Channels, Spring 2017

Channels • 2017 • Volume 1 • Number 2 Page 13 Promoting Public Interest: Exploring Why Radio Broadcasters Must Serve the Public Interest When Conducting Contests and Promotions Lynn Long Communication — Cedarville University Introduction adio broadcasting stations seek out advertising as an important and often sole source of revenue. However, advertising through radio has expanded from the traditional selling of commercial time. According to the Radio Advertising Bureau (2016a), “off-air sales grew 11% over last [year]…to exceed the $2 [billion] mark” (para. 2). Off-air advertising includes revenue generated from “gate receipts, signage, concessions, sponsorships, merchandising and print activities” (Radio Advertising Bureau, 2016b, §Radio Revenue Sector Definitions, para. 4). Off-air advertising is commonly practiced through promotions which can involve a contest either broadcasted on-air or held online via a station’s website. These off-air advertising opportunities allow stations to share their brand with their audiences while building diverse sources of revenue. Yet, central to any radio station’s operation is the fiduciary role (trustee of the public) of the station in relating to its listening audience. The Federal Communications Commission (FCC or the Commission) has established that broadcasters serve the “public interest,” defined in this modern age as “universal access, public safety, competition, and consumer protection” (Wheeler, 2014, para. 1). This is applied to every facet of a radio station from programming to promotions. It is applied through 47 C.F.R. 73.1216 which gives the FCC authority to regulate contests and promotions. Within this statute are important aspects to public interest being served through contests and promotions. Compliance is compulsory for radio broadcasters. Stations that have shown negligence in their efforts to attract the largest possible audience to their promotion or contest have faced monetary forfeitures or denial or revocation of license renewal. Contest and promotions are growing as an important source of revenue for radio stations (Radio Advertising Bureau, 2016a, para. 2). History has shown that certain negligent actions by stations have provoked FCC regulation of contests and promotions. Therefore, it R