AMS News

Tuesday, February 7, 2006

Survey Says: "Stern Factor" Is Overrated

Radio Ink

Despite Howard Stern's move to satellite radio, a nationwide survey conducted by American Media Services indicates that 86% of Americans are not likely to consider the purchase of satellite radio in the future because Stern has left terrestrial radio.

Sixty-nine percent of those responding said they were "not at all likely" to consider purchasing satellite, and 17% 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% saying they were "not at all likely" and 18% responding "not very likely."

"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 CEO of American Media Services. "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."

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