Archive for October, 2009

Here Are the Rules. You Might Want to Break Them.

Friday, October 30th, 2009

In his best-selling book “Outliers,” author Malcolm Gladwell suggests that one cannot become a true expert in any given area until one has invested 10,000 hours study, service and practice in that area. Without quibbling over the purity of this round number (Can’t I get there in 9,342 hours?) there are sufficient case studies and common sense to support this theory.

Contrast that to Madison Avenue legend David Ogilvy’s contention that a great advertising agency must hire subversives and contrarians, many of which would bring less than 10,000 hours on the job – and you’ve got a hiring challenge and marketing conundrum.

The direct response industry has built countless success stories on the simple axiom of “Copy Smart.” Take what has worked successfully for other direct marketers and adapt their style, their message, their offer, (heck – whatever you can steal without getting caught) and jumpstart your campaign’s success on their trial and error.

But if all you do is copy and tweak, where does this “challenge the paradigm with new talent” model fit in? Am I supposed to copy smart or reinvent the wheel?

Both. Neither. And some of each.

Any and all methods of generating sales are good ones, provided they stay within the realm of truth and the letter of the law. Constantly testing against your control message is always a sound idea. It lets you push the envelope and develop new styles, new characters and spokespeople with new offers that could work their way into your control ad with better results.

Ogilvy notes that one of the key things his agency does is develop young talent. Gladwell clearly cites example after example of how culture (and that certainly can include corporate culture) creates conditions that nurture excellence.

Of course, it’s challenging to convince a conservative client that a radical marketing message is something that should be tested. (Wouldn’t you love to have been a fly on the wall the day GEICO executives were first pitched the concept of using a SpokesGecko?) Still, it’s important to drive home the fact that most brands that fail to pace the pack in marketing often end up falling behind or even out of the race.

Hire the best talent. Teach them the rules. Then give them permission to challenge and break the rules with purpose, but not anarchy.

Last year, our agency tried to convince a conservative health care client, targeting Adults 50+, to use firebrand comedian Pat Cooper as a spokesperson. At age 80, Cooper still performs stand up and is sharp enough to more than hold his own as a guest on fast-paced The Howard Stern and Opie & Anthony radio talk shows.

We wanted to use Cooper’s loud, in-your-face delivery as a wake-up call to seniors and jolt them to take action to safeguard their good health. We knew we’d probably crossed the line. But we also knew the approach was unlike anything else on the radio and was worth testing. Our client liked our radio scripts, then politely told us the approach didn’t fit with their brand imaging. We countered that the spot could be produced consistent with brand image, but stopped short of arguing. (Sorry, Pat. The recording session would have been a blast.)

Copy smart? Break the rules? Yes and yes. But keep testing. The public will tell you when you’ve got it right.

Mark Lipsky, President & CEO

The New Marketing Reality

Tuesday, October 27th, 2009

Someday, when the economy recovers and advertisers return to normal spending levels, traditional advertising will not return to normal thanks in part to the Internet and Direct Response Marketing.

More and more major brands are converting sizeable chunks of their ad budgets from traditional media like Outdoor, Print, Radio and TV to SEM and DRM because results are measurable, manageable and more profitable than branding. And “accidental branding” is a positive side benefit of SEM and DRM campaign that sustain themselves through profitability. The media is held accountable for performance based on pre-determined metrics and goals - making it possible to identify what marketing success looks like.

The era of automatic annual upfront buys is waning.

In traditional media like Print, TV and Radio, the upfront buy is giving way to more Direct Response and scatter and remnant. More frequently, traditional media advertisers are coming to market with complete multi-media campaigns that brand and incorporate DR components like toll-free telephone numbers, and unique URLs with promo codes to drive consumers online. Upfront annual buying is still relevant but revenue shares are being lost to the Web.

I envision that most major media buys in the future will be fully integrated, multi-platform programs, incorporating the power of TV and Radio, Print, Direct Mail, Out-of-Home and the multi-level components through Search, Online, Mobile and Social Networks with a strong drive to measure and manage results (ROI). Brands need to sell products and services and are less concerned about pure brand awareness.

When your business is ready to incorporate direct response radio into your multi-platform marketing program, call me at Radio Direct Response 610-892-7300 X114 or visit the Radio Direct Web site for help with your company’s economic recovery.

Once you’ve managed and optimized the marketing process, why would you ever go back to the dark ages when accountability was a dirty word?

Vince Raimondo, Vice President of Marketing

PPM Marches On…Without Accreditation

Friday, October 23rd, 2009

The Portable People Meter, radio’s new age monitoring ratings system, continues to roll out with the addition of St Louis, Tampa, Baltimore, Pittsburgh and Denver. Arbitron has established PPM as its means of electronic measurement in surveying radio listening in the top 25 markets. However, the number of markets accredited by the Media Ratings Council remains at two: Houston TX and Riverside/San Bernardino CA.

Last January the MRC rejected accreditation for New York City and Philadelphia. On October 15th, New York’s approval was again delayed as Arbitron failed to meet the minimum requirements for accreditation. Arbitron’s VP/Research Beth Webb addressed what the company is doing to try and increase the number of accredited markets by the MRC (Media Rating Council).

“Arbitron continues their due diligence by undergoing the yearly audit, holding meetings with the MRC and by continuing to answer questions being raised by the audit committee. Arbitron continues to work closely with the MRC on all markets to support the accreditation evaluations.” All remaining commercialized PPM markets have been audited by the MRC prior to their commercialization, however, final decisions on the accreditation in those markets has not been made by the MRC yet.

Arbitron SVP of Marketing Bill Rose defends against criticism that PPM is detrimental to minority radio stations, using Howard University’s WHUR in Washington DC as his example. “WHUR has been gradually growing its ratings under PPM and has now become the market’s leading station.”

Arbitron has also showcased data slides showing the company’s success in hitting the targets for PPM panel recruiting and in-tab samples in particular demographics across various markets. Eight additional markets including Portland, Sacramento, Cleveland, Cincinnati, Salt Lake City, San Antonio, Kansas City and Las Vegas are all scheduled to become currency on New Years Eve 2009. Whether all 25 PPM markets will have received their MRC accreditation before time runs out on 2009 remains to be seen. However this PPM train is rolling and appears to be in it for the long haul.

Danny Ocean, Vice President/Director of Operations

The Write Way

Tuesday, October 20th, 2009

The old adage states that there’s a right way and a wrong way to do things. I’d argue that time and experience has proven that statement false. In most cases, there are many “right” and “wrong” ways to complete any given task.

Our parents and teachers taught us that the “right” way to cross a street was at the corner, remaining at all time in the pedestrian guide path and crossing only while the “WALK” sign was flashing. We’ve all bent those rules at some time or another and lived long enough to read this sentence. Still, we’d probably all agree that crossing that street blindfolded at night, wearing dark clothing and walking slowly backwards is hardly the “right” way to get the job done safely.

When it comes to crafting an effective radio commercial, many cooks often volunteer to lend a hand in the creative kitchen. Some chefs overpower the process and create a dish that looks good on the plate but chases away the customer once they have had a taste. We walk that fine line every day at RDR.

We respect that our clients know their business far better then we do. We also trust them to tell us which – of the 101 reasons a prospect might become a customer – is the most likely reason to facilitate that conversion if properly expressed in a radio commercial. The tricky part comes when a client’s star copywriter – who excels in print or web or some other medium other than radio – succeeds in convincing the decision maker to use their commercial over the ones written by a radio agency that produces winning radio spots year-round for dozens of clients.

Sometimes ego trumps sensibility. Often times, the desire to be clever and creative sacrifices results. There’s a fine line an ad agency must walk, especially with new clients, to express when and why a proposed script seems destined to under perform. Yet, we have a duty to speak our minds and share our experience.

That’s why you hired us. As a direct response agency, our goal is the same as yours: to get results that justify sustaining and increasing your investment in radio. If the campaign fails, you’ll go away. The stakes couldn’t be any clearer for everyone.

And while we welcome and encourage our clients to share their input and even scripted commercials if the spirit moves them, we urge them to check their egos at the door and test multiple creative approaches in a sensible, testing matrix to let the public decide.

There are countless ways to create a powerful radio script. But there are rules of thumb, unique to radio, that will increase your odds of success. Keep that in mind the next time an in-house writer claims that only he or she – and his or her script – will get the job done. We all have the same finish line in sight. And in the systematic world of radio direct response, the slow-and-steady turtle beats the frenzied hare nearly every time.

Mark Lipsky, President & CEO

The Future of Advertising Is One That Gets Results

Thursday, October 15th, 2009

I just read an article, Will the Future of Advertising Be a Blend of Old and New Media, published by my alma mater, The Wharton School. It talks about a new research initiative called the “Future of Advertising Project” that aims to scientifically analyze the various old and new advertising techniques through case studies and data. The goal is to create a model to help Marketers craft a unique strategy using a mix of traditional and new media to reach the right customers and to achieve a specific objective.

Sound familiar? Well, at RDR, that future is now! As a “RADIO ONLY” advertising agency focused on delivering results, we take full responsibility and accountability to achieve the specific metrics each of our clients define as successful. Whatever your specific metric is, be it cost per lead, cost per acquisition, cost per web hit, we want you to hold us accountable. It’s our business model. And it’s a way of investing media and marketing dollars to learn and establish a profitable campaign and then sustain that profitable campaign indefinitely.

Social networking sites like Twitter and Facebook are all the rage. Both national and local advertisers alike, desperate to be perceived as relevant, believe they NEED to be present on these sites, lest they risk missing out on the next big thing. I get it. Just show me the metrics that justify the expense!

Much like the research being done at my old B-school, RDR sets up a controlled creative and media testing matrix that provides us with all the data we need to sustain a profitable advertising campaign to meet an advertiser’s specified objectives. It’s a methodology that works. It works today. AND, I believe, it’s the future of advertising.

Lisa Sable, Senior Marketing Strategist

Radio Dayparts - Mornings

Monday, October 12th, 2009

Radio is a lot like New York City…it never sleeps. Nearly every station is on 24 hours a day and seven days a week. Whenever you turn it on…it’s there. Radio delivers a service to people whether they are listening at home (either over the air or via the Internet), in their cars or at the office. However, what comes out of the speakers is often very different depending on the time of day. There are five primary day parts that comprise a daily station’s schedule. The shifts are Morning Drive usually 6-10AM, Middays 10AM-3PM, Afternoon Drive 3PM-7PM, Evenings 7pm - Midnight and Overnights usually Midnight to 6AM. Variations on these shifts exist and often used to separate stations from their competition or to accommodate nationally syndicated programming. This is the first in a series of postings on radio dayparts.

MORNINGS
Morning Drive is the most coveted day part in radio. For many stations, it has the most listeners tuning in at any one time. It often features programming designed to deliver lots of information in a short period of time. Music stations usually combine features like news, traffic and weather with what are called benchmark features, contesting and pop culture oriented content that is well known and very relatable. Some stations often have programs that recycle and repeat information as listeners are coming and going to the program every 15-20 minutes throughout the show. Morning drive is usually the most- sought after and most expensive day part for advertisers. Since their goal is to reach as many listeners as possible, mornings delivers on that promise daily. Morning drive listeners can include a combination of adults and their children as people prepare for their day. Parents are getting their kids ready for school and or preparing to go to work at their job. Listening in the car is the most popular time that people listen to Morning Drive radio during their commutes to work. The average person drives between 20 and 45 minutes every day to and from their morning destination. Since mornings are the most expensive day part the way to reach the most listeners is to air spots in the highest frequency possible. Other day parts can afford to have spots spread out across the shift but do to the turnover in AM drive, the more spots air, the better chance the client’s message will be heard.

Typically, “All News” or “News/Talk” stations perform especially well in Morning Drive, as listeners tap into to their favorite information station to get the news, weather, sports and traffic information they need to prepare for their day.

Danny Ocean, Vice President/Director of Operations

Why are 210 People Working at our Agency?

Thursday, October 8th, 2009

I only count 15 heads. Like most ad agencies, we do have some people on staff with multiple personalities. Still, every scalp only gets counted once. Consider this.

According to national statistics, less than 7% of all advertising dollars are spent on radio. That means at the average full-service advertising agency, 7% of media billings come from radio. So it’s fair to surmise that 7% of their workload is devoted to providing radio-related services. That’s less than 1/14 of their total time and talent pool.

Radio Direct Response places 100% of our media billings on radio, along with 100% of our workload and services. We devote more than 14 times as much of our staff and resources to radio than the typical full-service agency.

So, our 15 “radio-only” people make our relative strength in radio comparable in size to a full-service agency with 210 employees. Wow. Sure glad we don’t have to fund that many health care and retirement packages.

What’s the point?

An agency that might seem “small” at first glance shouldn’t be dismissed based solely on office size. National brands like Cisco Systems, DIRECTV and Dice.com looked long and hard at our “radio-only” approach and have since experienced success on radio they’d been unable to find with full-service, multimedia agencies.

In the end, it all comes down to performance. If we don’t deliver the results our clients need to justify their investment in radio, we’ll be out of business - and probably would have closed our doors 16 years ago, shortly after we opened them.

So forgive us this moment spent tooting our horn, as we’ve just had a major revelation.

It’s always felt like more than 15 people worked here. Now we know, in “radio people,” it’s more like 210.

Mark Lipsky, President & CEO

Two Years in the RDR Blog Zone

Monday, October 5th, 2009

It’s mind-boggling that our nervous, internal debate over “whether or not to blog” finds RDR sailing along, two years and 200+ postings later in the RDR Blog Zone. We’ve covered countless topics, profiling radio formats, market trends and sharing valuable insider tricks and secrets.

Scroll down this beefy list of topics and click on a link or two to glean some perspective on topics of interest to you. And look for the first entry from Year Three, bright and early on Thursday.

60-Second Radio Ads vs. 30-Second Ads
Accountability
Agency Experience
Asking for the Order
Arbitron PPM – Behind the Numbers
Arbitron PPM Basics
Baseball
Branding
Breaking Through the Clutter
Call Centers
Casting the Right Voice
Change
Closing the Deal
Commercial Production Secrets
Committing to Radio
Creating a Strong DR Radio Commercial
Cursing on the Radio
DR Radio Simply Explained
Editing Radio Copy
Emotions & Music
Endorsements
Focus Groups
FTC Guidelines for Weight Loss Products
Getting a Great Phone Number
HD Radio
Hispanic Radio
Is Your Product “Right” for DR Radio?
Managing a DR Radio Campaign
Online Radio
Patience with Your Radio Test
Per Inquiry Radio – To PI or Not to PI
Price Point or No Price Point
PPM Minority Challenge
Radio – The Basics
Radio Compared to Direct Mail
Radio Formats
Radio in a Recession
Radio Production – From Script to Air
Radio Promotions
Radio Promotions + Radio Commercials
Radio Right Now
RDR’s History
Reach
ROI – Getting Specific
Satellite Radio
Sports Talk
Telephone Numbers
Testing Under the Radar
The Grabber
The Offer
Voice Talent
WiFi Radio
Working With Your Agency Account Executive

Radio Promotions For December

Thursday, October 1st, 2009

Giving, giving and more giving. That’s what the month of December is all about and your brand should follow suit.

The perfect formula for a successful radio promotion this and every month is:

Your product and service + a radio station with listeners that are the perfect fit for your product or service = a ton of promotional exposure in the form of live mentions, recorded mentions, website exposure with or without a media buy!

The airwaves are crowded, especially in December, so break through the clutter by localizing the promotion in each market, tying in with a radio station charity or community program and/or using radio promotions to drive listeners to a website in order to register for a national sweepstakes to win something BIG and find out more about your brand.

If those approaches do not fall in line with your marketing plans for December, yet you miraculously find yourself with a little leftover budget you need to spend, call us to find out how we can triple or quadruple the media impact of that budget using radio promotions.

Happy Giving!

Barbra Tabnick, Senior Account Manager