No va? Free FM is stuck in the repair shop
Labels: CBS Radio, Free FM, Humor, JV and Elvis, No Va, NYC radio, Post-Imus, Radio, Ratings, Revenue, Suspension
Since its launch 16 months ago, Free FM has spent more time in the repair shop than out on the open road.
Firings, content train wrecks, show suspensions, schedule changes, weak ratings, weak revenues...
Is Free FM running out of gas?
In branding, words often contain more than one meaning. Take the word "Nova". Chevy thought it sounded good for a line of small-muscle sport cars back in the 70s. Of course, as the well-worn urban legend goes, the "Nova" became "No Va"...a "Doesn't Go" joke. Soon after, sales dropped and Chevy stopped producing the car.
CBS Radio is facing their own "Nova" problem trying to find life after Howard Stern. 
Or, at least they're getting very familiar with the phrase "Don't Go There".
When Stern left in late-December 2005, CBS (then known as Infinity Broadcasting) installed a new "Hot Talk on FM" format in its major markets across the nation that formerly broadcast Stern's morning show.
In a not-so-subtle move countering satellite radio (Stern's orbital home for the past 16 months), CBS decided to name the new format "Free FM".
Hot talk on satellite radio = you pay.
Hot talk on traditional radio = it's free radio. Or, Free FM.
Get it?
Get the difference? The advantage? The Free-dom?
Nope, me neither. Nor have millions of radio listeners in NYC, Los Angeles, Chicago and other markets.
The problem with naming the new national format "Free FM" in this post-9/11 traumatized society is that America is not feeling quite so free. Rather, among the Homeland Security warning lights, anthrax dustings, relentless White House manipulation scandals, a no-end-in-sight War on Terror, wardrobe malfunctions, celebrity meltdowns (physical, verbal and mental), global warming doom-gloom, likely $4-a-gallon gasoline...all the way to Imus ho's, Virginia Tech slayings and Karl Rove's screams at Sheryl Crow, America's mood feels less than free lately.
America seems more obsessed with Fear (on Fox) than with Free (on FM or elsewhere) right now.
Formerly known as WXRK K-Rock for 30 years, WFNY in New York City became the flagship for Free FM post-Stern.
The ratings? (mired at a 1.2 Arbitron rating 12+ all persons).
The revenue? (from $50.8 million in revenue 2005 down to $18.7 million in 2006).
Imagine the costs to operate, advertise and manage...
One thing Free FM was supposed to represent was "free speech", "free attitude", "free humor". Not just "free" from subscription fees; free for wild, open, surprising, unexpected content. Something capitalizing on the "extreme" culture and attitude trend. And that is how it has been promoted. How Free FM has tried to position itself.
Yes, Free FM has its funny moments of comedy, Idol Watching and train wreck radio as well as serious topics, too. And it does have its fans as Free FM pokes fun at popular culture. I usually listen everyday during the week and I'd call myself a fan, not that Arbitron counts me in the ratings.
What Free FM often seems to be, though, is a "No Go". No Va. Post-Imus, it's an easy target for uncontrollable controversy. Just today, more jock suspensions were handed out for midday show "The Doghouse with JV & Elvis", with the show apparently crossing a racial line over some Asian jokes.
Now, how is that line defined again...?
Although JV apologized for the incident and said at the conclusion of today's show that "if this is my last show, at least I got to say what needed to be said"...their real feelings were posted on their blog, with this "censorship" jpeg:
How do their fans feel about this? Read their comments here and here...or watch this clip of Hannity & Colmes as they discuss the subject.
What exactly does Free Radio mean anyway? Is it Free when the audience knows there are FCC regulations, corporate restrictions and advertiser considerations?
Isn't this why Stern left for Sirius?
As a brand, what does Free FM really mean? Especially when the audience knows there are "costs"?
Will new CBS Radio President Dan Mason keep the Free FM experiment going...or will he simply say, "No va"? Can Free FM get repaired? Can he get it up and running?
posted by Unknown @ Monday, April 23, 2007,
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A Good Sign for Future CBS Radio Growth: Bringing Dan Mason Back
Labels: brand building, CBS Radio, Change, Dan Mason, growth, Media Trend Watching, Move Forward, Sirius, Stern, Traditional Media
Experience from someone who's been there is a tremendous asset...especially after having a chance to step away, learn and view changes impartially for a fresh perspective.
CBS Radio needed fresh prespective.
CBS Radio needed fresh leadership.
CBS Radio needed "been there" experience from someone who knows how to get "it" done.
And CBS Radio got it.
Bringing Dan Mason back to CBS Radio looks like the right decision. CBS Radio's 7% drop in year-to-year revenue for 2006 was a direct end-product of industry, listener and customer perceptual losses in branding trust.
How?
From bold format changes across the nation (in the spirit of innovation) that failed to connect with new audiences.
From poor decisions handling the entire Howard Stern transition to Sirius satellite radio, messing up millions of listener's morning routines...especially after CBS Radio tired to fill the programming vacuum unsuccessfully.
Worst of all, from breaking "brand trusts" with listeners through perceived manipulation...and not delivering better products; the quality level of radio stations CBS Radio listeners have long expected from CBS Radio.
This change is an important step in rebuilding trust.
Before they brought back the CBS Radio name, they were Infinity Broadcasting -- the company that invested in radio's best talent, best programming, best leadership, best sales teams, the best radio market's. Before Infinity, it was Westinghouse. And before Westinghouse, it was CBS Radio.
CBS Radio has long been radio's crown jewel...with the exception of the last few years. Perhaps it is coincidence that CBS Radio's performance and perceptions changed after 2002 when Dan Mason "retired" to begin consulting. Perhaps not. Perhaps CBS Radio was just a victim of traditional media losing out to new media. Perhaps not.
The fact Dan Mason is coming back is a good sign for returned CBS Radio growth. Dan's been there. He'll debunk myths and move the group forward. He knows what it felt like within Infinity during its "championship" years, its legacy years as radio grew through the 70s, the 80s, and the 90s. And he's largely consulted new media (such as Sirius) through SaboMason since leaving CBS Radio/Infinity in 2002 (while also consulting CBS Radio).
One of Walter Sabo's respected strengths is his passionate viewpoints on creativity for radio, regardless of format. No doubt CBS Radio will benefit from Dan's recent experiences with Sabo.
New ideas and fresh perspective to the table...while also bringing "been there" assets.
Things seem to be looking up for CBS Radio again. And that's a good thing for all of radio.
posted by Unknown @ Tuesday, March 27, 2007,
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XM/Sirius Merger: WWHT? (What would Howard think?)
Labels: CBS Radio, competition, FCC, Jointblog, Karmazin, merger, NYPost, rumours, Satellite, Sirius, Stern, XM
"Wha-wha-WHAT?" (if you've been a Stern fan over the years, you know the SFX)...
This gave me a laugh reading Jossip's Media Blitz this morning. Too bad I was drinking my coffee at the time (thank god for Bounty):Sirius and XM merger described as imminent possibility; Howard Stern described as "too rich to care."
Of course, whether this announcement happens or not, the next 15 months of FCC regulatory hell would serve as either a sideshow or a distraction...and Stern will still be "too rich to care".
(canned applause in response)
Obviously, it is a BIG deal, if it can get through. A predicted operating savings of $7 Billion (if an accurate estimate) means satellite radio has a much better chance of thriving and surviving. But at what cost will come those savings? There's always a cost...
Update at 1:30PM EST: ABC NEWS has "confirmed" through their sources the merger deal is happening today, although it has not been announced or commented directly by either XM or Sirius officials...yet.
So...if the story is accurate and eventually approved, how would the merger play out? Here's one way to see it...(click through)
Here's another point of view from Wall Street. And more. And yet more comments on the possible end of XM's and Sirius' head-to-head competition.
Winners and losers? Your thoughts?
Another update (3:45pm EST): It's now official.
For a MoneyCentral financial analysis of Sirius share/investor history and its future prospects, click here.
So what does Howard Stern and Mel Karmazin think about the merger? Click here and here.
posted by Unknown @ Monday, February 19, 2007,
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Police Reunite While Motley Fool Chooses: Sirius, Apple and XM...Which would you "Date, Marry or Kill"?
Labels: '80s, AOL, CBS Radio, Ethel, Jointblog, Motley Fool, Police, reunion, Satellite, Sirius, traditional, XM
Yesterday, I heard the type of event I thought radio had long forgotten: The Police's Whisky A Go Go press conference and live rehersal preview of their reunion tour this summer the morning after their opening performance on Sunday night's Grammys.
Where did I hear this live, commercial-free broadcast?
Sadly, not on traditional radio. I heard it on XM's Ethel. On my computer. Through XM's AOL service. Using an intentional (and accurate) "I Love the '80s" term, it was awesome.
Was this event broadcast over the airwaves in America's biggest metropolitan area? I don't know (it was also broadcast on VH1 Classic and VH1's Radio Network, which includes internet streaming)...I sure didn't hear anything about over the air, not with all the babble about Anna Nicole Smith's death.
Speaking of death, Motley Fool did an old radio bit, wondering: If you have the options of Sirius, Apple and XM, which would you "Date, Marry or Kill"?
As Orbitcast reports, The Fool:"...would "date" Sirius because they're at their 52 week low right now, even though Sirius has fewer subscribers, a heavier market cap, and posted steeper losses than XM. Still, Sirius has a lot of momentum behind it and the Fool seems to like the prospect of Sirius Backseat TV should it take off.
And yet...it was XM I heard broadcasting The Police...it wasn't through iTunes and it wasn't on Sirius (that I know of).
Apple was the one to marry because, well, because they're profitable. And they've got the iPod, of which they've sold 90 million units (compared to "only" 13.6 million satellite radio subscribers). It doesn't hurt that Apple has topped Wall Street's estimates for 16 straight quarters. Oh right, and then there's the iPhone.
XM on the otherhand got killed. Why? Because of the fading merger speculation, the RIAA lawsuit and losing massive retail marketshare to Sirius. The Fool isn't necessarily convinced over the whole "OEM is the future" thing either (because of iPod jacks)."
And it wasn't traditional radio (was radio DUI and cuffed by The Police?)...
Hmmm, which new media would you date, marry or kill?
posted by Unknown @ Tuesday, February 13, 2007,
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Stern, Ratings, CES, MacWorld Expo: Not Just Another Day in Mediaville
Labels: Apple, CBS Radio, CES, HD Radio, innovation, Jointblog, MacWorld, Media, Media Trend Watching, Net Neutrality, Radio, Ratings, Satellite, Sirius, Stern, Steve Jobs
January 9th turned out to be quite the media day.
Howard Stern started off the day celebrating one year satcasting his radio show on Sirius radio, complete with omelet bar and plenty of bagels for Artie Lange.
Stern's one-year impact? Certainly a major contributer to Sirius subscriber gains of more than 2.8 million new listeners. Which explains Stern's huge stock reward announced today worth an estimated $83 million.
Stern's also much happier censoring himself instead of being verbally shackled by the FCC, allowing him to deliver radio that is "free-form, free-flowing, one big party." Stern's satellite success has brought Sirius plenty of new sat radio listeners and, according to Mel Karmazin, $300 million more than Wall Street originally forecast for Stern's first year. But, Newsday asks, at what cost?
Whatever. The King of All Media is better than ever.
And CBS Radio was left reeling, as explained by the NY Daily News. Today's Fall ratings book results began rolling out today; the Stern-escape effect still shows.
Meanwhile, looks like HD Radio may be benefiting due to Stern's move to satellite radio. According to Forbes.com, the major disruption in morning radio habits once Stern left forced listeners to consider new options. Some went to Sirius or XM or just another terrestrial radio station. But, now that prices have dropped and more formats have been made available, some radio listeners are beginning to check out HD Radio, including at this week's Consumer Electronics Show in Las Vegas. Will HD Radio (now with 1,200 stations available and increasing) eventually challenge satellite radio's position?
Speaking of new electronics...
The annual MacWorld Expo trumped the CES getting all news outlets talking while also giving Steven Jobs some TV time on ABC's World News with Charlie Gibson. ABC News got two-minutes alone using the brand new Apple iPhone, which won't be released for sale until June.
That hasn't stopped iPhone envy, impressing fans with the sleek design which promises to "reinvent the phone". Many are thrilled with this latest example showing the genius of Apple design.
Although Cisco apparently isn't too happy.
Jobs countered previous speculation suggesting iTunes sales were slowing down. In fact, he says, iTunes has now sold more than two billion songs, 50 million television episodes and over 1.3 million feature-length films have been purchased and downloaded from the iTunes Store, making it the world's most popular online digital media store.
And now, AppleTV (or iTV) will be coming to a living room near you, too.
Speaking of mobile phones, Yahoo! inked new Mobile 2.0 distribution deals with a variety of wireless providers for its newly enhanced mobile product Yahoo Go for Mobile 2.0, as well as a newly launched mobile search platform, dubbed oneSearch.
Lastly, fresh-back-in-session Congress led by the Democrats formerly introduced a new Net Neutrality bill, which is good news for all media trend watchers.
Lots of media news with potential long-term impact. Wonder what the new media landscape will look like one year from now?
posted by Unknown @ Tuesday, January 09, 2007,
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