Day Three Of NAB/RAB Radio Show 2020 Features Annual Broadcast Finance Panel

Wednesday Is Day 3

TODAY (10/7) was day three of the NAB and RAB's virtual RADIO SHOW 2020 convention, with the annual PILLSBURY WINTHROP SHAW PITTMAN Broadcast Finance panel as the highlight. The day's agenda began with a keynote from PROCTER & GAMBLE NORTH AMERICA Media TV Operations Group Dir. CHARLOTTE LA NIEAR discussing the company's initiatives to promote social change through partnerships with radio and via other media. LA NIEAR offered examples of how radio and other media can promote equality for marginalized communities, including accurate portrayal, eliminating hateful content, and increasing transparency.

Consultant BUZZ KNIGHT followed with tips on bringing programming and sales teams together ("a win-win opportunity ... a reset ... a Vulcan mind meld") to establish a new internal culture. He advised stations to have the departments share success stories, improve advance planning, and hold an uninterrupted, detailed meeting with both departments to analyze this year's performance and monetization and plan for next year's budget with specific and achievable revenue goals for improvement.

PILLSBURY WINTHROP SHAW PITTMAN LLP's SCOTT FLICK moderated the annual Broadcast Finance panel, featuring HUBBARD RADIO's GINNY MORRIS and CONNOISSEUR MEDIA's JEFF WARSHAW.

FLICK opened the session noting that revenue dropped 50% at the beginning of the pandemic and is still down 30%, although revenue for streaming and podcasting have recovered faster and those companies relying on live events were hurt worse. MORRIS said the pandemic has "been a devastating event for everyone," although she said her company saw geographic differences in the impact of the pandemic; WARSHAW said that his company's first months saw revenue down 80% and it's coming back, "but it's a long way to come back," with his largest markets the hardest hit due to severe drops in revenue from agencies and car dealers.

The panelists outlined what they did to adjust their businesses to the pandemic, including pay cuts and furloughs. WARSHAW expressed pride on his air talents stepping up to increase public service at a time "when our communities really needed us," and credited CONNOISSEUR for retaining local talent over the years. MORRIS also noted that where traffic patterns are returning to normal, listening appears to be returning to radio, and WARSHAW added that clients are reporting "great results" from radio advertising during the pandemic.

As for selling stations to redirect assets, MORRIS noted that "nobody's knocking at our door" to buy stations, and she characterized selling off assets as "burning the furniture." WARSHAW added that "there are opportunities in consolidation" but that "fresh capital ... I don't see that coming."

Looking at the future, MORRIS said she expects a separation of business models between companies using a national model and companies emphasizing local operation and revenue will continue. Neither panelist expected things to return to normal in 2021. As for "what's coming next for radio," WARSHAW said he sees a day when radio sales staffs are selling more than just radio.

JACOBS MEDIA's FRED JACOBS and PAUL JACOBS showed clips from a ZOOM conference focus group to close WEDNESDAY's schedule, demonstrating how stations can use video chat to do listener research. The panel addressed consumption of COVID-19 news, what listeners miss the most from pre-pandemic life, and whether the worst is behind us (no), followed by questions on changes in their media usage during the pandemic. FRED JACOBS noted the power for PDs of seeing and hearing listeners talk about their experiences in the pandemic.

Find out more, register, and watch by clicking here. The event has sessions planned through FRIDAY (10/9).

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