Thursday, March 17, 2016

This man sure asks a lot of questions!


By Don Keith N4KC
Regular readers of this bloviation are aware that I often refer to blog posts by media consultant/researcher Mark Ramsey.  His latest post features a whole bunch of really, really hard questions.  Questions such as:

So what does it mean when the radio industry headlines lead with debt-burdened iHeartMedia and this: iHeartMedia Battles Angry Creditors as Bankruptcy Looms.
What does it mean when the next headline is about Cumulus, and this quotation: “Q4 and 2015 results dismal as radio’s decline shows no signs of stabilization.”
What does it mean when CBS announces their plan to spin all of their radio assets while at the same time vowing to boost revenue $3.75 Billion by 2020 based on everything except radio: Retransmission fees, OTT, international projects, and more?
What does it mean when Pandora, with more than 80 million users, grows revenue by 25% year-over-year but, thanks to onerous royalties, still can’t cover its expenses amid swirling rumors that the company is for sale?
What does it mean when Spotify tops 30 million subscribers, but while revenue grows, so do losses.
Number three above--the one about the announcement yesterday (March 16, 2016)--really has the radio broadcasters ducking for cover.  CBS practically invented over-the-air radio broadcasting.  Theirs has long been the model for how to properly run radio stations, both for maximum public service and for huge audiences and profits.  Now they're dumping them.  Do they see something that others don't?  Or that others refuse to see?

Or is this the best opportunity for some truly far-sighted bunch of folks to get a foot in the door, put into practice some really unique and daring processes--in programming, sales, and multi-media distribution--that can set the path for other like-minded visionaries to save "radio?"

Okay, so I felt like it was my turn to ask a truly difficult question!

Read the full post by Mark Ramsey HERE.  And note that Mark's opinion is that the "radio" business will soon cease to exist.  And even if it ever existed, the "audio" business is just as dead.  Rapid technological change has assured that.

It's all about giving customers what they want when and where they want it.  But isn't that always the answer to a successful business?

And that last one is not a hard question at all.