Maccini: Why are broadcasters jumping on the iHeartRadio bandwagon?

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Issue Date: 
Jan 26 2012 - 8:00am

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Bob MacciniFormer Ando Media CEO Bob Maccini (now a managing director at Angel Street Capital) asks in a new blog post, "What do broadcasters see in iHeartRadio?"

Clear Channel recently added more than a dozen college radio streams to its online radio platform, iHeartRadio (more here), just days after adding KCRW and KUSC (more here). iHeartRadio -- in addition to featuring Clear Channel stations and customizable web-only streams -- now offers stations from Greater Media, Cumulus, EMF, WNYC and Univision.

"Even though I believe in added distribution channels, there simply is very little benefit for stations to join and distribute their programming via this platform," writes Maccini. He sees the Clear Channel as the only winner. "They get content for free to add to the offerings on their platform to the consumer and take advantage of the effects of 'the long tail.'

"It appears that this is more a feel good strategy that terrestrial radio is doing something in digital." 

You can find Maccini's full analysis at the Angel Street Capital blog here.

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excellent. one of the best

Why are broadcasters jumping on the iHeartRadio bandwagon?

I respectfully disagree with Bob. Me thinks its all about getting in front of as many consumers as possible.

There is no easy "universal tuner" for consumers of internet radio.

Chris Wheatley states it well: "So, if CC makes money thanks to us, that's fine. WICB's potential audience is increased, and that's why we jumped on the bandwagon."

Why are broadcasters jumping on the iHeartRadio bandwagon?

For Ithaca College's WICB, the benefit is iHeartRadio's multi-platform functionality. Although the station has an iPhone app and is on iTunes Radio, listeners with Android, Windows & Blackberry devices had difficulty listening to our station. Nothing in our contract indicates that there will be a pre-roll, Most of the stations I listen to on iHeartRadio do not have pre-rolls.

So, if CC makes money thanks to us, that's fine. WICB's potential audience is increased, and that's why we jumped on the bandwagon.

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