Whats up with WHAM??

[Element9]

"Engineers told you" it's cheaper to leave transmitters on the air than to turn them on and off? Which engineers were those? The ones who told Chernobyl techs that "nuclear reactors really don't need cooling?" That's one of the most asinine posts I've read on this board. Ever. If you leave all the lights and appliances on in your house 24-7, does your electric bill go down???

A? Hello? Still waiting on this.

 

[TheBigA]

And what stations do you refer to?

What station is this thread about?

A? Hello? Still waiting on this.

I agree with the comment by Bill Myers.

 

[TheBigA]

Considering that all of satellite and Internet radio combined equal the listening of a small fraction of terrestrial radio,

Really? Are you sure about that?

OTA radio SHOULD be different from the other devices.

Different isn't better. Different isn't relatable. If the public loves hamburgers, why give them different? We're not in the "different" business.

Radio used to have a special relationship with listeners.

That was before the cell phone replaced the radio as the favorite personal device.

 

[SirRoxalot]

Yes, I'm sure about that.

The public may buy a lot of hamburgers, but they probably buy more chicken at this point. Radio isn't the restaurant business, despite what the beancounters would like to believe. Even in the restaurant business, McDonalds ain't the only restaurant, and they sell more than burgers. Some corporate programmers "put stations on shuffle", trying to compete with MP3 players. That didn't work, and was a stupid idea. Radio does a better job of being radio that it does being an MP3 player. Radio needs to be what MP3 players and satellite can't be - live, local, and relatable, providing programming that other media can't.

The cell phone is the favorite personal device of SOME people, not all. Every study I've seen says that more people listen to music on their radio than they do on their smart phone. Radio's free, a lot more reliable in most places, and has better audio. These are advantages. Smart people use their advantages. And, even if people prefer the smart phone, more of them are listening to local station streams via their smart phone than they are to any other music source. It's about the content, no matter what the delivery system.

 

[TheBigA]

Radio needs to be what MP3 players and satellite can't be - live, local, and relatable, providing programming that other media can't.

There's no programming that is exclusive to radio. Pandora can do weather forcasts if it wants to. Just as Sirius does local traffic. And when it comes to WHAM, they can hire all the sales people or all the news people you want. But it won't change the fact that listenership drops by a huge amount at night. There's no content they can come up with that will change that. It's not a content or sales problem.

 

[heydaybegone]

But it won't change the fact that listenership drops by a huge amount at night. There's no content they can come up with that will change that. It's not a content or sales problem.

So, can we agree, by the Big A's admission here, that radio is toast after 7:00pm??

Content, as much as it has created intriguing posts here, has been dismissed, finally from this posting!

Hamburgers are McD's & Burger K's problem. OTA Radio remains the problem that yet to be resolved. Let's work on beating the alternatives...

 

[SirRoxalot]

There's local programming that's exclusive to radio because Pandora or satellite simply can't create truly different programming for different markets, or even different geographic areas. We won't even mention adding real local flavor. And, if you've heard Pandora Traffic, you certainly understand how unimpressive that is.

WHAM may not have as big an audience at night, but that doesn't mean it can't make more money with local programming sold to local advertisers than it can with syndication or repeating shows from earlier in the day. Not only that, but it might improve their morning numbers as well. And, having a more advertisers is like have stock in more companies - diversifying is a good thing. Some of the little guys might eventually get big. We've sure seen some of the big guys get little.

 

[TheBigA]

There's local programming that's exclusive to radio because Pandora or satellite simply can't create truly different programming for different markets,

Pandora can create unique programming for individuals. That's better than the one-size-fits-all of programming to a market.

WHAM may not have as big an audience at night, but that doesn't mean it can't make more money with local programming sold to local advertisers

I'd defer to the local GM, and say he knows a lot more about this than you. He's obviously decided to focus his staff in dayparts where they can maximize their effect. If you think you can do a better job, go to the GM, buy the 7-12 slot and resell it to local advertisers. I promise you he'll take the offer. If you like, I'll act as your agent and make the deal, but I get a commission off the top.

 

[Element9]

Clear Channel is under severe debt burden, in the realm of $20 billion ($20,000,000,000); in 2014, CC is required to make a $2 billion ($2,000,000,000) payment to service the debt. Despite generating significant cash flow, CC is nonetheless being suffocated by crushing debt service. The long and short of it is, there will be more iHeart (called "I Hurt" by CC insiders) programming on music stations, more voice tracking and more cuts. The GM at WHAM, genius and paragon of leadership that he may be, takes his orders from Clear Channel corporate. When CC home office says "jump," he says "how high?"

It all trickles down to what is heard on the air, whether it's WHAM or any other station in the cluster. The CC cluster in Binghamton recently flipped one of it's FMs from AC to CHR using Elvis Duran in morning drive. An AM in that cluster flipped to iHeart Oldies. Expect more of the same blanket programming to come.

Cumulus, another company shouldering enormous debt, will likely follow suit. And as long as the debt discussion is in play, it's likely only a matter of time before we hear more Ask The Plumber and Colon Blow Deluxe on WECK. Any company or individual that bought into radio at the peak of the bubble is now carrying a heavy sack of stones.

CBS earlier this week sold five Boca Raton (Market 48, PPM) FMs to a local operator for $50 Million. The buyer will have to spin two of the FMs. The Boca price is significant, considering that Regent paid CBS $125 Million for four FMs and a weak AM in Buffalo (Market 56, Diary) at the peak of the bubble. We know how that little escapade worked out. The most secure operators in Buffalo may be Entercom and Ramblin' Lou. It certainly isn't Gamblin' Lew.

 

[heydaybegone]

in 2014, CC is required to make a $2 billion ($2,000,000,000) payment to service the debt.

You don't actually believe this will take place? That will be re-packaged or re-financed, under the assumption CC hasn't already made a move prior to 2014 (seems to be a long time away in today''s radio terms)
These guys playing with these dollars aren't stupid...they just seem to have more fun at the bank than in a broadcasting facility.

 

[SirRoxalot]

Pandora can create unique programming for individuals. That's better than the one-size-fits-all of programming to a market.

Yeah, like they're going to absorb THAT cost. They're simply targeting ads and music to individuals, not value-added programming specific to a location.

I'd defer to the local GM, and say he knows a lot more about this than you. He's obviously decided to focus his staff in dayparts where they can maximize their effect. If you think you can do a better job, go to the GM, buy the 7-12 slot and resell it to local advertisers. I promise you he'll take the offer. If you like, I'll act as your agent and make the deal, but I get a commission off the top.

That might be true in the fantasy land that you live in, but in the real world the GM marches to orders from corporate these days. He's "focusing his staff" because corporate told him that there was no budget line for live talent after 7PM.

 

[TheBigA]

in 2014, CC is required to make a $2 billion ($2,000,000,000) payment to service the debt.

That 2014 date was postponed once already. My expectation is they will postpone it again. So to say it's "required," or that there is no room for negotiation is incorrect. They are not firing employees to meet a $2 billion debt payment. They can fire every employee in the company, and still won't make that figure.

What CC is doing is attempting to grow the value of the company from a traditional towers and transmitters company, to a diversified media company, taking advantage of the iheartradio brand, the hundreds of individual station websites, and the power of OTA to push consumers to other platforms under its control. In order to do this, they need to shift staffing from the traditional part of the company to the growth area of the company. Cumulus is taking a different approach. They seem to be focusing attention and money on the Cumulus Media network (the former ABC network) to build a content creation company that will place advertising on Cumulus-owned stations, but more importantly on stations owned by competitors. That way they're selling a bigger audience number to advertisers, rather than moving money from one pocket to another.

 

[TheBigA]

Yeah, like they're going to absorb THAT cost.

You obviously don't understand how Pandora works. There's no cost in targeting programming to individuals, because the individual does all the work. They don't have PDs or DJs.

He's "focusing his staff" because corporate told him that there was no budget line for live talent after 7PM.

CC doesn't work that way. Many CC stations have live and local talent after 7. This is an option for the GM. If he can find a way to do it that's cost-effective, he can do it.

 

[SirRoxalot]

You obviously don't understand how Pandora works. There's no cost in targeting programming to individuals, because the individual does all the work. They don't have PDs or DJs.

I don't understand how Pandora works? How are you going to send targeted programming to individuals without creating that programming? Pandora's all about delivery of existing content, not about creating it. So, you're going to create a bunch of generic pap, and decide who it gets delivered to. And I'm sure that they're not going to create different content for different markets beyond minor stuff like weather and traffic, which will run on multiple formats in all their generic luster.

CC doesn't work that way. Many CC stations have live and local talent after 7. This is an option for the GM. If he can find a way to do it that's cost-effective, he can do it.

That's the company line from CC management, but many stations that did have cost-effective local talent had those budget lines cut in the multiple CC purges of the past. Some of CC's "cost cutting" has cost them more than they saved. They've cut local talent in favor of "Premium Choice" despite the fact that it didn't deliver as much audience, and actually cost them more revenue than they saved. It's their way of spreading the burden of high-priced talent that they want on the air in order to be competitive in major markets. It's not done because it brings better ratings or more revenue to smaller markets.

 

[TheBigA]

How are you going to send targeted programming to individuals without creating that programming?

As I said, you don't understand how Pandora works.

That's the company line from CC management, but many stations that did have cost-effective local talent had those budget lines cut in the multiple CC purges of the past.

That's your company line. But the fact is that there is live and local talent after 7 PM on numerous CC stations. Just look.

 

[Element9]

in 2014, CC is required to make a $2 billion ($2,000,000,000) payment to service the debt.

That 2014 date was postponed once already. My expectation is they will postpone it again. So to say it's "required," or that there is no room for negotiation is incorrect.

Don't be obtuse. They'll still be in debt. Serious debt. That's the point. Re-structure all they wish, the banks aren't going to let CC skate forever. "My expectation." Feh!

 

[TheBigA]

Don't be obtuse. They'll still be in debt. Serious debt. That's the point. Re-structure all they wish, the banks aren't going to let CC skate forever. "My expectation." Feh!

The alternative is pull a Citadel. But none of this is about that $2 bil. Bain has loads more where that came from.

Just about everyone is in debt, including most of my relatives. The feds are in for trillions, so 2 bil shouldn't worry anyone.

 

[SirRoxalot]

How are you going to send targeted programming to individuals without creating that programming?

As I said, you don't understand how Pandora works.

So, explain to me how they're going to deliver local content that they haven't created, smart guy.

But the fact is that there is live and local talent after 7 PM on numerous CC stations. Just look.

Yeah, and there's live and local talent missing from a lot more CC stations over the last five years. Just look.

 

[TheBigA]

So, explain to me how they're going to deliver local content that they haven't created, smart guy.

I never said they were going to deliver local content. I said they deliver individualized programming. Please read what I wrote before you attack it.

Yeah, and there's live and local talent missing from a lot more CC stations over the last five years. Just look.

You made a generalization that the GMs are being told they can't have live staff after 7, and that's clearly not true.

 

[Bob1370]

"I never said they were going to deliver local content. I said they deliver individualized programming."

How can it be "individualized" when it's all being canned at a central point? In theory, maybe--but in practice it isn't happening now and won't be happening in the future. Notice how the music playlists are all the same, and the talk stations are all running either national satellite stuff or regionally syndicated material?