It was good to hear from cyber friend and blog inspiration Joe Larkins. (You can read his comments on the previous post "Watch Us or Die"). Joe brought up many great points about local TV news. The most important being is what is its future.
Personally, I think it is bright. Not all news producing stations will survive because not all stations get it and not all markets can support more than two newscasts. However the stations that do survive will thrive.
So, what will it take to survive. In no particular order here is my list.
1) Embrace the web -- including social media. Holding a story, updated information or video for the newscasts is a recipe for extinction. We live in an instant information society. If the story is good enough for the newscast, it's good enough to go on the web, now.
2) Serve the community. Not just the newscast but the entire station. The days of withdrawal from supporting community events because of budget concerns or a lack of return on investment have to end. We have an activist FCC. We have to make sure our community knows we are part of the community. This doesn't mean sponsor everything. This means keep your station involved particularly in the things that support your brand.
3) Weather, weather, weather -- people choose their newscast based on whose weather cast they like and trust.
4) Forget about meters and forget about sweeps. Meters are to TV what quarterly earnings are to Wall Street. There is too much focus on doing something to move the overnight number. Produce a good product day in and day out and the viewers will follow. Similarly, stop trying to goose the numbers during sweeps with "naked nun get food poisoning from the mayor's picnic". It really doesn't matter to the average viewer.
5) Embrace the web and social media . . . oh, I already said that. Well, do it. Everyone in the news room must understand the delivery platform is not just the TV set. It is the computer. It is the phone. It is the iPad. It is whatever comes next.
Yes our business has changed. We can gripe about the change or be genuinely excited to be riding the way of Broadcast News 2.0.
The GM
Thursday, March 18, 2010
Wednesday, February 17, 2010
Watch Us or Die!
I was in my hometown of Memphis this past weekend. It good to see family and friends. It is also an opportunity to watch local newscasts. It is even better during sweeps. The differences in the newscasts and how they're promoted in Memphis and how it is done in my current market are great.
First promo I saw, watch our weather and you can win money. Next was watch this sweeps piece or you'll die; followed quickly with do you know who is stalking your children and finally this restaurant got an F on their Health Department score, join me while I eat a pizza from there to see if I live.
Memphis is a metered market and crime dominates the spot news. Obviously bribes and over the top promotion move the meter needle. I'm fortunate to no longer be in a metered market. The advantage is that our news philosphy can take the long view. It's not what we do those four weeks in February, May, July in November; it is what we do each and everyday that attracts and retains viewers.
My bet is if either of the two leading stations in Memphis decided not to participate in the carnival barking of "watch us or die" sweeps, in the long run they'd surpass their competition and become a strong number one. Which one is willing to break out of the pack with a fresh approach?
First promo I saw, watch our weather and you can win money. Next was watch this sweeps piece or you'll die; followed quickly with do you know who is stalking your children and finally this restaurant got an F on their Health Department score, join me while I eat a pizza from there to see if I live.
Memphis is a metered market and crime dominates the spot news. Obviously bribes and over the top promotion move the meter needle. I'm fortunate to no longer be in a metered market. The advantage is that our news philosphy can take the long view. It's not what we do those four weeks in February, May, July in November; it is what we do each and everyday that attracts and retains viewers.
My bet is if either of the two leading stations in Memphis decided not to participate in the carnival barking of "watch us or die" sweeps, in the long run they'd surpass their competition and become a strong number one. Which one is willing to break out of the pack with a fresh approach?
Saturday, January 23, 2010
We Fired the Wrong Guy
I just got around to watching Conan O'Brien's final Tonight Show. He handled it with the expected comedy and unmistakable class. He rose above the wallowing words of the past few weeks.
When the show ended, I was reminded of the 1976 Republican Convention. Gerald Ford was just nominated after a bruising convention that split the party. In his acceptance speech he recognized the man he defeated, Ronald Reagan. Reagan stood-up, waved to an adoring crowd as Ford watched from the podium. Ford then said "Ronnie, why don't you come down and say a few words."
Reagan, a master of timing, accepted the offer that Ford probably didn't think he would. Reagan joined Ford on stage and commenced to eloquently state the case for the conservative movement and then signed-off with class. The delegates were floored. It is said one of the party elders said "oh god, we just nominated the wrong guy."
Watching Conan's final show and knowing Jay Leno begins a reputation rehab tour on Oprah, I cannot help but think some NBC honcho is saying "oh god, we fired the wrong guy."
The GM
When the show ended, I was reminded of the 1976 Republican Convention. Gerald Ford was just nominated after a bruising convention that split the party. In his acceptance speech he recognized the man he defeated, Ronald Reagan. Reagan stood-up, waved to an adoring crowd as Ford watched from the podium. Ford then said "Ronnie, why don't you come down and say a few words."
Reagan, a master of timing, accepted the offer that Ford probably didn't think he would. Reagan joined Ford on stage and commenced to eloquently state the case for the conservative movement and then signed-off with class. The delegates were floored. It is said one of the party elders said "oh god, we just nominated the wrong guy."
Watching Conan's final show and knowing Jay Leno begins a reputation rehab tour on Oprah, I cannot help but think some NBC honcho is saying "oh god, we fired the wrong guy."
The GM
Monday, January 11, 2010
The Worst of all Scenarios
Big news from this weekend and confirmed today is that NBC has conceded that it made a mistake with Leno at 10pm (9pm central). Shocking!
So NBC has decided to move Leno back to his 11:30p slot and give him a half-hour show. To mollify Conan O'Brien he gets a half-hour at midnight but gets the honor of keeping the Tonight Show name. Jimmy Fallon is just happy to be there.
This won't work and here's why. First, you cannot recreate the earlier success just like you cannot go home again. Moving Leno out of the Tonight Show was a move that never should have happened. Moving him back does not automatically mean his viewers will return. More importantly it doesn't mean Conan's viewers will stay. In fact, Conan's viewers are ticked. Shoot, Conan's ticked.
The best move for NBC is to keep Conan and Fallon where they are and let Jay go. Right now they've got at least two, if not three, unhappy talk show hosts. Firing Jay affects Jay but not Conan or Fallon. Plan B would be to allow Conan to search for greener pastures on another network -- like Fox where he used to write for The Simpsons. However, NBC doesn't want to compete with Conan nor have another late night competitor.
Who know how this will work out but one thing is apparent, it has not been handled well from the start. NBC has lost their late night mojo and may never get it back.
So NBC has decided to move Leno back to his 11:30p slot and give him a half-hour show. To mollify Conan O'Brien he gets a half-hour at midnight but gets the honor of keeping the Tonight Show name. Jimmy Fallon is just happy to be there.
This won't work and here's why. First, you cannot recreate the earlier success just like you cannot go home again. Moving Leno out of the Tonight Show was a move that never should have happened. Moving him back does not automatically mean his viewers will return. More importantly it doesn't mean Conan's viewers will stay. In fact, Conan's viewers are ticked. Shoot, Conan's ticked.
The best move for NBC is to keep Conan and Fallon where they are and let Jay go. Right now they've got at least two, if not three, unhappy talk show hosts. Firing Jay affects Jay but not Conan or Fallon. Plan B would be to allow Conan to search for greener pastures on another network -- like Fox where he used to write for The Simpsons. However, NBC doesn't want to compete with Conan nor have another late night competitor.
Who know how this will work out but one thing is apparent, it has not been handled well from the start. NBC has lost their late night mojo and may never get it back.
Sunday, January 10, 2010
Local TV's Demise
. . . is greatly exaggerated.
Recently there has been a number of articles talking about the future of television. Some have even said free, over the air, broadcast TV's days are numbered. I beg to differ.
Just this weekend I watched some great NFL playoff games and a tremendous college basketball game in the comfort of my home, for free in HD clarity. Yes, I paid a cable provider but I could have raised an antennae and received the same games. As long as there is live sporting events and as long as a community requires news and information about their community, in their community; local broadcast television will survive.
Local television will evolve. Viewers will continue to demand news, information and entertainment when they want on the delivery vehicle they want. They also want their trusted brand to bring it to them.
Entertainment programs and non-live content events are ripe for time shifting. News and live sports are less so. This will result in the top local stations being less identified with the network affiliate or their syndicated program and more identified with the programming they produce for their community.
The next decade will be the renaissance of local broadcast television. It won't be the same. It will be better.
Recently there has been a number of articles talking about the future of television. Some have even said free, over the air, broadcast TV's days are numbered. I beg to differ.
Just this weekend I watched some great NFL playoff games and a tremendous college basketball game in the comfort of my home, for free in HD clarity. Yes, I paid a cable provider but I could have raised an antennae and received the same games. As long as there is live sporting events and as long as a community requires news and information about their community, in their community; local broadcast television will survive.
Local television will evolve. Viewers will continue to demand news, information and entertainment when they want on the delivery vehicle they want. They also want their trusted brand to bring it to them.
Entertainment programs and non-live content events are ripe for time shifting. News and live sports are less so. This will result in the top local stations being less identified with the network affiliate or their syndicated program and more identified with the programming they produce for their community.
The next decade will be the renaissance of local broadcast television. It won't be the same. It will be better.
Saturday, January 2, 2010
Lost Sight of the Mission
Just read a great column by Peggy Noonan. http://online.wsj.com/article/declarations.html She nails it. The point, many of the nation's great institutions have lost sight of their core mission over the last decade.
Broadcasting is one of those who lost sight -- not so much the folks working in broadcast but more so those that own broadcast properties. Here's what happened. Investment bankers, private equity brokers and those who "manufacture" money saw large profit margins that exist in the broadcast industry. They said to themselves, "hey, we can buy this station(s), cut some costs and drive the margin higher." In short, stations became investment vehicles.
Once TV stations focused more on profit than on providing for the community they serve, the operating efficiencies came at a cost to the viewer; to the community and to the people who chose broadcasting as a profession. The numerous bankruptcies are a direct result of losing sight of the mission.
I consider myself an optimist. I'm convinced that many of the the financial types have had enough and will look to unload their properties once the economy and multiples improve. It is my contention a wave of owners who are broadcasters first; who are in the community; who will not slash costs to hit a profit number but accept the double digit profit margin that the industry is known for; these new owners will understand the mission.
This will take time. It will happen because I believe the best thing about the Great Recession is the lessons we've learned and we will take them forward for our betterment.
Broadcasting is one of those who lost sight -- not so much the folks working in broadcast but more so those that own broadcast properties. Here's what happened. Investment bankers, private equity brokers and those who "manufacture" money saw large profit margins that exist in the broadcast industry. They said to themselves, "hey, we can buy this station(s), cut some costs and drive the margin higher." In short, stations became investment vehicles.
Once TV stations focused more on profit than on providing for the community they serve, the operating efficiencies came at a cost to the viewer; to the community and to the people who chose broadcasting as a profession. The numerous bankruptcies are a direct result of losing sight of the mission.
I consider myself an optimist. I'm convinced that many of the the financial types have had enough and will look to unload their properties once the economy and multiples improve. It is my contention a wave of owners who are broadcasters first; who are in the community; who will not slash costs to hit a profit number but accept the double digit profit margin that the industry is known for; these new owners will understand the mission.
This will take time. It will happen because I believe the best thing about the Great Recession is the lessons we've learned and we will take them forward for our betterment.
Monday, December 28, 2009
Local TV and 2010
So what can the average broadcast professional expect from local broadcast television in 2010? If I knew, I'd be rich. I can only offer an opinion based on what I do know and what I believe to be likely.
In 2009 automotive advertising plummeted, consumer goods advertising retracted and the overall spending on television advertising fell some 25 to 30%. Media companies have slashed costs (read jobs) and others have filed for bankruptcy protection. While I never say it cannot get any worse, I believe we seen bottom.
Beginning in the 1990s and continuing through 2007, the high profit margins of local television made it an attractive investment for the financial types whose business plan was to cut costs, push revenue, grow the profit higher and then flip the station. The Great Recession changed all of that.
Profit margins for market leading stations are still strong. However station sales are non-existent and multiples are low. Many station groups got into trouble because they could not service the high debt load with falling revenue. Now many are either bankrupt or stuck.
Patience is the key to 2010. Broadcast professionals need to focus on controlling what they can control -- their job responsibilities. The economy is showing signs of bouncing back. Political should be very active in many markets. Stations will make more money. Now, however, is not the time to go in and demand a raise.
Let the process play-out. Stations will be slow to add back positions, restore pay levels and benefits. The cost savings obtained over the past 18 months will be expected to be maintained. Cost constraint, not cost cutting will be the mantra.
As things improve, some of the troubled groups will find the environment favorable to selling stations. They will be sold, not to investment groups but back to broadcasters. I believe over the next few years local broadcast will be reborn. Bankers don't want to own or run stations. They'll cut their losses and leave.
It will take time but for any person, any station that has survived the past year, the future is bright. I am very bullish on local broadcast television.
In 2009 automotive advertising plummeted, consumer goods advertising retracted and the overall spending on television advertising fell some 25 to 30%. Media companies have slashed costs (read jobs) and others have filed for bankruptcy protection. While I never say it cannot get any worse, I believe we seen bottom.
Beginning in the 1990s and continuing through 2007, the high profit margins of local television made it an attractive investment for the financial types whose business plan was to cut costs, push revenue, grow the profit higher and then flip the station. The Great Recession changed all of that.
Profit margins for market leading stations are still strong. However station sales are non-existent and multiples are low. Many station groups got into trouble because they could not service the high debt load with falling revenue. Now many are either bankrupt or stuck.
Patience is the key to 2010. Broadcast professionals need to focus on controlling what they can control -- their job responsibilities. The economy is showing signs of bouncing back. Political should be very active in many markets. Stations will make more money. Now, however, is not the time to go in and demand a raise.
Let the process play-out. Stations will be slow to add back positions, restore pay levels and benefits. The cost savings obtained over the past 18 months will be expected to be maintained. Cost constraint, not cost cutting will be the mantra.
As things improve, some of the troubled groups will find the environment favorable to selling stations. They will be sold, not to investment groups but back to broadcasters. I believe over the next few years local broadcast will be reborn. Bankers don't want to own or run stations. They'll cut their losses and leave.
It will take time but for any person, any station that has survived the past year, the future is bright. I am very bullish on local broadcast television.
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