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View Diary: The radio industry is FINALLY talking about the devastating impact of Rush Limbaugh's Fluke attack (115 comments)

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  •  Fallout on all news-talk (16+ / 0-)

    Here's the CEO of Dial Global:

    RI: The one thing in the release was the mention of a talk show host costing you revenue, which I am guessing was Rush Limbaugh. How did that incident impact your revenue?
    Brown: What Dial Global has experienced is that the news-talk sector for us, has materially slowed down in terms of billing, particularly on the news front. As a result, we are proud of our representation, but we represent CBS News and the Wall Street Journal. News is a significant part of our company's inventory. At least this year-to-date, advertisers have kind of shied away from advertising in news-talk. They've bundled them as one in the same. I just want to be specific, I am talking about national non-direct response advertisers.
    RI: You think it had to do with what Rush said?
    Brown: Well, certainly, we started to experience the slow down the day after he made the comments. It has continued. Yes, I believe that a lot more national advertisers have shied away from news/talk impacting both demand and pricing, after this comments.
    (bolding added)

    Once the big national brands have departed (as they pretty much have from Rush), that leaves the station and the syndicator with local ads (car dealers etc.) and direct-response type ads (gold coins etc.). Harder to sell and lower margins.

    Ultimately all this will leave Clear Channel and its primary owner (Bain Capital) on the hook - karma!

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