As a broadcaster who serves Hispanic listeners, our company has experienced first-hand the loss of advertising revenue due to "minority discounts," which are explored in the study submitted today by the Civil Rights Forum on Communications Policy to the Federal Communications Commission. El Dorado Communications suffers from the practices documented in the study "When Being Number One is Not Enough, The Impact of Advertising Practices on Minority-Owned and Minority-Format Broadcasters," despite delivering as much or more value to advertisers than general market stations.
In one case, a well-known beer company - year in and year out - will pay a Rock & Roll or country station in our market $ 2 for every $ 1 they are willing to pay our Hispanic stations. This for delivering the same number of beer drinkers. Yet, this company charges our listeners the same price for a six pack as the rock listener pays, though our station gets paid less for the ad.
Another case involves a disposable diaper company that pays our Hispanic stations less per consumer reached than they pay general market stations. Hispanics are the highest per capita users of this product in the country. Still, this advertiser refuses to pay a fair price for the advertising they purchase from us.
Such practices will end only when corporations take responsibility for the actions of their ad agencies. Hopefully, this study will foster a dialogue that leads to a level playing field for all broadcasters, and respect for all communities.