[BC] Is this a Serious Sirius problem?

[WFIFeng@aol.com]

In a message dated 01/27/2006 10:10:28 AM Eastern Standard Time, 
dpuopolo at usa.net writes:

> My friend works for Radio Shack, a major Sirius reseller. He told me that it
>  was running about 40/60, with 60% of the people wanting commercial free 
> music
>  in their car and 40% wanting Stern.

In light of this interesting factoid, I offer the following Press Release, 
which came to our main e-mail address earleir today.

Willie...



FOR IMMEDIATE RELEASE           For additional information, contact 
                            Ed Seeger, (843) 972-2200,
                             eseeger at ams.fm or
                            Tom Poe, (804) 698-8808,
                             tom.poe at slaypr.com


The 'Howard Stern Factor' is overrated:
few Americans expect to purchase satellite radio, 
a survey by American Media Services finds

Nearly two-thirds of those surveyed say radio listening habits are about the 
same or have increased over the past five years

    CHARLESTON, S.C. - Despite recent media attention about shock jock Howard 
Stern's widely publicized transfer to satellite radio, a nationwide survey 
indicates a large majority of Americans (86 percent) are not likely to consider 
the purchase of satellite radio in the future because of his move.  

    Broken down further, 69 percent of those responding said they were "not 
at all likely" to consider purchasing satellite, and 17 percent said they were 
"not very likely" to after Stern's move.  The respondents' negative reaction 
to the Stern question was even stronger than another question that asked their 
likelihood of paying for satellite service. 

    In that question, respondents were first told that satellite radio usage 
requires the purchase of equipment and a monthly fee, then were asked if they 
were likely to purchase satellite radio over the next year.  Eighty-two 
percent said such a purchase was unlikely, with 64 percent saying they were "not at 
all likely," and 18 percent responding "not very likely."  Eighty-eight 
percent of those surveyed responded that they are not subscribers of satellite 
radio.  

    "We have long suspected that all the national media interest in Stern and 
satellite radio did not reflect what was going on with the American 
consumer," said Ed Seeger, President and Chief Executive Officer of American Media 
Services (AMS), which commissioned the survey.  "These are dynamic times for 
conventional broadcast radio; there are lots of new opportunities with the emerging 
technologies, and radio has proven again and again that it is here to stay."

    The survey also revealed that almost two-thirds of those surveyed - 64 
percent - responded that they are listening to radio more, or about the same 
amount of time, as they were five years ago.

AMS Findings Bolstered by Second Survey

Seeger noted that the AMS findings are supported by another survey released 
in January by the Center for Media Research that found conventional radio 
listenership beginning to stabilize.  "This supporting finding is a result of radio 
owners' decisions to lower commercial loads and concentrate on content," he 
added.  "We believe that there are compelling numbers in these results that 
indicate radio will continue to be a strong contender for consumers' attention."  

    The AMS survey was a random digital dial telephone survey of 1,008 
American adults that was conducted by Roper OmniTel, the weekly omnibus survey of 
GfK NOP of Princeton, N.J.  The survey was conducted over the weekends of 
January 13-15, 2006, and January 20-22, 2006.  A random sample of this size reflects 
American opinion within plus or minus three percentage points.

    Additional Stern-related findings indicated that only 12 percent of 
respondents were likely to consider purchasing satellite radio to listen to Stern.  
Of those respondents, most fell into the 18-34 age group, and men outnumbered 
women two to one.  Outside of that age group, the respondents' likelihood of 
purchasing satellite because of Stern fell off sharply.

     "Listening to local radio continues to be a part of the American fabric, 
and this survey supports that," Seeger said.

What the Consumer Likes About Local Radio

    The survey also asked the 1,008 respondents what they liked best in 
conventional radio.  Thirty-three percent of them said "local traffic and weather 
information," while another 25 percent said they liked radio because "it's 
always available when you need it."  Thirteen percent said they liked radio 
because it helped connect them to events taking place in their community, and 10 
percent said they liked radio because they knew they could get vital information 
from radio in case of an emergency.  As to what consumers did not like about 
radio, 57 percent responded that "the amount of time for commercials" is the 
highest on their lists.

    "This survey has reinforced what we have known for several years, that 
local radio has a unique and unmatched place in the American community," AMS's 
Seeger said.  "Other technologies are going to be there to compete, but radio 
has made some fundamental changes over the past couple of years, and I think 
the consumer knows that."

AMS is a full-service radio brokerage, engineering and developmental 
engineering firm, and its developmental division leads the country in successfully 
implementing station upgrades by moving them into larger markets, dramatically 
increasing their value.  Since its founding in 1997, AMS has increased the value 
of 21 stations across the country by
$205.1 million, and more than $200 million in proposed rulemakings are 
currently pending before the FCC.  AMS is headquartered in Charleston, with regional 
offices in Chicago, Denver, Dallas and Austin, TX.  
    




FACT SHEET
American Media Services Radio Index
A National Survey Conducted by Roper OmniTel

* 86 percent of those surveyed not likely to purchase satellite radio because 
of Howard Stern's move to satellite radio
* 82 percent responded they are not likely to purchase equipment and pay a 
monthly fee to listen to satellite radio
* 88 percent of those surveyed do not subscribe to satellite radio
* 64 percent say they are listening to radio more or about the same amount of 
time as five years ago
* Most frequently mentioned reasons for liking conventional broadcast radio 
included:
o Local traffic and weather information (33 percent)
o Radio is available when needed (25 percent)
o Radio connects the listener to local community (13 percent)
o Radio is there to help in an emergency (10 percent)


Facts about the Survey
* Survey was a random digital dial telephone survey of 1,008 Americans
* Survey conducted by Roper OmniTel, the weekly omnibus survey of GfK NOP of 
Princeton, N.J.
* Survey was conducted over the weekends of January 13-15, 2006, and January 
20-22, 2006
* A random survey sample of this size reflects accurate American opinion 
within plus or minus three percentage points