Seeking Alpha
Recommended for you:
Profile| Send Message|
( followers)  

Below are some comments from Entercom Communications (ticker: ETM) from its May 9, 2005 conference call with investors.

There is an old canard in the radio industry that listeners can't tell the difference between 30 second and 60 second commercials, and that's pure unadulterated garbage. There is now a substantial body of research completed in the past few months from highly respected organizations such as Burke, Arbitron, Edison and others, that unequivocally demonstrates that listeners both recognize and appreciate shorter ads. Just go to Europe, Mexico, Canada, Australia, or virtually anywhere else in the world… and you will realize what a difference shorter commercials make in radios' appeal…. It works for the listeners, it works for the customers, and it works for our shareholders.

.. our approach in the beginning has been to be flexible and to look at this from the standpoint of the advertiser. Rather than us drive the advertiser, we want the advertiser to drive us…. as a result, we're seeing more and more advertisers who are opting in to a 30 second model…. by 2007 or 2008, it is not unlikely that we will see FM radio stations in this country programming seven minutes of commercials an hour, consisting principally of 30 second spots, with an improvement in the business model.

(Quotes are from the CCBN StreetEvents transcript.)

Source: Entercom (ETM) envisions a world with fewer, shorter radio commericals (quotes from conf call)