Disruption is everywhere. Not just with new audio services popping up, but literally all around us. Take for example your local dry cleaners. For those who can no longer be bothered dropping off and picking up, Silicon Valley start-ups like Washio are creating apps so your laundry can be managed with the click of a button.
Likewise, in a NYT article that came out this weekend, a professor at Harvard Business School believes that disruption from online courses could bankrupt half of the universities across America in the next 15 years. After all, in a virtual classroom, how many calculus professors does the world really need?
According to François Ortalo-Magné, dean of the University of Wisconsin’s business school, “Maybe it’s nine. My colleague says it’s four.”
As Harvard professor Michael Porter says, technology itself is not a business strategy and acquiring online customers is not the same as profitability. Just ask Pandora.
In this world of disruptive technology, knowing and communicating your value proposition is critical. What’s the benefit your product provides the audience?
For example, your value proposition isn’t a tagline like “commercial free.” But rather, the benefit of a commercial free hour is an upbeat and fun way to jump start your workday.
Evaluate Your Current Efforts
Marketing executive David Lund, recently posted a series of questions to help brands review and update their value proposition. He starts with knowing your target audience.
Is Your Value Proposition Optimized for Your Target Audience?
Take for example the AC format. Many stations are updating their playlist and relaunching as a Hot AC. Even if you are still targeting at work listening, what’s the distinct benefit your station offers this more dynamic and active working mom?
Does Your Value Proposition Engage Your Customers’ Emotions?
People enjoy listening to the radio. It’s fun and they connect with personalities they can relate to. Informing them that you are “the home for 10 in a row” gives them information, but does not engage them.
Daniel Ek, the founder and CEO of Spotify, recently said during an interview with Charlie Rose, “… we started off being a utility to play music and we’re now becoming an experience for every moment of your life.” In part, the limited success of streaming services has been their focus on the utility aspect of their platform.
As these platforms seek to connect emotionally with the audience, radio’s competition is continuing to ramp up.
Are You Translating Your Value Proposition to Compelling Communication?
Even your best listeners spend 90% of their lives away from the radio. As a result, staying connected with them when they aren’t listening is critical. As Facebook continues to reduce your organic reach, the station email newsletter continues to be the most frequent form of communication. Yet, most stations would be hard pressed to describe their station emails as “compelling.”
Conveying facts, such as “the most traffic and weather, each morning and afternoon” is not effective story telling. How do those traffic updates come to life and help a listener in one of your Hot Zips get to daycare after a meeting at work ran late?
Are You Speaking with One Voice in the Market?
Does your on-air talent have a brand that rivals the station? Are their social media posts consistent with your station’s brand standards? As your station adds new social media channels, does that ambitious board op or member of your street team understand your value proposition and how to relay it in their posts?
What Are Your Internal Roadblocks?
Time and money are likely at the top of your list. However, your list does not end there. Perhaps the station’s digital assets belong to an interactive division with different goals and objectives. Or maybe, your promotions department has been a revolving door.
As you look ahead to the second half of the year, updating and sharing your value proposition will be time well spent.
For more information, please contact Andrew Curran, President and COO at DMR/Interactive.