I've worked in the radio industry for what is going now on my 5th year. Mostly behind the board, rarely behind the mic. I run that big fancy sound board that controls what goes over the air. Not a prestigious PT job but it helps pay some bills (mostly gas to and from the station).
Around when I first started I remember having to sit through a "Payola" online presentation mandated by my then employer Clear Channel Communications. It was an informational piece about "Payola". If I recall correctly, it had to be watched annually.
To give a little background to those unfamiliar with what "Payola" is: Payola is basically an under the table exchange of money to either play certain songs or talk favorably about certain businesses, products, etc . Radio personalities must disclose tot their audiences if they are getting paid by a company they are talking about.
There are certain word or phrases that indicate people are promoting products on the square.
Typically you'll hear commercials saying "This is (radio personality) for (endorsed product)". You'll also hear them disclosing that they're getting paid (one way or another) for something they're doing/promoting. A good example is when Dan Cole on KFAN talks about an upcoming boxing match, and where the fight is being held (a certain casino). He then states "He is getting paid handsomely" to ring announce at the event. Thereby disclosing to the audience that it is a paid endorsement.
The line between payola and a legit endorsement can get tricky, hence the need for radio companies to clarify it with On-Air Staff on an annual basis.
Social Media Muddies the Water
When I first started in radio(way back in 2006), Twitter was in its infancy, blogging was reserved for nerds discussing the finer points of Star Trek, and Facebook wasn't nearly the household name it is today.
Now with over 500 million users on Facebook, businesses cannot ignore this chance to connect with potential consumers. The radio industry has done just that. Today, many radio personalities interact with their fans either through individual personality pages and twitter accounts, or through station pages and twitter accounts. The more followers or fans you have, the better the opportunity to turn listeners, into loyal listeners by giving listeners the sense of being actual friends with those personalities or stations.
This also creates a possible "sayola" issue. (I think I created the term)
While the FCC looks at broadcasts for payola violations, they do not (as far as I can see) cover social media.
A radio personality gains Twitter followers or Facebook fans from their broadcasts. (often by directly or indirectly promoting each on the air). They can then direct these followers/fans away from the non-revenue generating Facebook & Twitter to revenue generating products they offer, like tuning in to the station or logging on to their website.
Of all the benefits those social media entities can bring, it can also bring in problems.
Those personalities could also work under the table with other businesses for exchanges in the way of trading status updates/tweets for $, goods, or services. Going outside the obvious "Man, business X has the lowest prices in town", something as simple as a Connect-4 "Check-in" can possibly be seen as an endorsement of that business.
While I don't see this as currently being a major issue, it is an issue that was not even possible only 5 years ago.
