As we come to the end of another interesting, yet challenging year for broadcasters, we are constantly asked to try to put things in perspective. Unlike many years, 2023 had two main themes. One was like a rocket ship, potentially rapidly upending a lot of the ways we do business. The other was like a tortoise – slowly and steadily marching along, with progress barely noticeable.
At the beginning of 2023, AI, or artificial intelligence, was noise in the background. When we attended the Consumer Electronics Show in January, people were talking about it, but it was more in theory than actual practice.
By February, ChatGPT hit the market and we were off to the races. All of a sudden, there was technology that was going to make our lives easier, escalate the quality of our work, take over jobs normal humans do, and – shades of “The Terminator” – end life as we know it.
By March, Futuri announced the release of Radio GPT (now AudioAI) – AI that can replace live DJ’s. And the media world exploded. At a time when many are looking to cut costs, here was technology that could make that move easy. Our phones blew up – some people were intrigued and energized; others were repelled. Some broadcasters experimented with the technology, and the trades were full of stories about the promise, the ethics, and the efficacy of using this technology to replace humans.
Not surprisingly, there was an uproar, and while that was happening, others began to take a more serious look at AI and how it can actually help and uplift broadcasters. Once the smoke cleared, it was apparent AI could actually help on the sales side – writing copy, creating audio spec spots, creating lead generation models, managing email databases, and more. As an AI expert said at a conference I attended in May (yes, within months there were “AI Experts”), AI will replace the 30 percent of people’s jobs they don’t like, freeing them up to be more creative and interactive. That resonated with me.
We don’t know where AI is going, and we are heading to CES in a week to check in on its progress, but the lesson learned is grabbing onto a rocket ship too quickly isn’t always a smart practice. Or as legendary UCLA basketball coach John Wooden famously said, “Be quick, but don’t hurry.”
Which brings us to the other side of the media world – the tortoise. Or, the slow, inexorable shift away from consuming broadcast media terrestrially to digital platforms, and the dollars that have followed.
This shift is like climate change – if it’s happening, you can’t actually tell because the change is so slow and incremental.
In our annual Techsurveys, we’ve been tracking this change in radio listening for a decade, and the pattern is clear:
While digital consumption isn’t going to overtake terrestrial any time soon, you don’t have to live in the north to see where the puck is going. Consumer behavior is changing whether we like it or not.
And the dollars have followed. In markets large and small, advertising agencies and small business owners are asking about digital solutions, even if they aren’t particularly well-versed in how to buy it.
The good news is that many broadcasters have begun to pivot, streaming their content online, in mobile apps, smart speakers, and even on smart TV’s (another trend to look for in 2024). Even better, they are creating content for people outside of their listening or viewing audience, not only expanding their reach and relevance, but creating new revenue streams at the same time.
In Wisconsin, a shout-out is due to Mid-West Family’s station in Eau Claire with their “Around The 715” events guide and directory (full disclosure: our mobile app company, jacapps, developed this with them). It’s a great example of how a local broadcaster can serve their community in unique ways while growing their business.
Like green shoots, we are seeing efforts like this across the country in cities large and small. Broadcasters are studying their markets, identifying holes they can fill, and then slowly building these new initiatives. This is the future for broadcasters.
So, as we enter 2024, my advice is don’t get all tied up with jumping into the next big thing – the rocket ship. But don’t ignore the important shifts taking place. We believe broadcasters are poised to grow their businesses by investing smartly in steadily in products and services that are focused on what we do best – serving our communities with quality content, information, and entertainment.
And I don’t think a robot will ever be able to do that.
Have a wonderful holiday season and a happy new year.
Paul Jacobs
Jacobs Media
