The powerful National Assoc. of Broadcasters (NAB) represents the interest of the large corporate radio station owners & lobbies the FCC heavily on their behalf. However, the objectives, issues, needs & wants of independent broadcasters is often quite different or conflicts with the efforts the NAB tries to have the commission implement. So…who represents these independent broadcasters in Wash. DC? The answer may well be found in the formation of a new umbrella association to represent & lobby on behalf of stand-alone & small station group owners. Another 500 interested stations have shown interest in such an organization according to Adams Media Group President/CEO Ron Stone, who has proposed forming the Independent Broadcasters Association (IBA). In a press release, Stone noted: “I am convinced now more than ever that the IBA will become a reality. As of today, we have interest from owners and operators representing 1,850 stations, up from 1,300 last week. We are now 62% of where we need to be to officially form the organization.” He said 3,000 stations are needed for the fledgling organization to become a reality and he estimates 7,000 as the number of independently-owned radio stations in the country. “I believe every independent will ultimately embrace the IBA once they see what it can do for their bottom line. We have the chance to make things better for the independents and it is time we do,” Stone continued. There are a number of independent stand-alone & small group radio station owners here in Wash. who may benefit from an umbrella organization such as the IBA. Owners and operators can express their interest in the proposed organization without any commitment at RadioIBA.org. “Together we can grow new revenues to improve our top lines and we can improve our bottom line with more efficiencies and shared services only achievable by a membership organization like the IBA,” Ron Stone added.
Stone’s timing is good. There are numerous stations that will be shut down if they don’t find better ways to operate. The margins that radio stations were formerly graced with are gone. Too many single station operations (or small clusters) were close to the bone before the pandemic. Squeezed by the decline in local retail, the disappearance of national business and the onslaught of digital media. there is just no profit left at the end of the year. I had a client that did $70,000 per month in national business in the early 80s that today is doing maybe $1,000 per month. This emerging IBA is a way for operators to have some aggregated heft and operational efficiency. What no one can figure out however, is how to streamline the sales process. That is the biggest challenge.