Public Internet Consumer Insight Study

1. Public InternetConsumer Insight Study WKSU u Market Trends Research Inc u CPB

2. Partner stations WUNCChapel Hill, NC Michigan RadioAnn Arbor, MI KPBSSan Diego, CA WKSUCleveland/Akron, OH Research Partners PRPDPublic Radio Program Directors DEIDevelopment Exchange Inc PRIPublic Radio International NPRNational Public Radio Public InternetConsumer Insight Study CPB Future Fund Grant

3. Public InternetConsumer Insight Study • Research objectives: • What content do listeners use on a public radio Web site? What content do they wish they could use? How does public radio fit into their online universe? • How did listeners learn about the public radio Website? What would influence them or others to return? • Has the Web influenced how much and/or why they listen to public radio? Might it in the future?

4. Public InternetConsumer Insight Study • Research objectives: • What are the acceptable limits and thresholds of e-commerce and advertising on public radio Web sites? • What is the impact of the Web on individual giving, now and in the near future. Can / should the Web site provide value-added to givers?

5. Public InternetConsumer Insight Study • A project in two phases: • Focus groups conducted in Summer 2000 • Survey conducted in Spring 2001

6. PICIS It’s “National Public Radio,”not “National Public Website.” --Michigan Radio survey respondent

7. PICISSurvey Demographics • Must listen to public radio • Must have an e-mail address • Must use the Internet, not just e-mail • WKSU, WUNC, Michigan Radio, & KPBS listeners

8. PICISSurvey Demographics • About half male and half female • 2 in 3 are 25 - 54 • Over 50% have advanced degrees • 3 in 4 consider themselves core listeners

9. PICISInternet usage • 56% Using Internet 5 years or more • 86% Using Internet 3 years or more • 23% spend 11 or more hours online [not including e-mail] per week • 30% spend 3 hours or less online per week

10. PICISInternet usage • 32% have shopped or paid bills online more than ten times in the last six months • 14% have never shopped or paid bills online

11. PICISOnline audio usage • 11% listen to their public station streamed on the Net • 18% listen to any online radio or online audio • 89% listen to public radio exclusively over the radio • 82% do not listen to any online audio

12. PICISE-commerce • The more an e-commerce opportunity is perceived as directly relating to programming, the greater its acceptance by listeners.

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20. PICISE-commerce • “As long as it’s associated with something with a show, as long as they don’t turn into Amazon.com, that’s OK.” • “This is Michigan Radio selling products specifically to support radio; I think it’s a big difference, they’re advertising their own store rather than somebody else’s; they’re not compromising their principles.” • “It doesn’t bother me that they sell things, in this case, they’re selling music, books or items that have been on their program, that doesn’t bother me.” As heard on

21. PICISE-commerce • “They’re not a commercial radio station, now they’re practicing commercial radio practices.” • “What does this have to do with anything????!!!!” • “If they’re making $2 off a garden tool, I’d rather give them $102 instead of $100.” • “After this, they’re going to start selling salmon!”

22. PICISE-commerce v. on-air • 66% feel “it is okay for stations to raise funds by selling items of interest to listeners” • 11% think this is a terrible idea. • 67% feel “selling items on their web sites is a fair trade off”

23. PICISIntegrity issues • Listeners fear that the pursuit of online e-commerce revenue will cause us to violate our core values and principles.

24. PICISIntegrity issues • E-commerce influence on editorial decision-making. • Change in importance of listener dollars. • Squandering of resources. • 44% of listeners feel increased Internet revenue would damage editorial credibility.

25. PICISE-commerce privacy and security • 90% of respondents feel information privacy is an important consideration. • 90% of respondents feel credit card security is equally important.

26. PICISOther good policy choices Clearly display: • Specific information on how much of sale goes to station. • Return policy • Statement on quality of merchandise • Information of the company that will fulfill the order.

27. PICISE-commerce verbatims • “If your web site is an extension of your on-air programming, we would like it to reflect that and not have it turn into an online store.” • “Selling items online is tacit endorsement. WKSU should avoid this. Products related to programming which are things which WKSU and NPR endorse are acceptable for sale.” • “To assume that product hustling is not going to influence programming decisions is disingenuous to say the least.”

28. PICISE-commerce verbatims • “Privacy, privacy, privacy! Please keep my name off mailing or emailing lists, even for other non-profits.” • “I know public radio needs money, but if you go this route please don’t kill us with useless junk and propaganda.” • “Let’s not forget what makes public radio different from other businesses—the “do the right thing integrity”—they don’t sell out, they are not (Thank goodness) homogenized white bread like so many other companies have become because of money. Public radio is the last bastion of true good sophisticated humor and insight.”

29. PICISOnline advertising • “If they’re going to underwrite [online], do it subtly and attractively.” • “I know public radio needs money, but if you go this route please don’t kill us with useless junk and propaganda.” • WKSU and Michigan Radio listener comments

30. PICISOnline advertising • 72% - A bad idea for Website • 7% - A good idea for Website

31. PICISOnline advertising • 65% - A bad idea for Website • 13% - A good idea for Website

32. PICISOnline advertising • 45% - A good idea for Website • 35% - A bad idea for Website • 17% - Neutral or undecided

33. PICISOnline advertising

34. PICISOnline advertising • The more that any ad, credit, or recognition of business support on a station Website matches the characteristics of underwriting, the greater acceptance it will receive from listeners • Online underwriting should parallel on-air underwriting • Maintain the same values online and offline

35. PICISOnline advertising • Type or Category of Underwriter

36. PICISOnline advertising • Type or Category of Underwriter • Visual Content & Size

37. PICISOnline advertising • Type or Category of Underwriter • Visual Content • Use of Language

38. PICISOnline advertising • “I certainly wouldn’t have any problem with it [underwriting] on a website to the degree that it’s on public radio.” • “Most of the time, advertising is trying to push, subliminally or otherwise. Underwriting doesn’t do this, it [just describes] what the company stands for.”

39. PICISOnline advertising

40. PICISOnline ads v. air pledge and underwriting • “I would find it [underwriting] less intrusive on the Website; if it’s on the radio, you have to hear it.”

41. PICISOnline ads v. air pledge and underwriting • On-air membership campaigns: • 68% good idea, 16% bad idea • On-air underwriting : • 63% good idea, 22% bad idea • Online Underwriting : • 55% good idea, 22% bad idea

42. PICISOnline ads v. air pledge and underwriting • On-air membership campaigns: • 84% appropriate, 8% not appropriate • On-air underwriting: • 73% appropriate, 13% not appropriate • Website underwriting: • 73% appropriate, 14% not appropriate

43. PICISIntegrity issues Will Business Support Influence Programming Decisions? • 47% concerned ON AIR underwriting might influence programming • 44% concerned ONLINE underwriting might influence programming

44. PICISIntegrity issues Should the Website Be Used to Help Support Programming & Itself? • 50% agree stations should have online underwriting to pay for programming • 57% agree online underwriting is a fair trade off for keeping the Web site free

45. PICISIntegrity issues I trust that [local station/NPR] will not allow businesses who support with underwriting announcements to influence programming decisions. • 67% agreed that they trust local stations not to be unduly influenced by businesses that underwrite • 64% agreed that they trust NPR not to be unduly influenced by businesses that underwrite

46. PICISIntegrity issues • “Most of the world now is saturated with advertising, I’d like to see some stronghold that isn’t.” • “The commercialization of just about every facet of American life is one reason I listen to public radio.” • “The station’s approach [to fund raising] should be consistent across all media.”

47. PICISExamples

48. PICISExamples • Every order supports WKSU clearly stated • Help button in top of screen • Privacy, credit card, and order fulfillment information on help page. • Information on products not linked to programs.

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50. PICISExamples • Station benefit and credit card not clearly stated. • No privacy policy. • No link between product and programming.