Radio Industry Acceptance Practices On Hard Liquor Advertising.

The Radio Advertising Bureau (RAB) has recently completed a two-week survey of its members to determine Radio station practices regarding the acceptance of hard liquor advertising. The survey dissipates any misinformation, reveals what the Radio industry thinks about this topic and indicates what stations are actually doing. The RAB does not support any specific position on the issue.

In the final analysis of the survey, there were some very interesting facts. Sixty-two percent of respondents are accepting hard liquor advertising, but of those that are accepting, only half are actively pursuing the category. Eight-one percent want to increase their revenue from the category, yet a small percentage (14%) currently have more than four hard liquor bands on the air.

Of those respondents who plan to boost their efforts in this area, 93% stated that they would increase their on-air advertising; 90% selected event sponsorship; Internet sponsorships gathered 47%; and 17% would offer other marketing opportunities.

What’s more, 60% of the respondents have been accepting revenue from this category for over a year. The survey also shows a recent rise in the percentage of stations accepting these ads. 26% stated that they have been exploring this category for 1 to 6 months while 14% indicated that they have been working this area for 7 to 12 months.

Finally, the survey turned back to those stations that do not accept hard liquor advertising to find out why. The number one answer, at 51%, was that the ban was due to a company policy. In a far second place at 26%, was that these types of ads would upset their loyal listeners. The tie for third place, at 24% each, was that the station did know how to get started in this category, or, surprisingly, that they thought that advertising of hard alcohol was illegal. The lowest response at 23% was that this was not a good match for their format.

Furthermore, 80% of stations that do not accept hard liquor advertising indicated that they would offer hard liquor manufacturers event sponsorships, followed by Internet sponsorships at 53%, other marketing opportunities at 45%, and then 26% for direct mail campaigns.

“Liquor advertising is a growing potential category for the Radio industry, possibly representing as much as $100 million a year,” according to Gary Fries, President and Chief Executive Officer of RAB. “While it is not RAB’s intent to officially endorse or condemn the practice of airing commercials for distilled spirits on Radio, we believe that the information from this survey will help managers reach a practical, conscientious, community-minded decision.”

Is hard alcohol advertising right for every Radio station? Bill Barr, Vice President, Co-op/NTR Services for RAB explains. “For some RAB members the answer is very clear; for others, it might not be as simple. Any decision on hard alcohol advertising should not be a quick judgment. Stations debating on what course of action to follow, will find the facts from this survey very insightful and helpful in determining if this is a great opportunity, or one that should be avoided.”

To view the entire results of the survey CLICK below:

http://www.rab.com/liquor_survey.html

The Radio Advertising Bureau (RAB) is the sales and marketing arm of the Radio industry with more than 5000 member stations in the U.S. and over 900 additional members in networks, representative firms, sales and international organizations.