If Payola’s Been Slain, Why Does Big Radio Still Sound The Same?
Remember a few years back when that big payola scandal on the radio had everybody decrying Clear Channel as the devil? For those of you that don’t recall, payola is an illegal practice where big record labels pay radio stations to play certain songs by their artists, as if it were part of the regular broadcast. In interest of full disclosure, labels ARE allowed to pay radio stations for playing particular songs, as long as they clearly state it as a sponsored slot. So where the labels got in trouble was in that they were paying radio stations to play songs as if they were the only songs on Earth, which is why radio grew to be so devastatingly mundane across all stations.
In case it’s not clear enough, payola is bad news bears because it creates a structure in which only bands with major label backing have a realistic shot at getting radio airtime. Ever wonder why your local college radio station and public radio have such a broader range of content? There you go. Well, we’re running out of graves for the few indie radio stations left, so it seemed about time for a check-in on big radio.
Back in April of 2007, the FCC and New York Attorney General Eliot Spitzer put a beat down on major radio to shut down the practice of payola. They hit the radio stations with about $12.5 million in fines and required that they set aside over 4,000 programming hours for independent artists. Maybe big radio just thought “indie” referred to the genre rather than the label, because they haven’t changed their ways.
The Future of Music Coalition just released a report comprised of four years of research finding virtually no change in radio practices between 2005-2008.
FMC looked at each playlist and calculated the “airplay share” for five different categories of record labels to determine whether the ratio of major label to non-major label airplay has changed over the past four years. The data in the report indicates almost no measurable change in station playlist composition over the past four years.
While that may prompt many a cynic to conclude that payola is alive and well, FMC has another, albeit related, explanation.
The playlist data analysis underscores how radio’s long-standing relationships with major labels, its status quo programming practices and the permissive regulatory structure all work together to create an environment in which songs from major label artists continue to dominate.
So in essence, with their “risk-averse programming practices,” and culture of payola-tainted music selection, big radio simply doesn’t know how or where to fit in new independent artists, try as they might. Think of them as the Detroit Lions. It’s not that they don’t want to win, they just don’t know how not to lose because it’s all they’ve ever done.
So what are some steps to take in order to help reshape terrestrial radio?
I don’t think terrestrial radio will be a major media market for too much longer, as internet radio becomes more readily available on the go. I also think that internet radio is daring, and even forcing, terrestrial radio to become more creative and risky with their content or die. FMC suggests that radio stations expand the “number of voices on the public airwaves.” I think this is the biggest key to whether or not terrestrial radio can be salvaged. By increasing the number of DJs, you’re giving an opportunity for more variety to be heard, assuming you stop making every DJ play the same 20 songs on a loop. Then, think through what terrestrial radio has that internet radio doesn’t. For most music shows, it’s the DJ. The personality and song selection of the DJ will be what wins people over; something they won’t find on last.fm or Pandora. DJs that are hip to local music on the rise, have good energy, and engage their audiences well will connect to a listener base that net radio can’t yet reach. It’s worked with Talk Radio, and it could be the saving grace of our FM friends.
Photo: Mark Sebastian
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