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How to Be Like Mark

Zuckerberg, that is.  Founder and CEO of Facebook.

Fast Company has a great piece on leadership lessons from Zuckerberg, and here is a sampling:

1. Have A Strong Personal Philosophy

“We don’t build services in order to make money,” says Zuckerberg, “we make money in order to build better services. Facebook was not originally created to be a company. It was built to accomplish a social mission–to make the world open and more connected.”

What is your goal?  Is it only to make money by any means necessary?  Or is it something deeper, something significant, something your consumers and partners will embrace as much as you do?  Do you have a social mission? Why not?

2. Give it Time

“I’m here to build something for the long term. Anything else is a distraction’” Zuckerberg said.

Are you in it for the long-term?  Can you dodge the distractions of this week, month, or quarter?

3. Support A Culture Of Innovation

“Things still retain the playful air of a tech development hive, but with an edge,” says Fast Company.

4. Pull, Don’t Push

Fast Company:

What Apple and Facebook know and more specifically their founders/CEOs’ Steve Jobs and Mark Zuckerberg have in common is aspirational clarity. They appear to be able to see where the puck will be and into the future of what their market will not just want, but go ga-ga over and then they deliver it. Some may refer to that as their being market makers, but what enables them to make their market is that they can anticipate what will delight their customers and members that those people don’t even know will delight them.

It’s about pull, not push.  Or, as I put it in a recent post, you can’t force people do do anything nowadays, you must attract them like moths to a flame.

Like Moths to Radio’s Flame

What’s the best way to defend radio’s audience from those who steal away attention and usage and ad dollars?

Here’s one strategy from my friend David Bujnowski of Coburn Ventures (where I am a research fellow).

In the “old days”, service providers could trap their audience who either didn’t know or didn’t care what their alternatives were.

Today, with hyperpersonalization running rampant, consumers have a choice of a million different service providers.  The customers can’t be held captive any longer.  We are free to choose and we’re well armed to find whatever it is that we want (and that my old “service provider” is no longer giving me).

So…as a service provider, how do I keep my audience?  I have to build/create a service that is so bright…so energetic…so wonderful…that the moths WANT to come to [my flame].  It’s their choice!

Spend less time mimicking others.  And spend less time trying to figure out how to keep me held captive (you can’t do it!).  And spend more time on your product so that I’m drawn to it like a moth… so I just can’t help myself.

This is important and too easy to forget.

Defending our products and services from the choices enabled by the inexorable march of technology is a fool’s errand. If technology can conceivably solve a consumer problem, assume that it will – and sooner than you think.

Recently I told one broadcaster about a tool that could transform one of his radio assets in a very meaningful way (forgive the vague description). His response:  We can’t do that because the audience might like it too much, and if they like it too much they will listen more to that and less to my stations.  In other words, “If I don’t believe in the future maybe it will never come to pass.”

Well, the future always comes to pass.  The question is whether or not your business is a part of it.

The key is to seek out these disruptors, to embrace them and wield them like weapons, not to look the other way.

Our best defense is a vigorous offense.  The secret to protecting our audience is attracting them like moths to a brilliant flame.  It’s not to  force them or bribe them or trap them.  It’s about attraction. It’s about being that good.

In a world where anybody can have anything they want, “average is over,” as Tom Friedman writes in the New York Times.

“Average products for average people” (to use Seth Godin’s phrase) will be impossible to defend against products and services designed perfectly for me.

We can try to keep consumers captive – or we can captivate.

I and many others in and around the radio business would prefer to create magnificent flames.

Pandora, Personalization, and Radio’s Competitive Future

Recently I was interviewed by Olivia Collette for Sparksheet, a business-to-business blog on media, content and marketing.  Olivia has allowed me to share the audio of that interview with you, so here it is.

Some of the questions we covered:

  1. Is Pandora “radio” or not?
  2. Is “radio” today a service, an experience, or a medium? (My answer:  It’s an “experience”)
  3. What’s one sentence that can define radio for the future?  And what can we do because of that?
  4. What’s the difference between “retention” tactics and “discovery” tactics for radio?
  5. Which is more important in the success of our digital ideas, money or passion?
  6. Is personalization a replacement for a “curated” radio experience – or just a supplement?  And is Pandora really as much “work” as it seems to be?
  7. What “curation” is – it requires the presence of human beings and a sense of “taste”
  8. How can broadcasters make their content stronger in the midst of so much online competition?

Here’s a sharable, social version of the interview:


And here’s a non-sharable, not-so-social version:

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(You can subscribe to all the MRM video and audio via iTunes and get the goodies before everybody else.  You can also get advance notice of this content if you “like” MRM on Facebook or follow me on Twitter).

“I’ll Have what She’s Having”

Why do what you’re doing?  Because everybody else in radio seems to be doing it?  Or because it’s the right thing for you and your organization to do?

Why jump aboard the iheartradio bandwagon and make your stations available on that platform?  Because every so often there’s a news release about another broadcaster who has, or because it’s the best way for you to advance your progress in streaming?

Why pursue a dedicated mobile app?  Because everybody needs a dedicated mobile app, or because its central to your digital strategy?

Why install a deals platform?  Because that’s what the other guy is doing, or because you know how to monetize this and make it an important component of your media brand portfolio?

And so it goes, one example after another, where some broadcasters looking for answers look outside rather than within.  And what we too often find are broadcasters following the wagging tails of other broadcasters traveling to this destination or that one for reasons unknown to anyone.

But isn’t this progress?  Maybe.  But maybe not.

“Progress” is the value you and your consumers and advertisers derive from one unit of effort in a world where time and resources are scarce.  You literally can’t do everything and so must do what’s most important.

But too many broadcasters don’t know what’s most important, so instead they do what’s easy.  And “having what she’s having” is incredibly easy.  Not just easy to mimic, but easy to justify:  ”I’m doing it because they’re doing it.  Let’s all do it together.”

The problem is that doing what’s easy or chic is not the same as doing what matters.

Indeed, doing what’s easy without it being particularly important explains why so much of what we do is done so half-hearted and without the kind of commitment that makes the difference between dabbling and success.  It’s why so many of our initiatives are as light on investment as they are on ingenuity.

We spend too much time looking at each other and not enough time looking inside at ourselves and around us at our consumers and our clients. We spend too much time looking at each other and not enough time looking outside the industry altogether for ideas that were not born from radio brands.

Take mobile apps, for example.  Does every station need a dedicated mobile app?  Not necessarily.  Every station needs to be present across platforms in ways that consumers want and advertisers value, but that doesn’t necessarily imply a dedicated mobile app.  The question isn’t “to app or not to app,” the question is “What do I need an app to do that I can’t do without the app?”  To chase an app without a strong reason will guarantee that little value will be placed on that app and “getting an app at low cost” will be more urgent than having a good reason to build one in the first place.  The end result:  Time wasted on unimportant matters and an app few consumers care about that makes little difference to the brand, the consumers, or the advertisers. Opportunity lost.

A couple years ago when I revamped my own digital platform I didn’t use any competitor as a model.  Then and now my platform looks and functions completely differently from those of other companies who do things like me. My intention was to create a media brand that solves problems for a community of businesses and entrepreneurs in and around radio.  The emphasis was on media – video, audio, text, books, etc. And it was not about glorifying my efforts but rather showcasing opportunities for the marketplace of businesses my brand serves.  As of now I have had more than 126,000 video views – that may not be a lot in your business-to-consumer world, but for a vertical market of folks in and around broadcasting that’s pretty impressive.

In other words, I looked within for a goal and a strategy to achieve that goal.

Your answer will not be the same as the answer for your broadcast peers.  In part because your assets differ from theirs, but also because while they may launch this or that initiative, the sad truth too often is that they don’t know why they’re doing it.  Chasing the tails of our broadcast peers is not a good enough reason.

German Radio Ad Market Up 3.4%

The German radio advertising market grew by 3.4% in 2011, according to statistics from Nielsen published by Meedia.de. Sales totalled 1.43 billion euros.

Antenne Bayern is still the market-leader, but its sales dropped .6% to 83.53 million euros in 2011. The largest increases were made by public station 1 Live and its commercial competitor Radio NRW, while the largest loss hit Hit-Antenne, which was down 12.7%.

Overall, privately-owned stations took 69.8% of radio ad sales in 2011, with the rest going to public stations.

Here are the top ten grossing radio stations in Germany:

1. Antenne Bayern – 83.53 million (-0.6%)
2. Radio-Kombi Baden-Würtemberg – 79.79 million (+3.8%)
3. Radio NRW – 77.19 million (+10.9%)
4. 1 Live – 56.19 million (+16.2%)
5. Hit Radio FFH – 49.20 million (+1.0%)
6. Hit-Radio Antenne – 47.00 million (-12.7%)
7. SWR 3 – 43.34 million (+4.4%)
8. Bayern 3 – 41.16 million (+12.0%)
9. WDR 2 – 40.78 million (+8.7%)
10. Radio Schleswig-Holstein – 34.75 million (-0.7%)

The Upside-Down World of Public Radio Funding

Once upon a time “NPR” stood for “National Public Radio,” and the “radio” in NPR was the exclusive means of distributing the network’s content.

This was an era when stations would solicit funds from listeners to support this and other programming and send a big chunk of those funds back to the network.

That was then, this is now.

Today, radio is not the distribution channel for NPR content, it is simply another distribution channel for that content (albeit the most important one).  Yet the funding equation works precisely the same way, and that’s confounding.

Because when radio becomes not just the distribution channel for content but also the means of discovering content you can hear on demand and directly through other means, that represents a change in role of the local station from distribution partner to advertising vehicle.  And if NPR is using radio to advertise its content elsewhere, then shouldn’t NPR be paying the stations rather than vice versa?

This is an oversimplification, of course.  NPR affiliates benefit hugely from that content and certainly should be paying fees to use it.  But as that content spreads across the spectrum of distribution channels in a digital age, shouldn’t the revenue derived from those channels benefit the “advertiser” affiliates in the form of discounted fees?

Well, you might say, everywhere these programs occur you will hear pitches to support this or that public radio station within the program itself. But this is ludicrous.  If I am a fan of This American Life and I can and do download it on demand, why should I support my local public radio station because of it?  Why should I even support the station that produces it? It’s the program I love, not the station which gave birth to it. Why should I make Chicago’s public radio station richer when I live in San Diego?

If, however, This American Life asks me to support This American Life directly – no middle-man, then I get what I’m paying for and I’m paying for what I get (no matter where the money actually goes).  And if more public radio programs solicited this way, some fraction of those dollars should go to discount the fees of the stations licensing those shows, since they are active “distribution partners” in their success.

But if shows solicit for themselves instead of the stations that run them, how are local stations supposed to drum up sufficient support?

The answer is not only the local programming that makes each station unique. The answer is also that there is value in aggregating these shows into a tapestry of content and filling in the blanks with locally-produced content.  That is worth something.  It’s worth quite a lot.  The pie is tastier than any of its ingredients alone.

But there’s also something else:  I believe it’s important for all local public radio stations to extend the experience beyond the content and into the local community, to enrich the lives of local consumers and local members with direct experiences, not only radio content.

In every market NPR can be heard but a local public radio station can be experienced.  And that’s something special. “Public service” should not mean only over the air.

This would be a model that gives consumers and fans what they want the way they want it.  A model that recognizes that shows are supported for one reason and stations for another.  A model the acknowledges that technological innovation means local stations are less a distribution channel for NPR and more an advertising partner, a megaphone to current and potential audiences.

A model that refocuses local public radio stations away from content for its own sake and towards improving the lives of its consumers in its local communities.

Gordon Borrell on Radio’s “Miserable” Digital Sales Progress

Gordon Borrell is a fan of radio, but not of radio’s performance on the digital sales front.

How are radio’s digital selling efforts different from those of other media platforms? It turns out they differ quite a lot. It’s a sad thing, says Borrell, and radio is on the verge of “blowing it.”

You need to go to the highest level in the organization, says Borrell, to make the investments required to keep radio healthy for the long run.

Watch this conversation with Gordon Borrell.  In it, he explains how radio’s potential is great, but how it’s at risk. He explains how too much short-term thinking makes radio vulnerable to disruptive change. He explains some of the recipes we need to follow to repair the problem, and he showcases some of the broadcasters who are already well on their way.

This is advice both critical and constructive.

Watch:


Prefer audio?  Try this:

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(You can subscribe to all the MRM video and audio via iTunes and get the goodies before everybody else.  You can also get advance notice of this content if you “like” MRM on Facebook or follow me on Twitter).

How to Brand Like a Rock Star

Steve Jones is the VP of Programming for Newcap Radio, one of Canada’s largest radio groups. He’s also the author of a new book called Brand Like A Rock Star: Lessons from Rock ‘n Roll to Make Your Business Rich and Famous (website) and this book teaches how any brand can learn the lessons of rock superstars to make those brands more effective.

I talked with Steve about the book and how we can turn these lessons back home towards radio.  Watch this video of our conversation:


Prefer audio?  Try this:

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(You can subscribe to all the MRM video and audio via iTunes and get the goodies before everybody else.  You can also get advance notice of this content if you “like” MRM on Facebook or follow me on Twitter).

Steve, one of the key themes of this book is the importance of having passion for what you do – something which drives you, which matters to you a lot. Rock stars and other music artists often exude passion, but do you think we sometimes lose that sense of passion as broadcasters?

Yeah absolutely. I think we often get caught up in numbers and in ratings in the moment and forget that if you don’t truly care about what you’re doing, if you’re not passionate about it…they say your smile comes through on the air, but the passion comes through on the air. Fun comes through on the air. It’s easy in the business of broadcasting to lose sight of how much that really does matter. When you truly care about something you’re able to communicate a level of passion and excitement far beyond someone who’s just going through the motions or just doing it because it’s PPM friendly or it’s what they’re told to do.

“Branding like a Rock Star” is about passion, it’s about values, it’s about being part of a tribe; something bigger than yourself, almost in a religious sense. Bands like The Grateful Dead were able to inspire that level of passion and dedication and devotion.

Passion is really what branding is about, it’s about emotion. There’s a lot in the book about the idea that brands aren’t logos, they aren’t positioning statements, they’re emotions, emotional connections, and it’s really hard to control that. Even if you spend millions of dollars to try to influence it, ultimately what people think about you, what they feel about you, what they passionately believe you are is what you really are.

If brands are about emotional connections, what can I do as a radio brand to make those emotional connections? What are some of the rules of thumb?

We have to be about things people care about. No one will ever come up to you as a morning show host twenty years from now and say “I love the way you play twelve-in-a-row commercial-free every hour after 9:00 am.” But they will come up to you and say “I remember that time when your dog died and you were in tears on the air. I can so relate to that because my dog had passed away.”

When we talk about things that matter to people, when we really connect with them on a level that makes a difference in their lives, that’s where passion is, that’s where emotions come from. You can throw up positioning statements all you want, and you can play as many songs-in-a-row uninterrupted as you want, but you’ll never ever achieve any level of emotional connection doing just that. All of those things are important, but we can’t lose sight of how important emotions really are.

The best broadcasters I work with are all keenly aware of the fact that PPM doesn’t reward them if they get sloppy on the mic, if they do anything other than play a lot of music in a row for too long a stretch. But at the same time, they are also keenly aware that if they don’t make that mic-time count, if they don’t connect with people on an emotional level about things they care about, then they lose. They know how important this is even though it may not be obvious from PPM. Is that what you see, too?

Yeah, I couldn’t agree with you more on that. It’s easy to say that this is hard to do, so let’s not do it; let’s just play another song, let’s play another five-in-a-row because it’s difficult to be real and human and it’s difficult to elicit emotional reactions in people. But we have to strive for that. It’s the only way to succeed. It’s the only way to build a brand.

If you build a brand, if you build up expectations, that’s the only way to get people coming back to you because in our business it’s inevitable that people will go away. We’re going to play songs that people don’t like and there’s just no way around that. Not everybody likes every song. So you need to have that expectation in your audience, that expectation built-in that if I come back something good will happen.

Your book talks about two seemingly opposing forces, both critical to building a great brand: Consistency and change. How do you reconcile these two things as a broadcaster, the need to deliver to expectation and yet the need to evolve?

Look at it from a musical point of view. AC/DC is an example of consistency, and there’s no doubt that a band that played really three chords in thirty years is consistent in everything they do. But it risks being a bit boring, and it’s sort of discouraging that you can never change.  But you can change.

So look at the Beatles. With every new song came a revolution in recording techniques, in songwriting techniques and how songs can be created, how they could be written, how they could be presented. People didn’t just buy Beatles music because they were great songs, people ran out to buy the new Beatles albums because they were a step forward in how we digest music.

In business, it’s the same thing. Consistency can be “being the same” or you can be consistently amazing. You can consistently surprise your audience; you consistently amaze them and delight them in different ways. It doesn’t always have to be exactly the same way, but the point of consistency is that even as you change, you change in a consistent way. Listeners come to expect that they can get something from you, something very big from you and they can consistently get that even if you’re giving it to them in different ways each time.

How do you build in innovation in an environment where resources are slashed, where people are stretched, where incentives are very short-term? How do you maintain an innovative spirit, and how do you make sure that you keep that change and that evolution happening?

I think if I could easily answer that question we would save the industry.

Ultimately, it comes down to the right people. You have to have people who are empowered and people who are capable of taking that empowerment and turning it into something positive on the radio. You have to have people behind them on a management level who will stand up for mistakes and recognize that failure is an essential step to success, that sometimes we’re going to make mistakes, it won’t always be perfect – not every at-bat will be a home run. And you have to have patience because things don’t connect overnight.

All those things are somewhat lacking in our industry and I realize that with resources slashed, it gets harder and harder to do it. But it only takes one or two great people. It doesn’t take twenty people to be great on the air. One or two great shows can elevate a whole radio station.

Of course, as you win, resources become more available to you. So there is a chicken and egg thing; how you get ahead when resources are cut? But once you get ahead the resources tend to come, and if you use them wisely, you build on that success and snowball it.

You need the permission to fail, the permission to try things, because without those trials you’re spinning your wheels, right?

Yeah and I think every band has done that. Every band has recorded a song that didn’t quite connect.

Look at U2. They went through a whole phase in the early 90’s of recording music that they felt was relevant but that most of their fans felt was weird. But they came around, came back, and they continued to evolve and, remarkably, U2 has survived through all these changes to be the most profitable rock band of all time.

Brand Like a Rock Star talks about the idea of not selling products or services per se, but selling experiences. In radio, how would you define what you mean by an experience?

Again, it goes back to emotions. It goes back to what I feel when I listen to a certain radio station.

I’ve talked to jocks about that before and they say “What do I say? How do I talk to this target listener,” and I tell them, “Don’t focus on what you say, focus on what they’re going to feel. Focus on the experience at the end of it all.”

That could be a big thing, like a morning show where the experience is edgy or the experience is raunchy, the experience is humor, the experience is sex, the experience is celebrity gossip.  Whatever the experience is, the emotion is, that’s where it begins. It’s so much more than just “get in and out in ten seconds.” It’s so much more than just using certain words. It’s really about building an experience and an expectation.

One of my favorite chapters in the book, and it’s one of the weirder chapters that I was reluctant to even include, is about the power of white space – the power of what you leave out, what you don’t say, what you choose to surrender, and how that impacts your brand.

In the case of the book, I’m writing about business in general but it applies to radio, too, and what songs you don’t play, what things you don’t talk about, what clients you don’t allow on your radio station, what you choose not to stand for and how much that can have an influence on how your radio station is perceived and how your brand is perceived as a business. In the book I used examples like the Beatles White Album and Led Zeppelin IV – albums that had no title on them. These bands were able to add a little mystery and intrigue to what they were doing.

In radio we seem sometimes so excited to tell everybody everything about what we do, and in business it’s sort of the same thing. People put an ad on the radio and talk about ten different things in the ad because they’re so excited about communicating what they’re about. I think there’s a lot to be said for stripping that back and leaving a little mystery and intrigue in the brand.

The little details we leave out, the mystery we’re able to create around promotions or around on-air content, and stories. It’s creating drama, it’s creating a reason to tune in and stay tuned in because something really cool is happening here and you might not even know what it is but there’s something cool happening.

NRJ and RMC Gain in France

NRJ closes in on marketleader RTL in daily reach, while full-service station RMC sets a new all-time high in the latest French radio survey from Médiamétrie.

RMC has gained half a million new daily listeners in the past year, according to the November-December survey. The daily reach 7.9% is the highest ever for the station, as is the 6.6% marketshare.

Hit station NRJ’s daily audience is up by 555,000 year-on-year to 11.4%, following six consecutive positive ratings results. The morning show 6/9 de Manu has won 190,000 new listeners in the past year. However, the marketshare is up only slightly – from 6.2% a year ago to 6.3% now.

The marketleading full-service station RTL is down from 13.2% to 11.8% in daily reach, while the marketshare drops from 12.7% to 11.9%.

Pandora at 125 Million

No matter how many or how few listeners are tuned to Pandora at any given moment, 125 million registered users is a whole lot.

Think of the registered user count as analogous to the number of people who own radios.  Owning a radio is being “registered to use” radio.  While the Pandora numbers fall far short of radio’s “registered” distribution, the numbers move closer by the day.

It seems obvious to me that Pandora will become an increasingly attractive alternative for radio’s traditional advertisers as radio’s reach advantage continues to diminish.

Given that streaming is not unique to Pandora – that radio can play in that game, too (and with a much louder and larger megaphone) – this should be viewed as an opportunity for a larger market for all.

In this video, Pandora’s Tim Westergren talks to USA Today about their huge increase in registered users, their global opportunity, and Clear Channel’s challenge to their online radio empire – is it a threat or validation of everything Pandora stands for?

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