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Spanish Broadcast System (SBS) Acquires Headquarters, Launches Marketing Plan

Aggressive move to add efficiency to company’s 11 radio stations and five radio networks efficiency with state-of-the-art equipment


September 7, 2000
Copyright © 2000 CARIBBEAN BUSINESS. All Rights Reserved.

U.S.-based Spanish Broadcast System (SBS), owner of five radio networks and 11 radio stations on the island, has invested more than $9 million in new headquarters.

The company is also launching an aggressive marketing strategy based on the findings of a marketing research study.

The 26,000-square-foot SBS building, located in Guaynabo’s Amelia Industrial Park, will be equipped with state-of-the-art technology, including T1 connections. "By November, the administrative team will move into the new building, and the technical team will be moving in by February," said Raymond Totti, general manager.

SBS currently has three offices in Guaynabo and two in Santurce, but when ready, all radio networks owned by SBS will be located in the new building. Locally, SBS owns La Mega, Cosmos, La Z, Cima, and Estereotempo networks.

SBS will be able to help advertisers target diverse demographic groups more effectively because each of its networks caters to a different group. This comes as result of a three-month study conducted by stateside Coleman Research in which the likes and dislikes of different demographic groups were researched.

Based on the results of this study, SBS created a marketing platform in which each of its networks’ formats are designed according to the preferences of a specific demographic group. According to Totti, this will help reinforce each network’s brand recognition. "For example, when someone mentions salsa, the first thing to come to mind is Z-93," he said.

La Mega will target 12-24 year olds. "This demographic group is just starting out in college and loves to party," explained Totti.

"Cosmos is targeted to 18-34 year olds," he continued. "The group that Cosmos targets likes different kinds of music, from classic salsa to ballads and merengue."

Z-93 is preferred by men between the ages of 25-49, according to the study. "They come from the middle and working class and like classic salsa, a genre whose acceptance has experienced an aggressive growth in the 18-24 year old group."

Cima is targeted to 25-49 year olds and will play music from the 1980s.

Estereotempo, with a 72% female audience according to the study, will target the professional woman who prefers to listen to ballads in Spanish. "This is the station women listen while at work," said Totti.

Totti emphasized that the whole format of each network, including morning shows, will be designed according to the studies results.

SBS is also preparing to launch its own advertising campaign, which will focus on the new formats each network will have. According to Totti, this advertising campaign will include

islandwide and regional newspapers, billboards, television spots, bus shelters, and radio, among other media. "For example, we will have Estereotempo commenting about Cosmos," he added.

Another project SBS is working on is the installation of a 300-foot tall tower that will function as a back-up system.

SBS has two stations in New York, three in California, three in Texas, one in Chicago, and 11 in Puerto Rico.

This Caribbean Business article appears courtesy of Casiano Communications.
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