As our work at Jacobs Media takes us closer to connected cars via our app business, our partnership with Ford, and information gathering at conferences and conventions like CES and the Society of Automotive Engineers in Detroit, it is abundantly clear that radio’s relationship with autos is taking on a whole new meaning – and level of importance. If broadcasters don’t make the automotive sector a front-burner issue, it ignores this space at its own peril.
In Inside Radio last week, the numbers were black and white – and very sobering. Auto dealer dollars are gravitating away from traditional media and toward digital. For radio, this is a red alert, worthy of thought and attention that goes far beyond a token “connected car” panel at every radio-centric convention.
Gordon Borrell of Borrell and Associates sees this phenomenon this way: “What we’re seeing is a radical shift in the way dealers, dealer associations, and manufacturers market themselves — the end result of how consumers have altered shopping habits. We believe these changes are notable not only because of the shifting dollars, but more importantly because the print and broadcast industries rely so heavily on the automotive category.”
Next week, Jacobs Media will be in attendance – video cameras rolling – at Telematics Detroit 2013 – the hottest conference in the world devoted to connected cars, the digital dash, the center stack, and all things infotainment in vehicles. As the spokespeople at Telematics Update point out, this event will “define the next generation of telematics industry innovation.” All the big players will be there – from Ford to GM to BMW to Audi to Toyota to Chrysler. We will report back highlights in our blog and to our clients as information warrants.
This is part of our effort to further help the radio industry better understand what’s at stake as consumers are exposed to more options while they drive. But this auto dealer revenue dilemma is the important “other piece” in this equation. There’s a lot at stake, and radio needs to step up and become smarter and more present in this space.
Here are some key action steps to consider:
- Start showing up at automotive and electronics conferences where the digital dash is on display, discussed, and dissected. Learn from the automakers how they view infotainment on four wheels and what they really think of radio and the other media options available.
- Buy, lease, rent, or test drive a vehicle with a digital dash. If you don’t understand and appreciate the consumer’s automotive experience from this new point of view, you cannot be truly competitive in this space. Like social media, iPods, smartphones, and apps, you have to experience the connected car, and then start developing a smart strategy.
- Push your corporate and industry leadership to put the digital dash firmly on their agendas. This initiative requires a stronger effort from radio because it encompasses ratings, sales, smartphones, and streaming – all wrapped into the “center stack.”
- Rethink and reboot your relationship with local auto dealers. Instead of always trying to get the buy, strive to redefine partnerships and how your station(s) can help solve their problems.
- Invite us to speak to and work with your cluster or group. Jacobs Media has partnered with one of the most insightful and articulate leaders in this space, Valerie Shuman of the Connected Vehicle Trade Association. Our mission is to educate the radio industry about what’s going on, what’s at stake, and how to create successful strategies to optimize the opportunity.
This is one of the most important developments for radio in our careers. While the Internet has disrupted so many other aspects of media and infotainment consumption, the connected car puts radio firms at the crossroads and in the crosshairs of change. And this is a situation where we can control our destinies and benefit from the opportunities that are being spawned by connected cars.
This is the moment to get behind the wheel and start driving.
It is time for radio to be proactive – not reactive.
Jacobs Media has consistently walked the walk in the digital space, providing insights and guidance through its well-read national Techsurveys.
In 2008, jacapps was launched - a mobile apps company that has designed and built more than 1,300 apps for both the Apple and Android platforms. In 2013, the DASH Conference was created - a mashup of radio and automotive, designed to foster better understanding of the "connected car" and its impact.
Along with providing the creative and intellectual direction for the company, Fred consults many of Jacobs Media's commercial and public radio clients, in addition to media brands looking to thrive in the rapidly changing tech environment.
Fred was inducted into the Radio Hall of Fame in 2018.
- Radio + Thanksgiving = Gratitude - November 27, 2024
- Is It Quittin’ Time For SiriusXM? - November 26, 2024
- Radio, It Oughta Be A Crime - November 25, 2024
One of the best and most important articles I’ve read all year.
Totally appreciate that, Dave. It’s a major story for radio. Thanks for reading the blog & commenting.