Monday, May 13, 2019
Salem Media Group First Quarter Revenue Drops 5.2%. First quarter total net revenue reported by Salem Media Group was $60.5 million, down 5.2% from Q1 of 2018. Breaking it down by segment, Salem’s broadcast revenue was $46.1 million, down 4.1% compared to the same period in 2018. Looking even closer, Salem operates 33 news/talk stations and the revenue from those stations was down 10.8% for the quarter. This quarter they contributed 18% of total broadcast revenue. Salem CEO Ed Atsinger said during Friday’s earnings call that “the biggest decline came from local revenue, which includes local spot, local program. and miscellaneous broadcast revenue. Local revenue is down 8.9%. On a same-station basis, the revenue is down 7.4% or $1.8 million. About 20% of that decline was due to the absence of political revenue.” Atsinger said they face two adversaries in the broadcast revenue sector. “First, we continue to lose local revenue to digital, principally Facebook and Google. Additionally, in several of our markets, where we play for ratings, we we’re seeing competitors pricing per share by packaging in other related stations into a buy for free. And basically, the other competitors have a larger cluster, they’ve got an advantage there.” Atsinger also noted that the company’s focus on digital agency initiative Salem Surround has affected performance. “To a certain extent, this has caused some distraction to sales staff, as we’re seeing some cannibalization of other local revenue streams and also a distraction in terms of time. But the results that we’ve been seeing from Salem Surround have been quite favorable. Our local digital revenue grew by almost $1 million or 53%. And Salem Surround showed a modest profit for the first time.” Revenue for Salem Radio Network was off 6.6% during the quarter and that was attributed primarily to the changeover from the Michael Medved show to the Dr. Sebastian Gorka program. Atsinger said SRN lost some affiliates initially, but the affiliate count is growing and the show is “progressing well ahead of schedule.”
Monday Memo: Twitter Tips. In the social media jungle, Facebook is still T-Rex. But people on Twitter seem to live there, Donald Trump included. With all the new-tech competition AM/FM broadcasters now have – and with so much of it robotic (i.e., Pandora) – social media can help differentiate and personalize us. And listeners are flattered when a celebrity (that’s you) interacts; and, most flattering of all, re-Tweets something they posted. In this week’s column, consultant Holland Cooke outlines tips for exploiting this powerful platform. Read it here.
2020 Presidential Politics, U.S.-China Trade War, U.S.-Iran Tensions, Tlaib Holocaust Commentary Blowback, Mueller Testimony, and NBA/NHL Playoffs Among Top News/Talk Stories Over the Weekend. The Democrats vying to challenge President Trump in 2020; the escalating trade war between the U.S. and China; the U.S. military presence in the Persian Gulf and Iran’s threats; the reaction by Republicans over U.S. Rep. Rashida Tlaib’s comments about the Holocaust; House Intelligence Committee Chairman Rep. Adam Schiff’s assurance Robert Mueller will testify before congress; and NBA and NHL playoff action were some of the most-talked-about stories on news/talk radio over the weekend, according to ongoing research from TALKERS magazine.
Tags: Dr. Sebastian Gorka, Edward Atsinger, Holland Cooke, Michael Medved, Monday Memo, net revenue, news/talk radio, Salem Media Group, Salem Radio Network, social media, Talkers Magazine, Twitter
Category: Front Page News, Industry News