The social relevance of Church-owned radio
Non-commercial enterprise
Catholic radio is not a commercial enterprise. While some radio stations are owned by religious congregations and are registered as religious radio stations, most are owned by the local diocese or Church unit and run by a nonstock, nonprofit organization, which the bishop usually heads. A priest or layperson assigned by the bishop is in charge of the actual day-to-day operations.
Unlike religious radio stations, which may be subsidized by a congregation or order, or by private funding agencies, Church-owned radio stations are expected to raise their own funds by getting national and local ads. But they have to compete with commercial radio for a piece of the advertising pie. For 2002, Philippine adspend for TV, radio, print, and below-the-line advertising such as billboards was estimated at P31.3 billion. Only 16 percent of this, or about P5 billion, went to radio, while television and print received 59 and 19 percent, respectively (Association of Accredited Advertising Agencies of the Philippines, 2004).
JP Varela, CMN network operations manager, estimates that sales from national ads for Catholic radio these days total P20 million annually. This figure was higher — around P30 million — before cable TV and newer media forms came along. But even so, the figure is almost negligible compared to the P5 billion adspend share for radio in 2002.
The reality is that national advertisers are “not exactly crazy about Catholic stations,” says Varela. Ironically enough, location has something to do with it. Being in areas “where angels dare not tread,” as CMN President Fr. Francis Lucas puts it, makes Church-owned radio stations harder to sell. While the Church considers it a plus in its service to the poor, ad agencies zero in on the listeners’ limited purchasing power.
Another reason that Church-owned radio stations don’t get as many national ads is that they are often mistaken for religious radio stations, Varela says. Evangelization is a major function of Church-owned stations, but advertisers “don’t realize that prayers are just part of the programming,” he points out.
For some stations, local ads are a better source of income. Varela estimates that a CMN member station can receive a gross monthly income of P150,000 on the average from both local and national ads. This amount can go as low as P75,000 or as high as P200,000 depending on how saleable the station is and how well it rates. But for DZPA, DXGD and DYVW, income from sales is not always enough to meet their needs. So they have to get the support of the Church.
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