini FM, and Lantern FM, and South Hams Radio, and Orchard FM and Westward Radio and all the other local names.  Listeners miss that feeling of a local friend they can turn to.  Because of the lack of localness, there are implications for things like flood warnings and weather warnings.  Local radio stations would be able to give detailed warnings of flooding risk, the kind that are released by the Environment Agency.  A network operation even with split links, cannot provide that same degree of localness.  The reason for this is simple, it's impossible to talk about any area like you have a local knowledge, if you are not from that area.  You can't buy the local knowledge that comes from having lived for a while in that area.  That kind of local knowledge cannot be duplicated from a network hub.

But, this week, Stuart Clarkson exposed his own lack of local knowledge when writing a commentary on the aftermath of Global buying Atlantic.  Time to debunk some myths, and translate the rest of it back into actuality.

But first, an actual piece of truth.

"In many cases, small stations are struggling to make ends meet, and for some the only option is to consider whether there’s a better option than handing back the licence and depriving local advertisers of a marketing outlet that’s needed more than ever in these tough economic times."

Yes, this is true, small stations are struggling to make ends meet, and they don't make it any easier for themselves when they do things wrong, like trying to promote a station with a marketing budget of exactly £0.  Social media is helpful as part of a marketing strategy, but it cannot be the entireity of the marketing strategy.
And for a small station that is struggling, asking presenters to help the sales team in selling advertising is a trick that needs to be done.  Even if it's only for an hour or so a day, every little thing that can be done to help a station, should be done.  Unfortunately, far too many stations don't do everything they can to make things work.

"So-called radio fans and industry folk took to social media sites and our own comments box to demonstrate their outrage at the ‘big bad Heart’ and wish bad things to happen to Global."

When listeners realise that the station they used to like is gone, there is a backlash and a drop off in listenership.  Global is basically nothing than GWR version 3.0, combined with the worst of the attitudes that ITV exhibited between about 1993 and 2005.  That's a hell of a lot of negative baggage to be carrying around.  The only way Global could shift that excess baggage is to totally reverse course and it is impossible to see that happening in the current conditions, but it is still extremely unlikely to happen even if the economy improves, because it does not seem to be in Global's heart, pardon the pun, to produce radio that makes people sit up and listen.  They're not making radio that would enthuse people, they are creating aural wallpaper.  Is it any wonder that listeners actually don't like what Global and Heart represent?  Bland maybe safe, but it's not a winner, it's merely a way to avoid losing badly.  Unfortunately, this means that people who are looking for more interesting radio are having to look around for something better.  Hence why the BBC does so well.  BBC Radio right now is just a better worked product.  If commercial radio was more prepared to put more content into their product, they might find it better liked by listeners, and by advertisers.

"Which got me thinking. Isn’t it time we stopped the whinging, and just accepted that the state of the economy and the legacy of licensing decisions down the years means we are where we are? And that we should focus on the future of our industry instead of harping back to a ‘golden era’ that will never return? Just a thought."

No, because factually that does not hold true.  Whilst it may be true that regulatory approval was required to create GWR from the combination of Radio West and Wiltshire Radio, the attitude that became prevalent in that company was a product of greed and ambition.  The fact that so many stations have been bought up to create these networks that we see now, is also partially a fault of the radio stations themselves.  The inability to adapt to changing situations is ultimately what allowed a lot of these stations to be bought out.  Also, newer stations that came on stream didn't actually plan things out properly, with non-existent marketing budgets and no back-up plans in case of problems.  If you can't respond to change, expect to not be around for long.

And by the way, all this talk of harping back to a golden era that will never return, just came from you, Stuart Clarkson.  Nobody is harping back to any so called golden era, which in fact didn't exist.  What we are looking for is for stations to have an attitude towards providing a service that people truly want, something that will enthuse them, rather than providing something bland and uninspiring that they just accept because it's about as good as it currently gets.

"Stop and think for a second about your own radio listening habits. And then think about how a friend or family member who doesn’t work in radio (or have an unhealthy interest in the medium) consumes it. "

Oh, now this is just a humungous insult to radio listeners.  For far too long, anybody who had an interest and expressed a point of view about television was denigrated in the same way.  It is just an insult to people's intelligence, and demonstrates that the only view you're interested in, is the one that agrees with you.  I've heard opinions from a lot of people over the years who would not fit that description, and they have expressed the exact same concerns, the exact same worries, the exact same issues.  Unfortunately it seems that most radio stations seem to be chasing a C2DE audience exclusively, which leaves the ABC1 audience looking elsewhere.  Far too often, you get the sense that your intelligence is being insulted by what you're listening to, that the station is not trying to appeal to a broader market, say BC1C2D, and you're left feeling like they're not speaking to you, and since radio's main benefit is it's ability to speak to people on a 1 to 1 basis, you feel that radio stations are disobeying the first commandment of radio.  Thou shalt always make a connection with your audience.  So not only is this whole idea of someone who has an unhealthy interest in the medium not only an insult, but a deliberate lie.  It says "you'll get what we give you and like it, and if you don't, we're not going to listen to you."  Surely no bigger cardinal sin exists in broadcasting.

"In an age of the internet, smartphones and multi-channel TV, listeners are far less bothered about where their favourite radio station is based than they were in the 70s, 80s or even the 90s."

There is a grain of truth here, but the reason for it is a direct result of the GWR/GCap/Global slow erosion of local radio and radio content.  Over the years, radio companies, primarily led by GWR and Capital, fought against all the regulations that the IBA, Radio Authority and Ofcom have been required to enforce, and it's a battle they've been slowly winning.  Now, if they'd put as much effort into winning listeners over, as they had into fighting the regulator, it's very likely, they wouldn't be fighting for survival, they'd be doing bloody well, making plenty of profits and the BBC would probably be struggling to justify its existence.  If commercial radio was a much better product than it is now, the BBC would not be as successful.

In other words, they're not so bothered about where they get their radio content from, because they've been disenfranchised by commercial radio in this country, which has forced them to look further afield.

Ironically one of the few stations that has bucked the downmarket trend is one that was originally set up to compete with the highbrow BBC Radio 3.  Classic FM had to go slightly down from the Radio 3 level, but could not afford to go too far downmarket, as the audience for classical music, was at a higher demographic level than popular music.  And Classic FM is the most popular national commercial radio station in the country.  It just goes to show that if you go for higher demographics with content, you can win.

Now do that at a local level, and promote and market your station effectively, and anything is possible.

"In many markets, Radios 1, 2 and 4 still knock the local commercial competition into oblivion. Which tells me this: big name DJs (yes I know that contradicts my point above, thanks), a professional sound, and content that has no local relevance are all still a massive hit with listeners."

I'm afraid that that is purely a reflection of how bad the local commercial stations, and in some cases, the local BBC stations, are in those markets.  Any good national product, will defeat any local product that is mediocre or worse, but a good local product beats a good national product every time.  Just ask listeners in Cornwall and Devon.

"So will Atlantic’s change to Heart lose audience for the frequency? I very much doubt it. If anything it’ll go up. Whether you like it or not is irrelevant. A core audience of listeners love it – and that’s good for business, and good for the survival of our industry."

This segment is doubly wrong.  I'll take the second one first.  "A core audience of listeners love (Heart) - and that's good for business, and good for the survival of our industry."  Whilst a core audience may like it, and I have seen first hand evidence that that is actually true, just maintaining your core audience, is not good for your station, in neither the present, nor the future.  Every CEO of any major company the world over, will tell you that you need to grow your business, and for radio, the only way is to increase the listenership, and the only way to do that, is to provide a product that is less aural wallpaper, and more attention seeker.

Now, for his prediction that Heart's audience will rise from Atlantic's levels.  Evidently, he has never spent time in Cornwall or Devon, or actually spoken to anybody round here about radio.  So clearly he doesn't understand the market.  I'll give him an idea just how wrong he is.  There are still major intertown and intercity rivalries, across both Devon and Cornwall.  Plymouth vs Exeter, Truro vs Falmouth, St Austell vs Bodmin, Camborne vs Redruth, and that is not just restricted to the sporting fields.  There is a local saying that comes to mind.  'Redruth is Redruth, Camborne is Camborne, and never the twain shall meet, except at Pool Market on Sundays.'  The whole of the South West, is very much locally driven, locally focused.  When Plymouth Sound and DevonAir back in 1990, said they were going to air joint evening and overnight output, there was hell up from listeners around Plymouth, saying how dare you give us programming from Exeter.  My prediction is to expect a major drop off in listenership, from the current 71,000 down to around 17,000 or even 7,000 within about a year or so.  You already have the Heart Plymouth signal relayed in Cornwall on DAB, along with Capital, XFM and Kiss 100 all relayed from London, and I guarantee you none of the stations have very significant listenerships, not merely because of only being transmitted down here on DAB, but also because they don't connect with listeners down here.  If you expect Heart to connect with listeners, in a market which is strongly local, when they shown no interest in anything strongly local to anywhere, then I'm afraid your logic is very flawed, and your expectations are far too high.

"We must not forget that commercial radio is a business. Yes, in the early days it was about ensuring local democracy, doing ‘lost pets’ features and promoting the bring-and-buy sale at your local town hall. But times have changed. All around the UK, small local stations – whether part of groups or stand-alones – are struggling. And why should those owners carry on throwing money at something that’s showing no signs of returning to the heyday of the 90s when single town stations were changing hands for upwards of three or four million pounds a pop?"

Yes, Commercial Radio is a business, and yet, that is exactly why they need to do more to get back to profitability.  The lower you set your targets, the harder it is to get there.  I know that sounds counter-intuitive, but how often have we seen in sports, teams set a low target and they can't get there, and yet the same team gets set a much higher target in a different game, and they make it with ease.  There is a saying.  'Aim for the moon.  Even if you miss, you will still be among the stars.'  Yes, times are difficult, the money is tight, but if you aim high and truly believe you can get there, then  even if you miss by a little bit, you'll still be doing much better than you are now. 

"I’ve heard comments before along the lines of “Ofcom should just give Heart and Capital a national frequency and let local groups have the local frequencies back to do proper local radio.” If that thought has entered your head then you need to sell your house and move into the real world – and fast. Global don’t want a national licence for Heart or Capital. They might want to share all programming 24/7 on the stations one day, but they don’t want to give up the ability to sell local ads in local markets. That’s their business model and it seems to be doing pretty well for them right now. Programmes of a standard worthy of national radio with a mix of national, regional and local sponsors and advertisers – plus the ability to do just the right amount of local news, sport, travel, weather and what’s ons that the listeners say they want. What’s not to like?"

Quite a lot really.  First of all, they are blocking other competition from getting into the market, and that's enough of a reason.  If they want to do national radio, let then do it on a second national multiplex, which by the way, there's enough demand out there from both sides, from both listeners and from other stations.  Put Heart on there, put Capital on there, put Kiss on there, put XFM on there, and that will free up space on many local multiplexes for other local stations, including those that are still currently FM only, to join the digital revolution, ready for the switch off of analogue radio, a switch off that frankly I don't believe should be happening, but realistically, it looks like it is going to be happening, so the industry needs to get on board, because the train is leaving the station and it seems there will be no delaying it.

And how can you say their business model is working for them, when they haven't made a profit in the last 2 years?

"We’re in the middle of a defining period in our industry and I expect the next few weeks will bring more change too. So let’s try to embrace that change, look for the positives and pull together as an industry to ensure a secure future for radio in the UK."

A defining period???  What we are seeing here is the same thing we have been seeing for the past 20+ years, a slow painful decline in an industry that has forgotten how to go on the offensive, and only play defensive.  If you truly want to secure a future for commercial radio that has the degree of loyalty that we have seen recently from listeners of BBC Local Radio with the cuts that were threatened, then the commercial radio industry needs to buck its ideas up, offer a better product than just aural wallpaper, and get people interested again. 

1 comment:

  1. If you think that Heart's figures will drop to 7000 or even 17,000 in Cornwall then you may well have a shock in a year's time when the RAJARs are released.

    In North Wales (Anglesey/Gwynedd, North Wales Coast) Heart was predicted to be a flop as it "wasn't Welsh".

    In reality it has increased figures despite all that "English" networking and the closure of local studios.

    I look forward to the first figures for Cornwall in 2013!

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