The Wireless Group, the operator of talkSPORT, has resigned its
membership of the Radio Advertising Bureau.
Kelvin MacKenzie, the Wireless Group's chief executive, made the
decision in light of the worsening economic climate and its own debts.
The move will bring the Wireless Group savings of about £150,000.
The move follows a decision by the RAB to increase its marketing budgets
for the 2001/02 financial year. It will invest £1.3 million on
marketing radio as a medium, an increase of 6 per cent on the previous
year.
Despite the withdrawal of the Wireless Group, the RAB's membership
accounts for more than 95 per cent of advertising revenue in radio.
Radio groups represented on the RAB board are Capital Radio, Chrysalis
Radio, GWR Group, Scottish Radio Holdings and Virgin Radio.
The RAB expressed disappointment at the Wireless Group's decision but
John Hooper, its chairman, said: "The RAB has been the envy of other
media and the commercial radio groups that are represented on the RAB
board remain committed to supporting the role played by the RAB."
Tim Bleakley, the managing director of talkSPORT's sales division,
Impact, said: "The Wireless Group has significant financial issues and
has to look at every penny to make it work as hard as it can. It costs
us £150,000 in RAB levies at a time when we are making a number of
people redundant across the group."
