Tag Archives: TV

The Lesson of High School

41Everything you need to know to succeed in life you probably learned by the time you graduated high school. Do you remember your high school days? You probably couldn’t wait to graduate and begin the next chapter of your life. We were all in such a hurry. Many of us were looking forward to going to college. College, we thought, would be what real life was like. It would be a world where real talent is what counts.

Meryl Streep once told an interviewer that she thought life would be like the life she lived in college. Only it wasn’t. “Life,” Streep said, “is like high school.” Life, it turns out, is a popularity contest. The competent and likeable person will soar in life whereas the intelligent but socially inept won’t.

Real Life Doesn’t Give Written Tests

Education revolves around the test. Tests produce grades. Grades are compiled into GPAs. GPAs are part of the process to measure a person’s intelligence quotient or IQ. Not to burst your bubble, but the world’s most successful people are those that often finish in the bottom half of their class but were probably the best known and best loved.

What’s Your EI?

This begs the question, why don’t we measure what’s important? Or better yet, why don’t we teach it? Marc Brackett, a senior research scientist in psychology at Yale says “we know from doing dozens of studies, that emotions can either enhance or hinder a person’s ability to learn.” Emotions impact our memory, our attention and our ability to focus. EI is Emotional Intelligence. EI is something we talk about in my broadcast sales class. Great media sales people score high in emotional intelligence skills.

We Are Controlled By Our Emotions

Whether you are in sales, a television/radio performer or running for political office, just like in high school, you will be judged by if people like you or feel good about you. The world works not by logic and reason, but on emotions and feelings. Radio and television are a people business. It is all based on relationships. Relations are all about feelings.

Academics & Success

Our educational system is built upon the premise that if a student achieves academically they will be employed, healthy and everything else in their lives will be a bowl of cherries. The reality is something quite different. Turns out academic success predicts very little about the future outcome in these metrics.

Talent Assessments

Can emotional intelligence be taught or do we all start out emotionally intelligent and have it beaten out of us by our home life, our friends – or most likely – the educational system? In my broadcast sales class, I have my students take a talent assessment. These tests give insight into how a person is wired. Unlike most tests students take, there is no pass or fail. The results give insight into a person’s emotional intelligence and make-up. These tests were developed from the research of people like Sigmund Freud. They came into widespread use during the Second World War. The goal was to quickly place people into jobs that they would naturally excel at doing. After the war ended, many companies continued to use these tests when hiring. They are another tool in the tool box for evaluating a person.

Can An Old Dog Be Taught New Tricks?

What is not known is at what ages these emotional intelligence skills can be taught and if there comes a point when the cake is baked and can no longer be changed. Few studies in this area have been conducted. Plus the deck is stacked against this area of education by people who take the “that’s not the way we’ve always done it” approach to anything new and different. At this point, it would appear these “emotional habits” get baked into a person’s personality early in life and it is a mixture of home-social-school environments.

Life Is Like High School

So maybe Meryl Streep is right. Success in high school and life is basically a question of one’s personality. Zig Ziglar put it this way, “people don’t care how much you know, until they know how much you care.” In a world that is wired for reciprocity, going first and showing you care is always good when it comes to building relationships.

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History’s Technology Rhyme

Transistor Radio, Car Radio and Rock & Roll

Transistor Radio, Cars & Rock ‘n Roll

I’ve written before how history never repeats itself, but usually rhymes. So when I was reading an article in the NY Times about “Tech’s ‘Frightful 5’ Will Dominate Digital Life for Foreseeable Future” it hit me. Here was how history was rhyming when it came to communications. Fasten your seat-belt, this will get bumpy.

What this article’s author Farhad Manjoo wrote was how Amazon, Apple, Facebook, Google and Microsoft (others include Netflix in this mix) came along at a perfect time to roll up their user base. They were in the right place, at the right time in other words.

Geoffrey G. Parker, a business professor at Tulane University has co-authored a book called “Platform Revolution” where he explains how these tech companies were able to ride the perfect wave of technology change – that being a decrease in the cost of IT, an increase in connectivity and the introduction/fast adoption of mobile phones.

And when it comes to advertising, these companies are in the right place to leverage digital marketing and enjoy most of the benefits of this growth area as well. In fact, since there is a sense that these major digital companies will receive most of the online advertising monies, traditional media – like radio & TV – could see advertising monies return to them.  Let’s hope that happens.

So, where’s the rhyme in this story? Well consider this other time in communications history when television burst onto the scene after the end of World War Two in the 1950s. Radio, a lot of people thought, would cease to exist. Radio’s stars, programs and advertisers, to a large measure, jumped into television. Radio had to find a new act.

Radio was in the right place, at the right time for the birth of three things when TV came along; the transistor radio and the car radio. Both of these technology advancements would be the savior of radio along with one other important development; rock ‘n roll.

Radio was in the perfect place to ride the baby boomer youth wave of rock music, cars and transistor radios. Television grew in large measure by scarcity, only two or three television networks and few TV stations.

When broadband came along, that scarcity factor went poof. Radio now sees its dominance in the car being challenged by a digital dashboard.

The newest radio format to have come into existence – all sports/talk – is now 29 years old. Clearly, innovation in the radio world has stalled.

The good news is radio in America has more reach than any other form of mass media. The bad news is it sees annual erosion of its TSL (time spent listening). This can be fixed. To do this, radio needs to address the very factors that are causing its TSL to erode.

The thing most often heard from consumers about what they dislike about radio are its commercials. Yet, commercials don’t have to be a tune-out factor. No one tunes out the Super Bowl when it’s a blowout because they want to see what other clever commercials might still be coming on their television.

Most radio stations long ago did away with their copywriters. These masters of the spoken word who can craft a story about businesses need to be enticed back into the radio business at every radio station.

The number of commercials in a break needs to be reassessed by the radio industry as well. You can’t kill the goose that lays your gold revenue egg and expect it to continue to lay you golden eggs.

Bring back personalities. They not only sell the music (the record companies need you!); they sell your station and through live reads, your advertisers’ products and services.

Those who remember Paul Harvey News & Commentary will tell you that page two (his first live read commercial) was always something you turned up the radio for. I remember reading Paul Harvey brought in more money for the ABC Radio Network than everything else they did. And everyone loved Paul Harvey’s commercials and bought the products he talked about.

I think retired CBS Radio President Dan Mason said it best when he said this about radio:

“Without community and companionship, we have nothing.”

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Why is so much of television so bad?

That’s the question that Newton Minow asked on May 9, 1961 when he addressed the National Association of Broadcasters in Washington, DC.

In his first public address after he took over as chairman of the Federal Communications Commission (FCC) Mr. Minow didn’t pull any punches. He made it clear that in his role at the FCC he was going to make darn sure that broadcasters operated in “the public interest.”

What is meant by operating in “the public interest?” That’s been open to interpretation since those words were written down. Here’s how Mr. Minow defined them:

“Some say the public interest is merely what interests the public. I disagree. And so does your distinguished (NAB) president, Governor Collins, who said ‘Broadcasting to serve the public interest, must have a soul and a conscience, a burning desire to excel, as well as to sell; the urge to build the character, citizenship, and intellectual stature of people, as well as to expand the gross national product….By no means do I imply that broadcasters disregard the public interest…But a much better job can be done, and should be done.’ I could not agree more with Governor Collins.”

Mr. Minow also told the radio broadcasters in the room that the FCC wasn’t going to go to sleep at the switch on them; they were still listening, but that most of the controversies and cross-currents in broadcast programming were swirling around TV and that’s what he planned to address in this speech.

“When television is good, nothing – not theater, not the magazines or newspapers – nothing is better. But when television is bad, nothing is worse,” said Minow.

He then threw out this challenge to television broadcasters:

“I invite each of you to sit down in front of your television set when your station goes on the air and stay there, for a day, without a book, without a magazine, without a newspaper, without a profit and loss sheet, or a rating book to distract you. Keep your eyes glued to that set until the station signs off. I can assure you that what you will observe is a vast wasteland.”

Mr. Minow is 89 and living in Milwaukee, Wisconsin. On the 50th anniversary of his famous speech, he was interviewed by James Warren of the Chicago Tribune. Minow was 35 years old when he took over as chairman of the FCC under President Kennedy. He told Warren that he couldn’t have anticipated the impact his speech would have. Minow’s severe censure of TV’s “procession of game shows, violence, audience participation shows, formula comedies about totally unbelievable families, blood and thunder, mayhem, violence, sadism, murder, western badmen, western good men, private eyes, gangsters, more violence and cartoons” remains highly “radioactive” to this day.

If you’re a fan of the television show “Gilligan’s Island” you might not have realized that the boat that sank was coyly named after the FCC chairman; however spelling it S. S. Minnow. Does that give you some idea of how distasteful having their medium called “a vast wasteland” was to the TV men of that day?

Mr. Minow’s own daughters joke that their dad’s tombstone might be inscribed with the words “On to a vaster wasteland.”

In 1998, President Clinton appointed a commission to review “the public interest” on the eve of the arrival of Digital Television. That commission issued a 160-age report on December 18, 1998.

In 2015, “the public interest” issue has been addressed with respect to the Internet.  Again, the FCC under its current chairman Thomas Wheeler has come forward with a plan that has been as well received by the “Internet men” of today as Mr. Minow’s assessment of TV back in 1961. Here’s what the FCC decided:

Adopted on February 26, 2015, the FCC’s Open Internet rules are designed to protect free expression and innovation on the Internet and promote investment in the nation’s broadband networks. The Open Internet rules are grounded in the strongest possible legal foundation by relying on multiple sources of authority, including: Title II of the Communications Act and Section 706 of the Telecommunications Act of 1996. As part of this decision, the Commission also refrains (or “forbears”) from enforcing provisions of Title II that are not relevant to modern broadband service. Together Title II and Section 706 support clear rules of the road, providing the certainty needed for innovators and investors, and the competitive choices and freedom demanded by consumers.

The new rules apply to both fixed and mobile broadband service. This approach recognizes advances in technology and the growing significance of mobile broadband Internet access in recent years. These rules will protect consumers no matter how they access the Internet, whether on a desktop computer or a mobile device.

The public interest standard has long provided guidance for promoting greater diversity in content, political debate, access, service to local communities, education, diversity and equal employment. The communications revolution will continue to challenge policymakers to ensure operating in “the public interest” remains.

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What if…

I had the opportunity to sit in on a webinar on “The Creative Economy” that is considered to be the direction the future of business is headed in compared to the traditional business methods of the past. What is meant by the term “The Creative Economy?” It’s one where business revolves around the customer versus the past where the customer revolved around the business.

The Creative Economy also breaks from tradition in the sense that it means the goal of a company is no longer about making money for the stakeholders but about delighting customers. But, you ask, isn’t “maximizing shareholder value” the mantra of Wall Street? Good question. Listen to what these CEOs have to say about that mantra:

            Jack Welch former CEO of GE: “the dumbest idea in the world”

            Vinci Group Chairman/CEO Xavier Hulliard: “totally idiotic”

            Paul Polman, CEO of Unilever: (has denounced) “the cult of shareholder value”

            Marc Benioff, CEO of Salesforce declared this still-pervasive business theory “wrong”

I guess it’s quickly losing favor with those who should know.

The Internet and “The Cloud” are enabling “The Creative Economy.”

Which brings me back to my initial question, “What if…”. What if radio stations were supposed to be small operations? What if the radio industry wasn’t meant to scale?

When I entered the radio business, companies were limited in the total number of radio stations they could own; in the entire USA. It was known as the 7-7-7 rule. A single company could own not more than 7 AM, 7 FM and 7 TV stations in all of America.

What this created was competition between owners of radio stations in a market. Each station was a team of people working as hard as they could to win the audience in that market. The focus was all about the listener or the viewer. Win the most listeners/viewers and advertisers would soon follow to showcase their wares on that radio or TV station’s airwaves.

Hearing “The Creative Economy” described on this webinar was like radio déjà vu.

In 1996, President William Jefferson Clinton signed the Telcom Act of 1996 into law. That was the moment that the “land rush” for broadcast properties began and Wall Street became heavily invested in the radio industry. Wall Street would bring its “maximize shareholder value” mantra to broadcasting.

This point was really brought home to me in 1999 when my stations were sold to a large radio consolidator. The head of this “big box” radio operator told us that we needed to “sell, sell, sell” that it was all about making money for the company and “maximizing shareholder value.”

This “pump up the troops” speech left me cold. I was brought up in a radio world that was about operating “in the public interest, convenience and/or necessity.” I was brought up in a world where if we treated the members of our team well, our team focused on delighting the listener, the advertisers would flock to our station and the owners would be rewarded for doing everything right. That view of life served me well my entire radio career.

Needless to say, I opted not to remain with this new company.

However, I would find myself playing “musical chairs” going forward as it was getting impossible to not be working for a company that hadn’t adopted this modus operandi.

Steve Denning, who writes for Forbes, lead this webinar and pointed out that economics was driving the change for companies worldwide. He told us that no company is doing it all right. Companies like Apple, Amazon, Google and Salesforce are moving in the right direction. In fact, Tim Cook is better at navigating the change to this style of management than Steve Jobs ever was and it no doubt is contributing to Apple being the most valuable company in the world. To give you an example of what it means to focus on the customer first, consider Tim Cook telling an investor in Apple this:

“If you want me to do things only for ROI reasons, you should get out of this stock.”

That was kind of radio world I grew up in. We always tried to do the right thing for our employees, our listeners, our advertisers and the money would follow.

I’m encouraged that radio people who sold out when Wall Street was buying, are now getting back into the radio business with that same ethic, spirit and sense of innovation that seduced me into a four decade long radio career. They understand the concept of “The Creative Economy” because that’s how they built their radio companies the first time around. They also understand that today, radio is more of a concept of operation than a method of delivery.

I’m excited to be working with the next generation of radio broadcasters at my university knowing that radio’s future has never been brighter.

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The Choices We Make

You are what you are; you are who you are, by the choices you have made. You can change what you are, you can change who you are by changing the choices you make going forward.

To make things simple, let’s break down the choices into large choices and small choices. Large choices would be things like changing careers, getting married or divorced, having kids, picking a college/course of study etc. Small choices are exercising or sitting on the couch watching TV, having that extra cookie or not, going to the football game or listening to it on the radio etc.

Both large and small choices impact our lives. The difference is immediate with large choices but the small choices, over time, can be just as impactful. We just don’t see the change all at once, so they give the appearance of not having any impact, but that’s what makes them so deceptive. The reality is both are as important.

So what does this have to do with radio and TV? Listening to the radio or watching a TV show is a choice we make. We do it often to feel good. Feeling good releases endorphins in the brain that stimulate the pleasure center. It can become an addiction.

Today’s entertainment consumer has lots of choices. They also want to feel good. So it’s only natural that they are going to seek out those entertainment choices that stimulate their brain’s pleasure center.

Netflix and YouTube are two video services that are doing a better job of providing this video pleasure than broadcast TV. YouTube and Pandora are two audio services that are doing this better than broadcast radio (in the opinion of their users). YouTube, as you can see is a double threat, as it is strong in two different media areas and is a real force to be reckoned with. New habits are being formed; new entertainment addictions.

Once upon a time, people jumped through lots of hoops to receive a radio or TV broadcast. Today, all of those choices are quickly and easily available on their smartphone or tablet. Mobile is the fastest growing segment of media in the world. Mobile advertising holds unlimited potential for those service providers that get chosen and make themselves a habit.

The consumer is making little choices each and every day. Broadcasters have ignored them because they seem small and insignificant. But I’m here to tell you that those little choices are just as impactful to your future as if they were of the large variety.

Broadcasters too, have a choice. Accept the new reality and embrace change or let the change happen to you.

Remember, death by a thousand cuts is still dead.

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Who’s in Their Ear?

When radio was first introduced, to listen to it, you needed to wear headphones. Radio was one-to-one and very intimate. As the technology evolved the radio speaker would change the medium from one-to-one to group listening. Radios were expensive. If you owned a radio you shared it. A family would gather around the radio and listen together. Families would transfer this together media habit to TV and the transistor radio would become the refuge of teenagers who wanted to go in a different direction.

Zenith Transister Radio

My first radio was a Zenith transistor with a little ear piece for one ear. I would go to bed and turn it on under the covers and listen to “the world.” It was all AM radio and after sunset, the DX’ing of the nighttime skywave would always bring a new radio station into my ear to savor.

In the mid-70s the Boombox would be introduced to America and these radios grew both in size and the amount of bass they 1could produce. By the 80s they could be as big as a suitcase and carrying them around on your shoulder was a status symbol.

Go to a beach resort, and whether you were walking the boardwalk or on the beach, radios were blasting music from every direction.

When Y2K didn’t impact our fully computerized radio stations, we all breathed a short-lived sigh of relief because it was quickly followed by a new threat; the iPod and ear buds. Once again listening to music became a very personal activity.

The ear buds would transfer to the iPhone and iPad. The introduction of the iPhone6 may have killed the iPod, but not the use of headphones or ear buds to listen to your audio.

So what exactly are all those people listening to? lady listening with ear buds

The latest research from Edison Research says American Teens are spending more time with streaming audio services from places like Pandora and Spotify, than they are listening to either streaming AM/FM radio or over-the-air radio. Edison reports this finding in their fall 2014 “Share of Ear” report.

Remember it was my generation that grew up hooked on radio & TV that were credited with eroding newspaper readership. (Full disclosure: I read all my news online using my computer, iPad or iPhone.)

It’s not all bad news for AM/FM radio. It is still popular Edison tells us “by a significant margin among all other age groups.” So where did the teens go? Pureplay Internet streamers. What do they love most? The ability to skip a song they don’t like.

That’s really not hard to understand. I love my DVR for a similar reason. Especially when it comes to award shows. I never watch them live anymore. I record them for later viewing and I can watch a 3+ hour awards show in about 20 minutes time. I skip all the bad parts.

In fact, I rarely watch anything on TV live anymore. Everything is recorded so I can control it. So is it any surprise that teenagers once they are given this kind of control will ever want to give it up. A new habit is being formed.

The other aspect about pureplays that AM/FM radio could be addressing is their complete focus on the quality of their streaming product. What I’m hearing is a clean commercial insertion. Nothing gets cut off in the middle or repeated multiple times in the same long break. Pureplays deliver their commercial messages in a style that compliments the music programming; in a way that actually has you enjoying listening to the commercial message.

The teenagers have moved their listening to streaming and podcasts. The spectrum auction being held by the Federal Communications Commission is all about creating more wireless connections for all kinds of mobile devices.

I live in South Central Kentucky. I can stream my iPhone into my car’s seven speaker sound system through Bluetooth and everywhere I drive it’s clean and clear with no dropout or buffering. It’s scary good. It’s as easy to do as turning on my car’s audio system. Nothing to plug in or connect. It happens automatically.

South Central Kentucky is also blessed with some excellent over-the-air radio stations. So they very effectively compete, in my opinion, with streaming. But I wasn’t raised on streaming. I also like a good air personality.

The next generation is being raised on streaming that they have some power over to skip things they don’t wish to hear. Reminds me of the old saying “How are you going to get the kids back on the farm, after they’ve seen New York?”

baby listening to ear buds

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Entertainment for nothing….

When radio was born, no one had a clue how to make money with it. The early radio station operators made radio sets. They knew if they wanted to sell radio sets, they had to provide something for those radio sets to pickup and for the people who owned those radio sets, something entertaining to listen to.

It was AT&T, that didn’t make radio sets, that was the first radio operator to try selling the first radio commercial over their radio station WEAF. AT&T was in the phone business and the selling of phone lines to carry network radio programming. It put on-the-air a radio station merely to understand the business better. Not wishing for it to be an expense, they went looking for a way to make their radio station pay for itself, if not make a profit.

Many ways of making money with radio stations were tried, but by the late 1920s, the selling of advertising reached the tipping point for this business model going forward. Radio had conditioned people to expect, that if they bought a piece of hardware – a radio set – the content would be provided for free; albeit supported by advertising.

When the Internet came along, people expected to buy the hardware – a computer, modem and connection to the World Wide Web – but they expected that the content would be free, and it was; again supported by advertising.

Newspapers and magazines grew up with no hardware to buy, just the content that was printed on paper. The subscription cost was relatively low and advertising would pick up the rest of the expense along with providing the owners a nice profit.

The problem today is newspapers and magazines have joined radio and television in the new distribution channel of the Net. Two of these mediums should be adept at marketing their content in this manner and the other two, well, are finding it challenging.

Cable TV’s HBOs and SHOs, on the other hand, charged for their content from the get-go. And when Netflix came along, it also created the pay-for-content habit which it easily converted from the mail to the Net. They also provided their content commercial free. This created an expectation that when you pay for content, you don’t have to have your content interrupted by ads.

The pay walls that have been tried by newspapers and magazines include advertising, but that’s only part of the problem. You see the print consumer was never really paying for the entire cost of printing and distribution. They merely made a contribution to that cost. The rest of the cost was picked up by the publisher, who gladly subsidized the whole thing because of the tremendous profits they realized via the sale of advertising. The other is a case of supply vs. demand. The supply of content has never been greater and the demand, so fragmented. This post is just one example of the free content anyone can get off of LinkedIn with a free account or via my blog (DickTaylorBlog.com).

The bucket of cold water reality is that marketers are more willing to pay to reach consumers with their message than consumers are willing to pay for content they want to consume.

So why are radio and television spinning their wheels while others (BuzzFeed, Vice Media, etc.) are walking away with the mother lode? To paraphrase the famous line from the movie “Cool Hand Luke”: What we have here is a failure to innovate.

Radio and TV merely want to put their content on the Net and count the money. To compare it to sports, these two legacy mediums are good at baseball (over-the-air) and now when they move to the Net, where the game is football, they want to continue playing baseball.

In radio, FM finally came into its own when young broadcasters were given the chance to innovate. We are living during a communications revolution. Revolutions are periods of huge disruption to what was, as what will be gets created. The new opportunities are being seized by those not clinging to their old business models. The bad news is the “good old days” aren’t coming back. The good news is, what will replace them will be just as good, if not better.

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