No More Radio Gigs?

[KaLaNi J.]

Aloha All,

I have been hearing so much about all the stations being bought up and that PD's and DJ's are haveing to do double the work for same pay.

I know the Fred Rico at KIKI is now PD at KDNN too, as is Kamu doing Promotions for both. In the new "take over" with Mr. Detz (sp) that radio stations are changeing formats and laying off radio personel and DJ's. Now that Salem guys bought a few more station, the word is abandon ship?

What's going on with the business of radio? What's cutting into profits that causes layoffs? Is it XM stuff? Internet radio stuff? Or no faith in the value of radio as an advertising outlet?

L8r,

KaLaNi J.

[mel]

Re: No More Radio Gigs?

I don't think its XM or any of the satellite radio services. None are available in Hawaii. I don't know what the impact of internet radio is in Hawaii, but usually it is kind of hard to listen to having to be chained to a computer and high speed connection in most cases... its not like you can listen to internet radio in your car... as far as I know.

I think what people have to realize is that radio like all media businesses rely on the health of all other businesses in their communities because this is where most of the advertising revenues come from. If the business climate is weak, socked in by government over regulation and high taxation, the first budget most businesses begin to cut is advertising.

Hawaii has not totally recovered from years of economic turmoil due to our business hostile political climate of the past 40+ years, downturn in the worldwide economy and worldwide anxiety triggered by wars and terrorism. In recent months the local economy has shown signs of rebound with tourism picking up quite well in the past few months that can have a trickle down effect to other industries.

[Ty Lee]

Re: No More Radio Gigs?

Perhaps it is also the typical radio wars that have been driving down the unti costs (spots) in order to get back a client and so on.

Because of the destabilization of the radio industry in Hawaii and stations know their getting sold, I have heard of insane deals like 3-1 buys during political season. Plus many advertisers are pulling buys for fear that tomorrow the format might change.

In my opinion all the above and the fact that advertisers are getting more savvy at placing buys with better knowledge, there's a bit of a shock hitting station GSM's. Which reflect in the $ that trickles down to cost cutting and losing jobs and selling stations.

On top of that, it's typical that when radio stations are sold, the new owners drive down the unit price for competition. All is effected.

Ty Lee

['79 KUAI Jock]

Re: No More Radio Gigs?

From my perspective, it's corporate greed. More money can be made (for the stockholders) if expense is shed. Having more stations, means the ownership can throw their net wider... haul in more dough... but buying the additional stations to create a "group" means a tougher nut to crack with the financial backers- bank... the easiest thing to cut? people.

But I for one hope that these types will find that their human resources do have limitations- and when pressed beyond them- the house of cards will fall!

Not only that, but since the "ones left standing" are doing all the work... there's precious little being done to bring new blood into the system. I personally know PD's that are doing multiple shifts as PDs, MDs, OMs while doing airshifts on different stations and on different islands all at the same time for about the same pay they used to get for PD duties only... There's little a greenhorn can do to get into the mix... and get paid for it.

Lucky for ownership- they (the production/airstaff) love radio! 'cause in this time of tracking- it's hard to actually make a living on air.

I weep for the good old days. Real jocks doing fun shifts getting paid a living wage. Want to hear some scary stories? just ask anyone who's been bought by John Detz... If, and that's a really big IF- they still have a job- garruns going be fo less $$$ and benefits? lite bra- lite.

The most profitable station? A satellite fed, local commercials injected by automation, nobody at the board- property... that churns out a national signal voiced by talent in Omaha.

No More Radio Gigs?... that's where we're going by leaps and bounds! Another station bought here... another there... a community voice lost here... a voice lost there.

Nuff

[Ty Lee]

Re: No More Radio Gigs?

Another factor is that AE's at most radio stations have been jumping ship for better opportunities in other sectors of the work field. Private media buyers that are looking out for the best interest of their clients are pulling monies from bad buys which, in most cases, are direct clients obtained by radio AE's who just want the buy.

A bunch of big buys are dangling because of the fear of format changes. And the buys that AE's who have bailed out now fall on the laps of over worked GSM's who can't cruise on their trade anymore.

For the most part, direct clients don't know how to steward their buys and AE's just want to keep their numbers so that the GSM's stay off their backs. Radio is NOT getting the same kind of money flow as years before. Much more competition and a TON more accountability! Less $ = double shifts. The stakes are getting higher.

TY Lee

['79 KUAI Jock]

Re: No More Radio Gigs?

Another factor is that AE's at most radio stations have been jumping ship for better opportunities in other sectors of the work field.

Less $ = double shifts. The stakes are getting higher.

TY Lee

That's an interesting perspective. One I don't really agree with- but interesting. I've always found that a station's AE's, the station's lifeblood are usually out of the "getting dumped" fear factor.

Mid management? run for the door. Air talent? If you can adjust to the new format- maybe get chance- maybe... but sales? Hmmm...

I don't really see sales people (who are producing... generating revenue) being tossed as a cost cutting measure. And leaving for better pastures either... now- maybe they have a problem with the "new" ownership style or new management's expectations... that I can understand...

But radio sales reps leaving because the money stream is depleting? Nah- that's the beauty of sales- there's always something out there- always another project or client that needs help.

Radio sales reps can do magical things that print, TV, and yes the net- can only dream of... from my point of view- small agency or agency wannabe's ruin many a small company's growth potential- by taking them into all sorts of wasted expenditures... wanting probably more so to win awards for cute adverts than actually helping merchants push product.

My earlier piece spoke of the loss of jobs and careers primarily for the on-air personality... I never thought of the sales team... probably because... sales is sales... and sales is always needed.

And a good sales person can go anywhere... but try jumping into the job market after 15, 20 or more years with nothing more than--- well I give the time every quarter hour... I know the artists... the songs... I can read out loud... I'm friendly...

Not a lot of prospects for someone who's spent the better part of his or her life "talking to the walls"...

that should be a new thread- life after radio!

Nuff

[Ty Lee]

Re: No More Radio Gigs?

That's an interesting perspective. One I don't really agree with- but interesting. I've always found that a station's AE's, the station's lifeblood are usually out of the "getting dumped" fear factor.

Yes, I miss spoke a bit. My meaning was more towards the pressures of getting the sales of late due to money shifting in radio. AE's ARE the spinal cord of the cash flow and work very hard.

Perhaps I'm getting tossed in the sea of slight misinformation of AE's who have left radio so that their days are straight 8 hours instead of 15+ because of executing remotes and so on. I stand corrected. I'm still learning.....

TY