The state of farm broadcasting.J.L. Farmakis, Inc is a multi-media rep firm specializing in local ag media. We represent state farm newspapers and the State Farm Radio Networks. This group consists of 18 networks in 28 states consisting of 680 radio stations and 29 farm broadcasters (21 members of NAFB). These networks reach all parts of the country from the Northeast, Northwest, Midwest and South. Through J.L. Farmakis, Inc., these networks provide advertisers the opportunity to place their commercials around state based programming with proof at the station level. Our 28 farm broadcasters allow advertisers to place their spots with some of the best known broadcasters in each state. [ILLUSTRATION OMITTED] In many states, we are the only farm broadcaster in the state which has allowed us to put many unique programs together for advertisers. This includes "Crop Watch" "From the Fields" harvest and planting programs in the Midwest to "Ask your PCA" and "Citrus minute"--specialized and targeted sponsored programs in the Florida and California markets. Ag radio's unique relationship with producers and its local programming have provided results to advertisers that has helped increase radio's share of the advertising pie in the last few years. This is more evident in certain markets/states then others. The growth of farm radio can also be attributed to the continued research and marketing of NAFB Editor's note: We invited some of the leading sales representative firms to provide an overview of the current marketplace. STATE FARM RADIO NETWORKS by Bill Farmakis, bill@jlfarmakis.com and the AMR research. These tools have allowed buyers to justify and prove the results of farm radio to their clients. We have also been excited by the NAFB Rural Research and our State Farm Radio Network companion study that shows the strength of radio in rural 3+ acre markets. Our calls on many of these rural advertisers have been very successful and a growing share of our advertising dollars. NORTHERN AG NETWORK by Rick Coyle rcoyle@northernbroadcasting.com For over 32 years the Northern Ag Network has been the primary information source that agriculture trusts for daily ag information and market news, in Montana, Wyoming, and the western Dakotas. We produce and broadcast 22 different radio programs each day to over five dozen radio stations, plus four television programs to nine TV stations. It's been exciting and challenging watching new technologies influence our agricultural industry from electronic technology like GPS guidance systems, combine computer systems, two-way communication to GMO's, herbicide and fertilizer application systems, and animal identification technology. [ILLUSTRATION OMITTED] All of this technology and new product information bombards the more aggressive and innovative producers whom now, due to serious labor shortages, have even less time to spend with conventional media. As I've watched our industry direct more focus on seed traits and varieties verses chemical technology it became obvious our region had a problem with "brown bagging" seed. The Northern Ag Network solicited some of it's dedicated partners like Bayer CropScience, BASF, Montana Seed Growers Association, Wyoming Crop Improvement Association, and South Dakota Crop Improvement Association to develop a targeted awareness campaign and have made monumental stride in educating our regions grain producers about using certified seed. Certified seed dealers have increased profits, seed varieties, and customer base. Another example of Northern Ag Network's commitment to informing and educating its audience has been to sponsor the largest Rangeland educational program in the nation through the support of chemical manufacturers like Dow AgroScience, DuPont and BASF along with the Montana GLCI (Grazing Lands Conservation Initiative). With the majority of our region's land being native rangeland, we felt our range resources could be better utilized, managed and even improved. Thru "range motivated" retailers like Wilbur Ellis, products like Grazon, Cimarron and Plateau have helped double native grass production on tens of thousands of acres of private rangelands in Montana, Wyoming and the Dakotas. That means increased stocking rates, healthier and stronger native grass species, and less erosion. Hubbard Feed's biodegradable tubs of mineral supplement, strategically placed in remote range pastures, have forced cattle to better utilize grass and relieve pressure on riparian areas. CLEAR CHANNEL KATZ ADVANTAGE by Vic McGill vic.mcgill@cckatzadvantage.com The Clear Channel KATZ Advantage group are marketing partners with many major farm broadcast facilities including stations and networks. We represent properties from the East Coast to the West Coast that serve the programming needs of the farm producers whether it may be the cotton, wheat, corn, soybean or livestock producer. [ILLUSTRATION OMITTED] We specialize in ag but are only one division of the CC/KATZ Advantage Group. The others are unwired network sales, direct response, and sports. The Agri-Marketing Advantage division is a marketing, sales, research and consulting organization in the agri-broadcast industry. We offer an excellent research and marketing tool we refer to as the KAMP System (Katz Agri Marketing Planner) that is a P.C.-based planning and buying system. Major ag advertisers, agencies and stations/networks involved in the specialty of farm broadcasting have utilized the KAMP System with Agri-Marketing Advantage to plan their campaigns. In the past two years we are seeing more interest in the rural lifestlye category and we foreshadow this being a new revenue stream for our farm properties. Already several new advertisers are developing radio-based campaigns to this important audience, including GM/Silverado, Tractor Supply Company and Dish Network. The major trend I have witnessed over the past five years is how some of the major crop protection chemical companies have become huge seed companies and the shift in the advertising into September through December versus the spring season. Today the fourth quarter represents over 40% of our business. The past few years farm radio has been healthy and has experienced steady revenue growth and 2007 promises to be an outstanding year. We have also seen a big shift in overall revenue in the past couple years with heavier placement of advertising in the upper Midwest which has been driven by the ethanol demand and corn acres planted. We used to only have radio, but our conversations with clients and agencies today really center around what is going to help the client be successful. We then put a plan together based on that. Today, it's really about being a marketing resource. Radio is still key. We employ 11 NAFB broadcasters which is considerably more than other stations. This allows us to have a staff that covers world, national and regional news while having a broadcaster in each state that has time to really focus on local issues because they are not covering the other content. In addition to time avails for advertising campaigns we work with special event sales sponsorship opportunities for our stations and networks. Many of our Farm Broadcasters attend national conventions and turn to us to help them seek national sponsors. The sales package may consist of interviews at the sponsors exhibit, on air promotional mentions prior to the event and a determined number of commercials to air during the week or month of the event. In summary, I feel farm radio is a perfect vehicle to be included in media plans. The farmer spends very little time in his house from 6 a.m.-5 p.m. during the spring, summer and fall. He is in his car, truck, barn, tractor or combine. He trusts his farm broadcaster and considers him a business partner. BROWNFIELD NETWORK by Anita Vanderwert anita@learfield.com I work for Learfield which owns the Brownfield network. We also rep the Kansas Ag Network and American Ag in the Dakotas and multiple single radio stations. We cover the Corn Belt and specialize in putting together complete marketing plans in addition to our traditional radio coverage. In addition to radio, we have a division called Learfield InterAction specializing in new media marketing and a full-service research division. We do everything from client entertainment events to coordination of complicated multimedia sales campaigns. We help our clients build a relationship with their prospects. [ILLUSTRATION OMITTED] The largest trend I have seen in ag radio over the past five years is its focus on accountability. Everything is measurable these days and when one of our clients entrust us with their budget--we must deliver. Advertisers used to just buy spots. Today, they are buying results. We have implemented and spend a lot of money on accountability with our affiliates, research and commercial production. We have the opportunity to review hundreds of marketing plans each year. Of those, we see what works and what doesn't. Special projects work if they are strategic towards a marketing objective. The most effective ones we see are ones that tie sales and customers to marketing. It might be entertainment at a sporting event or it might be delivering niche information to a very select and narrow group of prospects. Hold on to your seats. Marketing in the next few years will be changing drastically. It will be a combination of building and having a strong brand (radio and print) while building a relationship in new and different ways with your core audience. This isn't the CRM programs of today. This will be fun. |
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