The managing director of BIA Capital Strategies noted the low levels of radio station transactions and declining commercial revenue but said in a statement that difficult economic times can also be an opportunity for the industry.
Broadcasters can take advantage of other media’s troubles to increase revenues and values, Mike Andres said. His company is an investment banking affiliate of BIA, which said Andres notes vulnerabilities in the newspaper industry as revenue opportunities for radio stations.
“Radio’s upside potential lies in its ability to accelerate the pace they take local advertising dollars away from newspapers, once advertisers that have been dormant begin returning,” stated Andres in the analysys. “Many local newspapers have been ceasing operations, or moving to online versions, creating opportunity for other local media to fill this need.”
The company is promoting an upcoming media strategies conference in Washington in May.