1. "Leverage our National Talent"
2. "Live and Local"
Let's take a closer look at the two paths.
"Leverage our National Talent"
- Syndicated big talent/national footprint
- Big margins/low expenses
- Smaller sales force
- Hit the numbers or you're gone
- "Ad Council" PSAs
- Strict adherence to tried and tested format rules
- "One to Many" programming strategy
- Heavy reliance on national revenue
- Talent involved in the communities
- News departments staffed with news people
- Good margins (but much lower than the first scenario)
- Keep adding salespeople so long as the incremental revenue is greater than the incremental expense
- Budgets are flexible; management is responsive to local opportunities
- Local PSAs
- Will break the format "rules" if prudent
- "One to One" programming strategy
- Heavy reliance on local revenue
Both strategies may work. But I'm betting on "Live and Local," especially in smaller and mid-size markets. Those are my thoughts; what are yours?