At Commercial Radio Australia’s recent Executive Development Program, Professor Paul Almeida from Georgetown University, told participants they should stop obsessing about bringing in more ad dollars to radio, because it is unlikely to change. Instead, he urged management to devote their energy to making their businesses profitable within the parameters of the 8%-11% of total ad spend for radio.

That must have come as great news for his CRA hosts whose main reason for existence is to increase radio’s share from its current 8%.

Do you agree with the prof? If radios stop chasing more share, could it lose some of what it already has? And what did he mean by 8% – 11% anyway? That’s a pretty big spread – worth hundreds of millions. Radio would kill for 11%! Or could radio do with a bit more cost cutting. If so in what areas? Or do you have a better way to profit than cost cuts if revenue is static.

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