Friday, February 11, 2000
Radio advertisers will pay more
Fox Sports Net hasn't decided about TV rates
BY JOHN ECKBERG and JOHN FAY
The Cincinnati Enquirer
The arrival of Ken Griffey Jr. will bring an immediate rate hike for radio advertisers looking to build brand identity with commercials during Reds games.
“Media is a supply-and-demand business,” said Joe Fredrick, sports marketing manager for Clear Channel Cincinnati, owner of WLW radio, which has the contract to broadcast Reds games. “... And when you have an Ohio-born player like Ken Griffey Jr., that means higher rates.”
The television rates may follow.
“It's something we have to look at,” said Steve Liverani, general manager of Fox Sports Net, which airs Reds games. “For us, it means more viewers.”
Games are broadcast over the Reds Radio Network, a web of 60 affiliate stations in Ohio, Indiana, Tennessee, Kentucky and West Virginia. The prospect of higher rates apparently has not dimmed advertiser interest in Reds games.
“Major Tristate companies have always supported the Reds,” Frederick said. “My phone is ringing off the hook. People are buying (air-time).”
The reach of the network and the broad appeal of the Reds means WLW enjoys a tremendous share of listeners when games are broadcast.
“Our listenership is in the top tier — the top three stations by share,” Fredrick said. Listenership is determined by the percentage of radios turned on that are tuned to a Reds broadcast in a region.
Fredrick would not release revenues from Reds broadcasts. He said the return of Ken Griffey Jr. was a watershed moment in modern-day sports and broadcasting. “This will never happen again in sports,” he said.
“The marketing dollars available to Ken Griffey Jr. is right up there with Michael Jordan and Tiger Woods,” Fredrick said. “He is giving up tremendous financial income to be part of the Reds.”
One thing Griffey's presence won't change: The Reds will remain cable-only. Fox Sports Net became their exclusive local carrier last year. FSN's contract guarantees that will be true again this season.
The Reds will re-evaluate that after this year, when there's a window in the contract. Whether there will be any takers isn't a sure thing.
Bill Fee, vice president general manager at WCPO-TV, an ABC affiliate in Greater Cincinnati, said his station was not keen on bidding for any right to broadcast the Reds — if the games become available.
“You never say never, but 70 percent of the Reds games are in prime time,” Fee said. “That would pre-empt ABC programming and when it is pre-empted, we don't receive compensation from ABC.”
While having Griffey on the roster could bring increased ratings, it may not offset the loss in revenues from ABC, he said.
Radio industry observers caution that rate hikes linked to Griffey in a Reds uniform could backfire and drive advertisers to other stations.
“Advertisers are sensitive to rates. Sure, the Super Bowl comes around once a year and some companies pony up $2.2 million for a 30-second spot,” said Mike Maul, president of Wordsworth Communication, “but by and large advertisers on radio are small businesses with a finite advertising budget.
“It's possible to price somebody out.”
Mike Fredrick, director of sales at Infinity Cincinnati, which owns WGRR, WKRQ and WYLX, said sports sponsorships do not reach target audiences and having Griffey on the Reds will not help.
“A heightening demand could make already expensive sports marketing even more inefficient,” he said.
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