Abacast, a streaming solutions provider, is helping broadcaster partners generate significant ad revenue with the Abacast Digital Ad Sales Program and the Abacast Clarity™ Digital Radio System.
Federated Media is a company that owns 15 radio stations in Indiana and launched their streaming initiative in September. Using the Abacast sales program, which provides training and sales materials to the stations, they were able to quickly sell 50% of their annual digital inventory, achieving annual streaming profitability, and generating an annual gross profit margin of 83%. “The digital revenue was almost entirely incremental,” said James Derby, Chief Strategy Officer at Federated Media. “We signed many new and existing customers that were excited about digital and wanted to jump in with our digital package.”
Neuhoff Media, a privately held company with 12 radio stations in Illinois, sold 40% of the available yearly digital ad packages in their first month using the Abacast sales and ad management systems. Gross profit margins from streaming totaled 50% after the initial month.
“Abacast has built mature systems that enable our customers to build profitable digital businesses that take advantage of this growth trend.” said Rob Green, Abacast CEO. Green attributes the early success of these two partners to successful integration of Abacast’s Clarity™ Digital Radio System which provides a complete solution for online radio streaming. In addition, the Abacast Digital Sales Program offers digital sales training and brandable sales presentations for station sales execs.
It’s a smart move for Abacast to offer both technical and digital sales training solutions, one that shows that they mean to become business partners with their stations, something that should help them build their network..