The NEXT Boom Business For Radio

Revenue is down.

Ad agencies have a 30% mobile buying mandate that comes out of radio budgets.

Clear Channel has $20 billion in debt.

Cumulus will hit the debt wall in a little over 2 years if they don’t purchase CBS Radio first.

Entercom is strapped.

Take a look at where these greedy bastards are going to make their next buck.

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  1. Instant cash by doing one thing and both the Big Bad Consolidators are headed this way.
  2. Clear Channel’s get rich quick scheme that cannot miss.
  3. The Cumulus plan to fire more people and get into this new business right from their radio stations.
  4. How radio companies are willing to put their audience reach in jeopardy for millions of bucks in needed cash.
  5. Two case studies that will scare the hell out of you if you’re planning to stay in radio.

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The Real Cumulus CNN News Deal Exposed

What a joke.

Cumulus is replacing ABC Radio at the end of the year with leftovers from CNN.

The deal stinks.

Stations hate it.

Sources close to the situation reveal some crazy s@#t in this deal.

It’s CNN News without CNN!

If you’ve been thinking about subscribing and would like to access this story, let me tell you what you will get.

  1. From now on this is how Cumulus stations will handle another 9-11 terrorist attack, God forbid.
  2. How Cumulus can now break what’s left of the unions.
  3. The one very important thing CNN is forbidding Cumulus to do.
  4. What the new newscasts will be called – you’ll die laughing.
  5. Live hourly news feeds that are taped!
  6. The AP bombshell.
  7. And, ABC’s chance of survival without Cumulus.

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The Format That Will Replace Talk

Talk Radio didn’t need Lew Dickey dumping on it a few years back when he publicly denigrated the format as being too old and then picked a fight with talk’s biggest star, Rush Limbaugh.

But that’s nothing compared to what Clear Channel has planned.

It’s one thing for a dinky outfit like Cumulus to play mindf@#k with talk radio but it’s quite another when Clear Channel moves to replace talk.

I know.  I know.

Clear Channel owns Premiere and Premiere has contracts with the two biggest talk radio stars – Limbaugh and Sean Hannity.

But friends like Clear Channel and Cumulus, talk radio doesn’t need.

Now we are beginning to see the exit plan from the format for both of the two talk giants left standing.

And it isn’t going to be pretty.

You just know that seventy-something Michael Savage is not the Cumulus answer.  He seems like a placeholder at best until Cumulus can get the next act ready.  And the next act isn’t a talker.  It’s a cheap new replacement format.

And even Premiere is staring down the end of Rush Limbaugh’s days when his $400 million eight-year contract renewal ends in 2016 that included a $100 million signing bonus.

By 2016, talk will be dead and buried along with many of their remaining avid baby boomer listeners.

That’s bad enough, but what’s coming is worse.

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  1. The go-to replacement format for talk radio at both Clear Channel and Cumulus.
  2. Clear Channel’s Plan B for Rush Limbaugh.
  3. Which stations get converted first.
  4. The temporary roadblock that has slowed down Cumulus’ exit from talk.
  5. The second replacement format for talk radio – just in case.

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Earnings Fallout: Up To 1,000 Layoffs Coming

I always thought Rupert Murdoch was 21st Century Fox.

But after reviewing Lew Dickey’s Cumulus earning’s call yesterday, Tricky Dickey is the 21st century fox.

Lew can’t tell the truth if his life depended on it.

And when the happy talk radio trade press reports how well Cumulus did again in the 2nd quarter, they either don’t know or would rather be in Lew’s social circle.

It’s flat out false.

I’ll get to that in a second, but first consider this.

Radio is headed for 2014 in the red.

Finally, the dying industry can’t even lie its way to another flat year.

That’s because advertisers are mandating digital buys.

Radio doesn’t have digital buys – just add-ons, streaming and weak offerings.

Radio uses digital to allow buyers to cut their radio rate so they are forced to carry more spots and drive away listeners because these cheap commercials run in two unlistenable 8-minute stop sets.

I’ve been saying this since consolidation and it is almost anti-American to say that a bunch of morons are ruining radio.

Now almost everyone agrees.

Except for one thing.

Those morons keep getting rich and everyone else keeps getting fired.

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  1. What’s really killing radio – and it’s reversible if it is done right now.
  2. I’ve just gotten intelligence of the biggest radio layoff ever that is going to happen by the end of this year.
  3. The radio group that will initiate these record firings.
  4. The poor folks who will be goners.
  5. The accurate projected real end of year radio losses for 2014 to track the firings ahead industry-wide.

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Follow Tim Cook’s Plan, Not Bob Pittman’s

Radio is in a bad place right now.

Dumbed down programming and fire sale ad prices.

By example Tim Cook shows radio how to handle what promises to kill the industry.

Apple is writing that textbook in real time.

Take notes.

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  1. How to operate in an industry where competitors are driving down ad rates.
  2. The partnership you never see in radio that is becoming necessary.
  3. If Apple adapted to the loss of Steve Jobs, how can radio recover from its 10-year brain drain.
  4. Best advice of how to get investment bank owners to stop cutting and start investing.
  5. Who wins, the seller of a radio station or the buyer – hear the answer from Peter Drucker, the Father of Modern Management, to an audience of radio executives.

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