Radio ad spending in decline

In an article on RealMoney.com, Cody Willard steers investors away from big broadcast companies:

“… the tens of billions of dollars spent on radio advertising are in a steady, secular decline, and that’s not pretty for those companies that have depended on those models for revenue, nor for those companies that have depended on that outlet to deliver their message.”

I spotted one positive nugget in his piece:

“Regional radio is coming back and will find its niche again. But the days of big radio are over.”

I don’t know if Mr. Willard is right and I’m not sure what –if anything– this will mean for the company I work for. But I’m a “small radio” guy at heart and have no tears for the Big Broadcasters. Nor do they need any. They’ve made their millions and it’s safely tucked away in some off-shore tax haven.

Treo 650

I paid about $500 for Barb’s Treo 600 a couple of years ago when they first came out. The Treo 650 is now the smartest of the “smart phones” and the 600 has dropped to about $300. Whatever value you choose to assign, it’s still the most expensive thing eaten by one of our pups.

Gnomedex 5

My idea of a fun vacation is a few days at a technology show, so I’m looking forward to Gnomedex 5.0 coming up in late June in Seattle. I attended the first Gnomedex in Des Moines but missed the last couple. This year’s show looks like a good one. Adam Curry is the keynote speaker and other presenters include: Steve Gillmore, Robert Scoble, Marc Canter and a bunch more. Chris Pirillo is a sharp guy and I’m betting he puts on another great conference.

Nonsense Generator

Gosh, one stringent caterpillar vivaciously haltered together with this nefarious bandicoot. Wow, that tarantula is much more indignant than one repulsive cat. Oh my, one ambidextrous leopard frenetically gurgled in front of the zealous boa. Dear me, one goose is far less absentminded than the various man-of-war. Gosh, this wolverine is far less attentive than some pesky bandicoot. Nonsense Generator

Mel’s Country Cafe

I eat breakfast two or three times a week at Mel’s Country Cafe. Nothing fancy about Mel’s and the menu never changes. It’s the kind of place where you can get mashed potatoes and gravy, green beans and a piece of banana cream pie. (If you’re from Kennett, think Palace Cafe or McCormick’s)

And you can have a cigarette with your meal at Mel’s. And lots of folks do. They made the back room smoke-free a few years ago but you have to walk through a cloud of smoke to get there and back through it when you’re done.

When I walked into Mel’s on Tuesday, one of the servers informed me that the smaller room in back is now the smoking room and the larger, front room is smoke free. Whoa. I took a seat and looked around and noticed most of the same faces, sitting in their usual places. All the smokers sitting in the smoke-free room.

I asked my server how the new policy was going over. “Not so good,” he admitted. “A couple of them have gone back to the smoking room long enough to have a cigarette, and then came back to their usual spot.”

I grew up in a smoking family. I understand smokers and the power of their addiction. I’ve known smokers that would get a divorce or quit a good job rather than give up the habit. Family members who no longer speak as a result of long-ago arguments about smoking. These are the same people that stand hunched in the freezing rain to get their fix. What force could make them stop smoking long enough to have some ham and eggs? And it hit me.

Routine. It would be more shocking to their nicotine-soaked nerve endings to sit in a different chair…at a different table…IN A DIFFERENT ROOM! I’m told this is a common phenomenon among regular church goers who have their regular pew. We dedicate this song to all the men and women jonesing through breakfast at Mel’s.

Connected.

A couple of nuggets from a new Arbitron/Edison Media study (pdf) released today:

* Eight in 10 Americans have access to the Internet from any location. As of January 2005, 81% of consumers have access to the Internet from any location. This is a remarkable rise from the 50% penetration figure from just six years ago (January 1999).

* The number of people with a broadband Internet connection at home equals the number of people with a dial-up connection at home. In January 2001, only 12% of Americans with Internet access at home used a broadband connection. That figure has since quadrupled. Now, in January 2005, 48% of people with home Internet access have broadband, and 48% have dial-up service.

Winter is not over

Winter is not over in Wisconsin. Photo above taken by Bob Hague while riding his snow-tire equipped bike Saturday morning. We suspect he stopped to take this shot but he wasn’t clear on that point.

Radio to decline 2.5%. Blame iPods and satellites.

Some interesting stats coming out of the Kagan Radio/TV Summit in New York. The CIBC World Markets director of research says radio can expect an overall 2.5% annual radio audience decline this year owing primarily to iPods and satellite radio.

According to independent research commissioned by Sirius, once consumers get a Sirius radio, they spend 83% of their radio time with Sirius and 7% with traditional radio. So whats commercal radio to do? According to the presentation: Increase local content; upgrade national sales efforts; get better research data; Hire TV people (“they know how to sell in a declining market.”)