More thoughts on the alarming situation at Air America Radio--not very hopeful ones, I'm afraid
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Yesterday Howie posted Sam Seder's optimistic thoughts on the then-impending Chapter 11 filing of Air America Radio. Sam suggested that it could be a good thing, because finally the company's new CEO was offering a business plan. ("I have spoken to our new CEO and am convinced there is at least a sensible and defined business plan to move forward. Sadly, it's the first time anyone here has articulated such a plan.")
I added some thoughts, solely as a fanatical AAR listener, with no inside knowledge whatsoever, basically expressing the hope that Sam's hopefulness might be hopeworthy.
As a matter of fact, I was already skeptical about the "new" vision of AAR, which Sam described as "essentially . . . a syndicator of progressive programming." That sounds to me like a prescription for "progressive celebrity radio"--loading up on "names" that can be peddled to the affiliates, and essentially abandoning any effort to create, nurture and support innovative programming. Under such an arrangement, for example, would Morning Sedition even have gotten on the air? It would seem to me to stand even less chance, if possible, of being developed and promoted than was actually the case.
Now, however, I'm feeling even more nervous. I'm taking the liberty of quoting the following "comment" that was added to Howie's post with Sam's comments:
Sam's a good guy. I understand why he wants AAR to succeed.
Here's the other side of the story, however.
Mr. Elberg, who is the former head of Sales at Air America, was appointed as CEO on Friday. Let's talk about Mr. Elberg. He comes from WLIB, the former flagship station for AAR in NY. The relationship with WLIB completely broke down, which is why AAR was forced downchannel to 1600. Mr. Elberg was entirely ineffective in helping to save that. Mr. Elberg has never had a sales target he failed to miss. His incompetence at nailing new business was legendary within AAR. One thing he was fully capable of, however, was generating excuses. This is their new CEO. And let's not talk about his salary (and extravagant bonus plan) that left him extremely well-compensated. The top three managers at AAR pull down well over a million in total a year. Not bad for an organization grossing $11 million, if you believe the bankruptcy filing at SmokingGun.com.
AAR is now run by the incompetent sales guy whose ideological commitment is far from clear. His career includes long stints with ClearChannel and Infinity and he has no history or presence in any of the causes dear to us. I would love to find out what his party registration was. He lives in New Jersey. That should be easy for someone to find out.
So that's what we have. Not so good news for AAR.
Ohmygosh. I'm entirely open to good news, if anyone has any.
posted by KenInNY @ 10:12 AM
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As a former advertising manager of the Air America affiliate in Cincinnatii, I can tell you first hand that Clear Channel, who owns the affiliate, had absolutely no plan for success of the format. In fact, they did just the opposite. They refused to market and promote the radio station which was initially broadcasting on their 50,000 watt frequency. (heard at night to almost half the nation from NY to Miami and almost as far west as the Mississipi).
In a year, they moved it to a lousy 5,000 watt city signal. And with that, no car window stickers, no bumper stickers, no banners, no outside marketing. Their head of am programming in Cincinnati had publicly announced, both on air at their powerhouse 700 WLW and in the Cincinnati Enquirer newspaper that Air America Radio would never work in Cincinnati.
I was able to sell the format, even to conservative business owners. However, the income from those sales was not enough to base a career on as the price of a 30 second commercial was too low. A price dictated of course by the amount of listeners, which Clear Channel refused to go after with marketing and promotion.
And Air America in New York is also responsible for doing a lousy job.
They should have had a plan in place that said whomever takes on the format, should actively promote it and market it.
If the new CEO is a former Clear Channel guy, I assure you that the forces against Air America are now sitting inside.
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