Google Groups no longer supports new Usenet posts or subscriptions. Historical content remains viewable.
Dismiss

Commercial radio advertising at community radio rates

4 views
Skip to first unread message

sav

unread,
Mar 7, 2007, 5:53:06 AM3/7/07
to
It come to my attention that regional commercial radio stations are
selling prime time 6am to 6pm advertising 30 second spots at community
radio prices, yes as low as $7 per spot. It might surprise you that
it is not Corallis selling them this cheaply but Macquarie Regional
Radio Works. How does community radio compete against commercial
radio selling this cheaply?

Donnyon...@gmail.com

unread,
Mar 7, 2007, 6:33:29 AM3/7/07
to

> It come to my attention that regional commercial radio stations are
> selling prime time 6am to 6pm advertising 30 second spots at community
> radio prices, yes as low as $7 per spot. It might surprise you that
> it is not Corallis selling them this cheaply but Macquarie Regional
> Radio Works.

What stations are these? I wouldn;t think it would be markets such as
Gosford, Port of Coffs....

Maybe Roma or Emerald or Charters????

ANyway, the $7? Is that the base rate? If so...very cheap!!!

> How does community radio compete against commercial
> radio selling this cheaply?

Probably the commercial stations have less listeners with all the
network programming they broadcast!!! I dunno!! :-)

Harold

unread,
Mar 7, 2007, 7:06:35 AM3/7/07
to

"sav" <peter....@gmail.com> wrote in message
news:1173264786.7...@t69g2000cwt.googlegroups.com...

February is a short month, and salespeople have to make their quotas.
Doesn't matter what you sell 'em for, as long as you sell 'em.

HT.


HeadRush

unread,
Mar 7, 2007, 7:37:26 AM3/7/07
to

"sav" <peter....@gmail.com> wrote in message
news:1173264786.7...@t69g2000cwt.googlegroups.com...

They probably have to commit to 10 spots a day for 6 months at that rate, so
the total cost is $70 X 180days = $12,600. If they've got 20 regular
advertisers....you do the maths.

HR


MediaWatcher

unread,
Mar 7, 2007, 7:50:25 AM3/7/07
to
On Mar 7, 8:53 pm, "sav" <peter.savi...@gmail.com> wrote:

>How does community radio compete against commercial
> radio selling this cheaply?

They Don't!!!! And that's the good part!


Tal

unread,
Mar 7, 2007, 11:12:30 AM3/7/07
to

yup, I'm aware of community stations being told their prices are too
high! They simply can't compete

aus.radio.broadcast.moderated

unread,
Mar 7, 2007, 2:04:15 PM3/7/07
to
On Mar 7, 11:37 pm, "HeadRush" <( . )( . )@(_!_).com> wrote:
> "sav" <peter.savi...@gmail.com> wrote in message

>
> news:1173264786.7...@t69g2000cwt.googlegroups.com...
>
> > It come to my attention that regional commercial radio stations are
> > selling prime time 6am to 6pm advertising 30 second spots at community
And > > radio prices, yes as low as $7 per spot. It might surprise

you that
> > it is not Corallis selling them this cheaply but Macquarie Regional
> > Radio Works. How does community radio compete against commercial
> > radio selling this cheaply?
>
> They probably have to commit to 10 spots a day for 6 months at that rate, so
> the total cost is $70 X 180days = $12,600. If they've got 20 regular
> advertisers....you do the maths.
>
> HR

Many regional markets are suffering the
effects of the drought in any case

7 dollars for a credit or 10 seconds
seems ok in those people sparse
markets. 50 yearly clients at those rates
lays a secure and stable income

Community radio doesnt compete with
commercial radio but rather compliments
and offers
advertisters a more selective on target
niche to reach different target groups
if it is wisely programed.

And These smaller markets are not
surveyed
often enough.

True?

KeithA


Camel

unread,
Mar 7, 2007, 7:14:09 PM3/7/07
to
>How does community radio compete against commercial radio selling this cheaply?


Fair enough but is it the right question?

Keith touched on it with his comment about advertiser pain during the
drought and therein lies the key.

How does the concept of ROI (Return on investment) enter into the
equation for the actual advertiser?

It is for this reason alone that car yards and real estate companies
feature high in the top 10 client list.

The break even cost of the advertising is more easily met with higher
GP (Gross profit) margins.

If there's $3,000 profit sitting in the trusty used commodore at
Honest Joes - then a $210 spend (20 x 30" @ $7 each) is worth burning
if it results in a sale.

If your talking mince at $7 a kilo down at the butchery then you need
to sell quite a few extra kilo's to break even on that...

Everyone has to meet market- bottom line, and one of the best ways to
lift rate average is to come up with killer creative ideas.

Sniffing out supplier co-operative dollars is a worthwhile option -
sometimes the bucket with the money isn't always under the counter.

The integrety of the ratecard should be preserved unless the frequency
or length of schedule justifies the discount.


Anyone can prostitute a rate card.


It makes it very hard for the next person that has to clean up the
damage you create in the market place.


Camel

sav

unread,
Mar 7, 2007, 8:59:11 PM3/7/07
to

It is Port Macquarie, I saw 2MC / Star FM's advertising portfolio they
give to clients

sav

unread,
Mar 7, 2007, 9:01:06 PM3/7/07
to

>
> Many regional markets are suffering the
> effects of the drought in any case
>
> 7 dollars for a credit or 10 seconds
> seems ok in those people sparse
> markets. 50 yearly clients at those rates
> lays a secure and stable income
>
> Community radio doesnt compete with
> commercial radio but rather compliments
> and offers
> advertisters a more selective on target
> niche to reach different target groups
> if it is wisely programed.
>
> And These smaller markets are not
> surveyed
> often enough.
>
> True?
>
> KeithA

I really don't know about that one, its 7 bucks per 30 second spot
keith

aus.radio.broadcast.moderated

unread,
Mar 7, 2007, 11:28:08 PM3/7/07
to
How does Community Radio compete
with commercoal radio?

By being more creative is one way
to start with.

This par from jocks journal emphasises
this point.


Which Queensland community station was asked to forward an ad from
their creative department to a nearby commercial station because the
commercial FM had failed to meet the client's expectation? Apparently
the client loved the ad created by the community FM station - and
after knocking back a few commercial FM efforts suggested they go with
the community station concept.


MediaWatcher

unread,
Mar 8, 2007, 12:09:35 AM3/8/07
to
On Mar 8, 2:28 pm, "aus.radio.broadcast.moderated" <nswa...@yahoo.com>
wrote:

That just proves the point that clients are not always right. Just
because the client liked the other ad does not mean it was the right
chioce to go with. Clients are not advertising experts. That's our job
to educate them on the correct marketing options. Clients should not
be telling radio stations how to make commercials.

Andy B

unread,
Mar 8, 2007, 4:02:39 PM3/8/07
to


It may surprise you to know then, that 2Day FM often sell BAT
commercials (05:30am - 05:30am) at $10 - $50! And most of the time,
these spots don't fall in mid-dawns! In 2Day FM's defence, usually
this is done to bring down their average unit rate.

FYI - a 30 second live read with Kyle and Jackie O will set you back
$1700 per read!

Camel

unread,
Mar 8, 2007, 6:01:10 PM3/8/07
to
> FYI - a 30 second live read with Kyle and Jackie O will set you back $1700 per read!

Geez- leaves Honest Joe and his trusty used commodore a bit short on
margins then doesn't it?

No wonder e-bay took off.

Camel

jmc...@yahoo.com.au

unread,
Mar 9, 2007, 1:49:35 AM3/9/07
to

Community Radio station rates - hmmm...
didn't we just have a debate re: level playing fields.

This is where Community radio - who offers their 5 mins at $2.20 per
30 second spot could learn a thing or two.

5 mins per hour is the limit. The stations who want to increase the
minute per hour limit obviously aren't milking the sponsors enough.

At $1700 for a live read, there is plenty of head room.

The proposal to remove the 'direct financial link" and the need to
'tag' sponsorships will revolutionise community broadcasting.
And make life a whole lot harder for commercial stations I feel...
Jack@!

sav

unread,
Mar 9, 2007, 10:20:33 PM3/9/07
to
Well, 2.20 per spot is too lower margin for a community station that
costs 71,000 dollars to run each year

PPyeNews

unread,
Mar 10, 2007, 2:16:04 AM3/10/07
to
> > Jack@!- Hide quoted text -
>
> - Show quoted text -

sav says-


a community station that
costs 71,000 dollars to run each year

what sort of costs do you base that figure on sav?

sav

unread,
Mar 10, 2007, 4:34:12 AM3/10/07
to

Um my own stations??


PPyeNews

unread,
Mar 10, 2007, 5:11:17 PM3/10/07
to
> Um my own stations??- Hide quoted text -

>
> - Show quoted text -

Sorry Sav, I was not questioning your ability to count. I have heard
conflicting figures quoted.
Thanks for that.

jmc...@yahoo.com.au

unread,
Mar 10, 2007, 11:05:58 PM3/10/07
to
> Thanks for that.- Hide quoted text -

>
> - Show quoted text -

For say 2MAX FM that needs say nearly $20,000 just to broadcast of Mt
Dowe, versus 2YOU that just needs to pay electricity.

The cost factor is different

$2.20 per spot equates to a potential income of over $100,000
($144,144 to be exact)

Um... your spot costs on average what?

www.2youfm.com.au

is an example of a really badly laid out rate card...


Jack@!

sav

unread,
Mar 11, 2007, 3:42:04 AM3/11/07
to
Ok who from my station quoted you figures or are you making general
statements about the industry? I gave you a rough estimate

jmc...@yahoo.com.au

unread,
Mar 11, 2007, 4:52:13 AM3/11/07
to
> > Thanks for that.- Hide quoted text -

>
> - Show quoted text -

A debate I had several years ago re the 5 minute limit and how much
money the station COULD earn..
simple spreadsheet.

Goes like this
spot cost x 10 spots per hour x 18 hours per day x 7 days per week x
52 weeks per year = potential income.

(alter to suit 12 hours maybe or only 5 days a week.)

The resulting amazement from community radio stations that were
earning only $40,000 a year total was kinda scarey.


Jack@!


Jack@!

PPyeNews

unread,
Mar 11, 2007, 4:36:14 PM3/11/07
to
On Mar 11, 6:42 pm, "sav" <peter.savi...@gmail.com> wrote:
> > Thanks for that.- Hide quoted text -

>
> - Show quoted text -

General comment

Wombat Lover

unread,
Mar 13, 2007, 8:22:29 AM3/13/07
to
G'day,

Make what you like of this, but Light FM in Melbourne, yes a Community
station broadcasting Christian music etc. Has a motto

"No more than 2 sponsorship announcements in a row"

Imitating, or cant get sponsors?

--
From Robert | Wombat Lover | Melbourne | http://www.surfnetvictoria.com


0 new messages