top of page
Search

Digital Sales Needs: Training, Advisors, And A Gameplan.

Digital revenue continues to be a growth area for radio groups and accounts for a large portion of a company’s overall revenue. A standing-room-only crowd gathered for a NAB Show session to see results from Borrell Associates and the RAB’s annual benchmarking report on radio digital sales.


CEO Gordon Borrell shared the results of the report released earlier this year, which shows that digital revenue has grown 10.2%, surpassed $2 billion, and accounts for 23.7% of total ad revenue. Additionally, 28% of radio advertisers are buying digital, “which means 72% are not,” Borrell notes, which presents an opportunity. “This is what advertisers are buying, so it’s a great upside potential there,” he continued. The study also found that managers require more digital training, digital-only sales reps, and an updated strategic plan.


A high source of revenue for stations is streaming video advertising, according to the report. Borrell says this is an “important key to the transition of radio stations as they now are able to compete with their broadcast TV, rather becoming more video-centric and selling digital advertising around it.”


The report found that 58% of radio advertisers are buying something new this year. “These are people who buy video advertising,’ he said. “They're twice as likely to be increasing social media.


“Radio has a very large stock of advertisers, the vast majority of whom, let’s say 78%, are not buying video from the station, but want to buy video,” Borrell said. “They’re much more inclined, six times more inclined, to buy digital video and can buy from a radio station.”


The survey also found that radio salespeople possess the second-best digital savvy when compared to direct mail, cable, newspapers, and TV stations, which ranked first. “Radio stations have significant digital expertise,” Borrell noted.


A visual presentation of how digital has helped radio revenue grow. “Since the pandemic, has grown in the 4.1%,” Borrell explained, while noting that 2024 and 2025 are flat. “Advertisers are not buying radio at the clip that they did just five years ago, or certainly 10 years ago,” he continued, urging attendees to continue to push for gaining digital revenue. “All of the growth, the vast majority of it is in digital,” he added.


Following the presentation moderator Mike Hulvey, RAB President/CEO turned to the panel, which included Greg Davis Jr., Vice President/Market Manager at Davis Broadcasting, who admitted that his company is still a novice in digital sales. He acknowledged the importance of dedicated digital sellers, who “provide knowledge and expertise,” that radio sellers lack so the staff feels “comfortable taking them out to close the deal,” Davis said.


Training is key to moving from a novice digital seller to an expert. “We’re constantly trying to do more training, constantly trying to figure out new ways to get our account executives to understand that digital is here to stay, but also as an independent company, try to find ways to remain profitable at the same time,” he explained.


Linnae Young, EVP of Operations and Revenue Development at Salem Media Group also touted the importance of digital sellers and how that has helped arm the company’s staff. “What’s changed is the tools in our toolbox,” Young said. “So initially, we started with radio sellers, and we brought in digital sellers. Today, our most successful reps think in terms of multimedia.”


The toolbox could include 25 items, five radio stations for traditional advertising, and 20 digital tactics. “That takes time, and it is a mud run,” she explained. “It’s messy, but that's what we have to evolve to.”

 
 
 

Comentários


bottom of page