As an industry we don't think global as much as we should here in the US. We say we do, but we don't. We know that Toyota is global and that Nike finds trends in Tokyo and brings them back to Portland... but we don't really think of things being "global" at the one-on-one purchase level. But we need to start because global is coming to the most unexpected place: AM/FM radio. I think that's worth repeating: global is coming to AM/FM Radio.
Recently I attended a convention for state radio and TV broadcasters. One of the speakers who happened to be there was from Google. For 60 minutes this gentleman explained how they're getting into the radio business in a way that's very similar to AdSense.
It basically works like this: At the end of every day radio stations close their next day's logs. Many times there are ad timeslots left to be purchased. Google technology (acquired through the January DMarc deal) checks these logs every night and fills the holes with their advertisers at a reduced rate, in which they share 50/50 revenues with the stations. The next day, station managers come into their office, see the updated inventory and, so long as nothing is loaded that they have previously said they won't air (like alcohol or something) the spots run and the station gets a check by month's end. It's pretty cool. And really easy. Perfect for marketers who want a scatter shot at a great price: Tide laundry detergent, Ford brand ads, maybe even Las Vegas Tourism. And naturally, because it's Google, everything is done online. So far, nothing too Earth-shattering.
But here is where it gets really cool in my mind... Now imagine that a sweater maker in New Zealand logs onto Google's radio product and buys some tbd inventory across the US. Wherever that inventory was available, people would hear her spots: Denver, Boise, St. Louis, perhaps somewhere in Virginia. The spots talk about "authentic New Zealand sweaters" and tells people to go to cozysweaters.co.nz to order. Now we have a company halfway around the world buying American airtime, for a very good price, right from the home office, generating sales for a family business. Awesome.
In this example, how much longer will people be loyal to LL Bean, Eddie Bauer and those damn roll neck J. Crew sweaters that the company refuses to retire from some odd reason?? You have to go online for these products anyway...
All too often, we don't look far enough away. Google Radio is amazing because it's taking a medium that was publicly cast for dead and whose revenues are down 5% (vs. YAG per the RAB), and is giving it new, global, consumer life. Imagine hearing a radio ad from an artist in Mexico City or a watch maker in Switzerland. I for one think this in an excellent way for the consumer landscape to evolve.
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