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FROM: DATE: RE: |
Fred Jacobs May 3, 2005 2006 TECHNOLOGY SURVEY: THE POWER OF DATABASES |

Here is the next installment in our series of findings from The Jacobs Media 2006 Technology Poll, which confirms the power and value of radio station databases. These aggregations of mostly core listeners are the "secret sauce," enabling stations to closely communicate with their active audiences. And there are strong indicators that database members are generally open to receiving information, discounts, and offers from advertisers – provided they do not jeopardize the trust that stations already earn from these listeners.
First, email databases engender loyalty, which is especially important given the level of competition from new media and emerging technologies. As was the case in the 2005 Tech Poll, nearly six in ten respondents (56%) indicate that being a member of an email club creates a stronger relationship with the station. This is the case for at least half the fans of the various Rock-based formats, as well as listeners representing each of the age groups, and both genders.
Notably, at least half of satellite radio subscribers concur that membership breeds loyalty to terrestrial stations, clearly an edge in an ever-changing media environment.

Most of these listeners trust stations to send them entertaining and useful information via email. All told, nine in ten (89%) mostly or completely trust stations who have email clubs in which they belong. Women are especially likely to have faith in stations to send them useful emails, while Alternative fans tend to be somewhat more skeptical.

So what do email club members find valuable?
Respondents rated 10 different email club offerings on a 1-5 least-to-most valuable scale. The items perceived to have the very highest value (based on "5" score/"most valuable") ratings are winning free music downloads, and vying for prizes that non-members are not eligible to win (both with 67%). In both cases, women rate them considerably higher; reinforcing the notion they have a greater tendency to participate in radio contesting.

But it’s not just about contests and prizes. Approximately half say that concert-related information and offers are of the highest value. This includes concert pre-sales (54%) and concert/event information (49%). Alternative fans, women, and listeners under the age of thirty place more weight on pre-sales. The latter two groups also concur there’s great value in concert and event information.
While other features do not rate as highly, they still have solid value among these respondents. Reinforcing the notion that "membership has its privileges," one-third (33%) are especially positive about a party for members only with station DJs and a band, followed closely by giving listeners the opportunity to provide feedback about the station (32%). This last element reinforces the notion that these listeners appreciate and welcome the chance to participate in providing their opinions regarding the station.
Approximately one-fourth (24%) give the highest scores to receiving reminders about when station programming and features will be aired, lending credence to the idea they might listen more if they knew when specific programs were scheduled. And one-fourth also say there’s high value in receiving information from advertisers about special sales and offers for members only, as well as receiving discount coupons from local advertisers that are of interest to them (22% and 27%, respectively). Women are especially interested in the client coupons.
Both of these elements underscore the potential that station email databases have for clients and the stations themselves. This process requires vigilance to ensure that client offerings are legit and of value, thus not violating listener trust levels. And it is also important that stations properly segment their email club listeners to ascertain their interests before sending out untargeted coupons en masse.
On that note, there is also considerable potential and openness within the couponing activity. Only one in ten (9%) prefers no advertiser coupons, while over half are ambivalent about whether they are emailed from the station or accessed from the station web site. Again, these findings reinforce the strong potential that sales staffs have in the acquisition of non-spot revenue that can translate to viable in-store traffic and direct sales.

By the way, the least valuable membership feature is receiving information about the station and the jocks (13%). Alternative listeners are even more nonplussed. Yet, many station emails center on this type of station-centric information.
It is also noteworthy to add that only 6% of respondents have attended station events frequently as a result of being informed about them in emails. Approximately four in ten (39%) show up for these events from time to time. On the other side of the coin, another four in ten (43%) have never made it to a station even promoted in an email, including nearly half of Classic Rockers.
This data provides a road map for stations to tailor email club activity to both better serve their loyal listeners, while also giving their advertisers a more direct way to generate business while also giving the audience valuable discounts and deals.
Jacobs Media’s Technology Web Poll II was conducted in late February, 2006, among more than 25,000 respondents across 79 different Rock-formatted stations. Participating stations represent Mainstream Rock, Classic Rock, and Alternative outlets. Of course, this is a web poll, and cannot replicate all radio listeners or even all Rock radio listeners. As with all Internet-based research projects of this kind, the results reflect only those who chose to participate in the survey, and do not necessarily represent the views of all Rock radio listeners in the country. Still, the 79 radio stations that invited their listeners to take the survey are a broad cross-section of Rock stations, from large and small markets, as well as those that play the newest Rock music and those that play only Classic Rock.
If you have any questions or would like to discuss these findings further, please give us a call.
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copyright © 2006 Jacobs Media