8-28-13
It hasn't even happened yet and there's already concern across the country about the rumored deal between Cumulus and Dial Global. Small-market broadcasters across the U.S. are starting to grumble that their programming choices are about to be limited. If Cumulus purchases Dial Global, expect small-market broadcasters to organize and oppose this deal. Specifically, there's a concern about the 24/7 music formats. Both Dial Global and Cumulus Media Networks offer 24/7 music programming, which gives smaller-market stations a choice, and other options if a competitor in the market offers similar programming.
Many well-known small market broadcasters, that will be seen walking the hallways at the Radio Show next month in Orlando, are not happy with the deal about to come down. One said, "this just blows me away. Yes, there are conflicts of interest. Politically, we can make this an issue." They worry about the quality of the product if everything were to be moved under the Cumulus umbrella. And several other issues were expressed by these operators.
Another concern would be the lack of competition on price or service fees, and choice would be limited, with duplicate formats possibly being eliminated to save money. "Collapsing formats could cause us some problems," one small-market operator told us. Another said, "It certainly gives me pause as to how involved I want to be going forward." There is a possibility some operators will take their concerns to the DOJ if this deal does go through.
(8/30/2013 12:31:19 AM)
Where is it written that bigger companies running everything in America are good for America? Radio doesn't need another Wal-Mart! Still possible thanks to Presidents Reagan & Clinton, the NAB & FCC... partners who brought you deregulation, consolidation, and Wall Street control. Maybe the Biggies will all go "bust", once again creating opportunities to get our industry back, e.g., what CC paid for & then had to sell its Yakima, WA,radio stations for. Look it up! Change changes everything! --Gif
(8/30/2013 12:24:20 AM)
Where is it written that bigger companies running everything in America are good for America? Radio doesn't need another Wal-Mart...still possible thanks to Presidents Reagan & Clinton, the NAB; the FCC,...partners who brought you deregulation, consolidation, and Wall Street. Maybe the Biggies will all go "bust", once again creating opportunities to get our industry back, e.g., what CC paid for & then had to sell their Yakima, WA radio radio stations for. Change changes everything! --Giff
(8/29/2013 3:22:18 PM)
Hedge Funds are driving all of this stuff. Do you really know who owns the local TV stations you watch at night? Everybody with a 'fund' is participating, even in the money losing schemes, hoping for that White Knight. I'm just a lowly station owner, but if I were Cumulus, I'd put everyone at the same satellite uplink I could, declare I'm a Common Carrier, taking all customers...then split off the satellite business with an IPO, make a Billion or Two, and pay down debt. Same Hedge Fund, too!
(8/29/2013 12:39:03 PM)
Both companies have already proved they can't run
a businesses profitably. Fight it, small markets!
--Giff
(8/29/2013 11:38:34 AM)
A great time to go "Live and Local" for real. Hire some local people to host music/local banter shows. Forget the polished announcers who have nothing to say but "Now 99".
But you'll need greatly increased revenues, of course. Quit playing with web sites and such. Sell radio ads, as many as you can. Raise rates. No limits on "inventory". Hire 10 salespeople.
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