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Is Voltair the answer to PPM encoding problems or ratings snake oil? Does Voltair expose a flaw in Nielsen’s PPM encoding technology that substantively undercounts radio listening? Or is it the audio processing equivalent of snake oil? More than five months after Telos handed one of the units over to Nielsen for testing, there’s still no definitive answer. Either way, the mystery box has achieved almost urban legend status in the industry, causing manufacturer the Telos Alliance to sell the units as fast as it can make them. Many programmers claim they see significant ratings increases after inserting the box into their station’s audio chain. Voltair monitors the strength of Nielsen’s inaudible watermarks and tweaks the station’s audio to increase the likelihood of those codes being picked up by ratings meters. The issue is on the agenda for this week’s meeting of the National Association of Broadcasters Committee on Local Radio Audience Measurement. NRG Media COO Chuck DuCoty, who chairs the committee, says its members have been talking about Voltair’s relationship with PPM and plan to meet with Telos while continuing their talks with Nielsen. Nielsen has said it doesn’t know which of its customers are using the device, although it has made client inquiries. The company says it’s working with Telos to evaluate the product’s effect. A Nielsen spokesperson says the measurement company is having ongoing discussions with the Media Rating Council about the watchdog’s role in validating its test results and about working with the MRC’s independent CPAs to execute a series of lab and real-world Voltair tests.
Voltair’s potential impact on overall listening levels comes under microscope. While the industry awaits Nielsen’s test results, Voltair proponents suggest that widespread use of the technology could lift overall listening levels in PPM markets. In four markets where the device is being used by multiple stations, AQH persons increased by an average 3% in April compared to one year earlier, reversing a gradual years-long decline. The first Voltair boxes were deployed in late spring 2014, starting in Boston. Year-over-year AQH persons in Boston grew 1.6% in April after a 5% dip in 2014 and an 11% drop in 2013. L.A. listening was up 3% in April after a 5% decrease in 2014 and 2% growth in 2013. Chicago listening was flat in April, after previous dips of 7% and 6%. Listening in West Palm Beach where Voltair use is said to be most common, grew 7% in April compared to one year earlier, after consecutive declines of 7% and 2%. If the reported listening increases are the result of more PPM codes being detected, the numbers would be far higher if all stations were using the technology. A source familiar with the device claims it causes a station’s reported listening metrics to grow from 10% to 35%. “It’s not a one size fits all proposition, it could be format specific,” says one Voltair-equipped programmer. “If you’re just a fair brand or one that’s in transition, there may not be as much of an impact. On the other hand, it makes the highs higher.”
Urban Talent Raid at WGCI in Chicago.
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Broadcasters anxious for answers about reliability of PPM encoders. Questions about PPM encoding shortcomings go as far back as 2009. Programmers claim Nielsen and predecessor Arbitron have repeatedly sidestepped the issue for years. “They’ve done nothing to improve the algorithms,” one broadcaster says. “They haven’t truly understood which content is favorable for encoding and which isn’t, going all the way back to smooth jazz.” More than four years after the rocky rollout of PPM measurement was completed, broadcasters are anxious for answers about the reliability of PPM encoders. Some say they’d like to hear Nielsen say it stands by its measurement but admit it has learned about some areas that can be improved. There is also an outcry for more independent research of the product, which has taken on a life of its own. One broadcaster asked, “If it makes a difference for the industry, shouldn’t Nielsen make it part of their system? But if I jumped on it early and have a competitive advantage, do I really want that to happen? This is a really interesting animal to wrestle with.”Says another: “They should be doing everything they can do so overall viewing and listening gets measured. Out of this should come better measurement.”
SiriusXM sitting on spectrum goldmine. Satellite radio is sitting on a multi-billion dollar spectrum reserve, though its full potential will likely take more than a decade to be mined. CEO Jim Meyer says the company may not yet be ready to part with it today, but it’s an “underappreciated” asset in its portfolio. The satcaster will free up the spectrum in the coming years as it migrates subscribers over to what had previously been the XM Radio wide-band radio platform. In time the former Sirius Radio’s 25 megahertz of spectrum could then be redeployed – or even sold. “It’s obviously a long process, but we’ve already taken steps to get it underway,” CEO Jim Meyer told analysts earlier this month. While aftermarket receivers can quickly be migrated to one platform, it will take carmakers longer to transition. “But when they change, they stay focused and change, and it goes for a long, long time. And so we are in the middle of that transition,” Meyer said. CFO David Frear predicted the timeline for replacing the Sirius satellites will stretch out over the next ten years, but some analysts think that’s optimistic. SiriusXM will also need to address how to deal with used cars, which are a growing part of the company’s subscriber base. The January FCC spectrum auction that hauled in nearly $45 billion for the U.S. Treasury shows just how much the unseen but highly impactful commodity is worth. And with bandwidth that could be a pipeline into every car in America, there’s no telling what investors may be willing to pay SiriusXM.
Spotify spreads its wings into video and spoken word. Spotify is diversifying its content offering, diving head first into the realms of spoken word audio and online video. The on-demand music streaming service has announced a slew of outside content partners, including ABC, BBC, Comedy Central, ESPN, Fusion, NBC, TED, Vice Media and CBS Radio. The goal is to become a broader entertainment destination by marrying the right content for each moment in a user’s day, whether audio or video, and to give consumers fewer reasons to tune elsewhere. The move marks Spotify’s debut as a distributor of news, talk and entertainment programming. To fill those buckets, it’s tapping into the late night TV talk shows, cable channel Adult Swim, website The Nerdist, CBS Radio, American Public Radio and scores of other content providers. Artist-presented radio shows from the likes of Icona Pop and Tyler the Creator are on the menu, along with other hosted audio programming and artist performances. During a press event on Wednesday, CEO Daniel Ek spoke of the opportunity to “soundtrack your entire day and your entire
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life.” That includes making improvement to its core music service. A newly added “Now” start page recommends music based on a user’s taste, mood and the time of the day. The algorithm also relies on the user’s personal collection and the company’s in-house music experts. The updated app has a new running feature that delivers playlists based on the user’s running tempo and listening history. A partnership with Nike will make the Spotify Running feature available through the Nike+ app this summer. The popular RunKeeper app will be integrated with Spotify Running later this year.
An old-school urban talent raid in Chicago. Aiming to improve ratings at its urban station in Chicago, iHeartMedia has raided the competition, luring away two of its top personalities. Midday host Frankie Robinson and afternoon host Tone Kapone have left Crawford Broadcasting’s “Power 92.3” WPWX for WGCI (107.5), where they are expected to assume the same shifts, according to Chicago media blogger Robert Feder. The move is reminiscent of a similar talent raid in Los Angeles earlier this year, when iHeart urban upstart “Real 92.3” KRRL snagged veteran morning man Big Boy away from Emmis rhythmic CHR “Power 106” KPWR. WGCI midday host Loni Swain and afternoon host U.B. Rodriguez put in their final shows on Tuesday. But Robinson and Kapone, likely restricted by non-compete agreements, aren’t expected to immediately replace them. As a short-term move, WGCI has moved weekend host Rob Nice to middays and evening jock DJ MoonDawg to afternoons and weekend host Jamal Smallz to evenings, according to Feder. The changes follow the January arrival of a new WGCI morning show, hosted by Kyle Santillian, Kendra Gilliams and Leon Rogers.
FCC reform bills advance in House. Three of the proposed bills are from Republicans and three from Democrats, according to media regulatory news site KatyOnTheHill. The third was the FCC Process Reform Act, a bipartisan bill that passed in the House last year. The bills would give the public more access on the decision-making process and how the final FCC rules are crafted. One would require the agency to publish a list of items that are decided at the bureau level in lieu of a commission vote. Another would require it to publish the draft of a rulemaking, order, report or any other action when it is circulated to the commissioners for a vote. A third would require the FCC to publish new rules on the same day that they are adopted. An additional bill that would increase political ad disclosures failed to make its way beyond the subcommittee. The Keeping our Campaigns Honest (KOCH) Act would require the FCC to change its rules to require disclosure of donors to entities that purchase ads on radio and TV. MORE. Radio included in the Apartments.com campaign. Radio stations in 15 markets are part of an expansive, year-long, $100 million multi-platform media buy for apartment internet listing service Apartments.com. Customized local radio, TV and outdoor ads are being targeted to 18-49 year-olds in Atlanta, Baltimore, Charlotte, Chicago, Dallas, Detroit, Los Angeles, Hampton Roads, Houston, Nashville, Minneapolis, New York, Philadelphia, Phoenix and Washington, D.C. The campaign features actor Jeff Goldblum as Brad Bellflower, an eccentric Silicon Valley “maverick and visionary futurist” behind the new, redesigned Apartments.com. Developed by agency RPA, the campaign strategy is to position Apartments.com as the ultimate ally for apartment searchers. Its ambitious goal is to reach 95% of the target audience by delivering more than 3 billion impressions to create awareness and excitement and increase Apartments.com’s website traffic. The campaign includes national, regional, local and hyper-local elements, including out-of-home placements, deeply-woven digital components, shareable custom content and an aggressive search engine marketing program.
A taste of wine country – courtesy of a radio show. Grape Encounters Radio is making the jump from a six-year old radio show to a wine bar and shop in the heart of California’s wine country. Grape Encounters Em-POUR-ium opened in Atascadero, CA offering wines to taste or buy, and host David Wilson says the wine bar will play a role in the radio show as well as make it easier to record features with winemakers who spontaneously stop by his storefront. It will also help him interact with fans of the six-year old show. “Listeners can’t sit down and have a ‘tea party’ with Rush Limbaugh, but they can taste wine with me,” he jokes. Based at American General Media’s adult alternative “The Krush 92.5” KKAL, San Luis Obispo, Grape Encounters Radio is a one-hour weekend syndicated program.
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S A L E SDallas – Way Media Group strikes a $2 million deal to buy Christian CHR “89.7 Power FM” KVRK from the Research Education Foundation. KVRK is a Class C1 that stretches from suburban Plano north along Interstate 35. The acquisition bings the contemporary Christian “Way FM” format into the noncommercial operator’s largest market to date. Broker: Bill Whitley, Media Services Group
New Orleans – Ernesto Schweikert’s Crocodile Broadcasting files to buy regional Mexican “La Caliente 830” WFNO from Tejas Broadcasting for $825,000. Crocodile Broadcasting will operate the station under a local marketing agreement until closing. It already owns Spanish “Tropical 1540” KGLA in New Orleans. Myrtle Beach, SC – Beatty Broadcasting Company files a $150,000 deal to buy oldies WNMB (900) from Norman Communications. The deal also includes a three-year tower lease with an option to buy the tower for an additional $150,000. This is the first station for Gary and Sharlene Beatty.
Indianapolis – The Power Foundation files a $140,000 deal to buy religious “91.3 The Walk” WWDL from Horizon Christian Fellowship. The sale also includes three translators, including the Anderson, IN-licensed W252CY at 98.3 FM; the Pendleton, IN-licensed W271BY at 102.1; and the Muncie, IN-licensed W279CF at 103.7 FM. They are the first stations in Indiana for The Power Foundation, which will install its religious “The Life FM” on the signals.
Georgia – Victor M. Vickers files a deal to buy a new construction permit for WTTY, Albany (97.7) from Alex Media $57,000. Alex Media will give Vickers a $6,500 credit from an outstanding commission regarding a previous sale of WMRG, Morgan, GA (93.5), which will serve as a deposit for the purchase. Alex Media owns nine other construction permits in several states. Vickers owns two other construction permits in Georgia.
Pensacola, FL – Dan Brewer’s Easy Media files a $38,000 deal to buy the Pensacola-licensed W266AL at 101.1 FM from Edgewater Broadcasting. Easy Media will simulcast 1,000-watt standalone “1450 ESPN” WBSR on the signal.
C L O S I N G S
Lubbock, TX – Alpha Media has closed a $23 million deal to buy classic rock “Rock 101” KONE, rhythmic CHR “104.9 The Beat” KBTE, country “96.3 K-Triple-L” KLLL-FM, and hot AC “Mix 100” KMMX from Wilks Broadcasting.
Seattle – Bible Broadcasting Network closes a $2.4 million deal to buy KXOT, Seattle (91.7) from Public Media Company (the former Public Radio Capital). PMC has been operating the station since 2005 when it took over from Bates Technical College. The station has applied for the new call letters KYFQ. Broker: Greg Guy, Patrick Communications
Pittsburgh – Salem Media Group closes a $1 million deal to buy Radio Disney station WDDZ (1250) from The Walt Disney Company. Salem also owns contemporary Christian WORD-FM (101.5) and religious WPIT (730) in the market. Broker: Bill Schutz (for seller)
Texas – Gleiser Communications closes a deal to buy “Classic Hits 97.7” KWRW, Troup, TX in the Tyler-Longview market from Marie Whitehead for $750,000. Gleiser already owns “Talk 600” KTBB, sports “ESPN 92.1” KRWR, and Spanish sports “ESPN Deportes 1490” KYZS in the Tyler-Longview market.
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