KXNO/iHeart Layoffs

Discussion in 'Off-Topic' started by cyowan, Jan 14, 2020.

  1. BryceC

    BryceC Well-Known Member

    Mar 23, 2006
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    We'll agree to disagree on this. The revenue for papers were most impacted by classifieds, that's 100% true. But the decline is still largely from the internet. Say what you want about the papers but I used to read them ravenously. It was the only real source for news. I remember heated debates about where ISU was vs. Iowa on the page, how long or how many articles there were, etc.

    If that was still the only real source of ISU news, I'd be subscribing. From 2007 to 2017, the register lost half of it's subscribers. People my age and younger don't get the paper. The amount of content available for me to read about ISU has never been higher, and quite frankly, it's never been better.
     
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  2. Cydkar

    Cydkar Well-Known Member

    Apr 12, 2006
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    Didn't the people that got let go take part in a dying form of media? I AM not blaming them for losing their jobs, by the way. Not even 0.00001%.

    It's pretty clear that those people will adapt and, I predict, be better off.
     
  3. NWICY

    NWICY Well-Known Member

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    That is an interesting idea!
     
  4. Halincandenza

    Halincandenza Well-Known Member

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    Time to start podcasting!
     
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  5. Psyclone

    Psyclone Active Member

    Mar 18, 2006
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    Unfortunately that's how these things go in the business world.
     
  6. cycloneworld

    cycloneworld Facebook Knows All

    Mar 20, 2006
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    Not related to the layoffs (which suck. hard.), to me it shows the importance of spending your money locally. I’ve been guilty of convenience, Amazon, Target, etc but after I moved jobs a few years ago into the East Village, I’ve gotten to know some of the shop owners. That’s a HARD way to make a living.

    This year I committed to buying all Christmas gifts locally and it wasn’t easy. But I did it. The more we all support local entities, the more ad dollars they have to pour into these guys’ next venture to reinvent local radio. It’s difficult but not impossible.
     
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  7. BryceC

    BryceC Well-Known Member

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    If they could, why did they sell?
     
  8. Boxerdaddy

    Boxerdaddy Well-Known Member

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    Maybe i'm just getting old, but I rarely go back and listen to any podcasts. I do watch youtube channels, and some of that content is older, but the reason I listened to radio was that it is current and you could participate by tweeting or calling in if you had a strong opinion. In this day and age, a few hours later and the content could look pretty outdated. I'm sure there other formats that will work, but radio was so easy...start your car and oh it's the fanatics. I didn't have to turn there because my dial was already set from my morning commute.
     
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  9. DSMCy

    DSMCy Well-Known Member

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    I'm guessing this is what we'll find out shortly.

    If these shows are truly profitable, then someone in Des Moines will be willing to put these shows back on the air.
     
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  10. Urbandale2013

    Urbandale2013 Well-Known Member

    Jan 28, 2018
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    Maybe you are arguing semantics but the last part was my point.

    The difference from what I’m talking about is short term returns vs long term sustainable growth.

    I actually think there are a multitude of examples that prove my point. We’ve seen it in a bunch of retail companies. Toys R Us was bought by its parent company via a leveraged buy out. They failed because their debt load and a management team that wasn’t fully invested in the company failed to adapt to the new market place with the internet.

    There are plenty of examples of companies that saddle brands with debt don’t invest in the product and then are handcuffed because they have to much debt.

    For news media you saw the same thing. Leveraged buy outs created large conglomerates which then didn’t invest in the product. As they failed to invest people were intrigued by the internet options. As people turned to the internet options they failed to invest as revenue shrunk. It then has become a cycle where they fail to invest in their product.
     
  11. BryceC

    BryceC Well-Known Member

    Mar 23, 2006
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    Honestly my car radio is set on bluetooth to connect to my phone, and to go down the dial to AM or FM I have to almost remember every time.
     
  12. beentherebefore

    beentherebefore Active Member

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    Apparently KXNO does not update their website. Still featuring Chris and Ross on the top banner. Weird place.

    https://kxno.iheart.com/
     
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  13. Psyclone

    Psyclone Active Member

    Mar 18, 2006
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    There is rarely a good way to handle these kind of things. Options are probably limited even further when the jobs involve people whose voices go out over the airways.

    I feel bad for those that lost their jobs and hope it leads to something better.
     
  14. BryceC

    BryceC Well-Known Member

    Mar 23, 2006
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    People were going to turn to internet options anyway. There was absolutely no stopping that.

    Mismanagement is apparent in what happened. But there was no stopping the greatest technological boon in our lifetime.
     
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  15. Sigmapolis

    Sigmapolis Well-Known Member
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    Aug 10, 2011
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    I do not think it is semantics -- good products and good customer experience first means a good company. I think we are converging to the same point.

    :)

    I still do think local media is a special case, though, because of the effect the Internet had on advertising revenues. Here is a chart for retail/department stores, which you aptly bring up as a comparison for another industry riled by the Internet --

    [​IMG]

    So department stores lost around 33% of their sales to the rise of the Internet. Even that sector did not get the 75% ding that local media got. Plus, look at all that growth for the red line that I imagine the blue line was imagining would be theirs circa 1995.

    Leveraged buyouts and the like are fine when you think you are buying into traditionally profitable industries, which local media was before the Internet. When that profitability dries up and collapses just a few years after deregulation let the dogs loose on consolidation of local monopolies, and all the sudden those monopolies are not profitable anymore, then the problem of those buyouts was not doing them in the first place, but doing them not realizing an entire sector's business model was about to become obsolete.
     
  16. Psyclone

    Psyclone Active Member

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    Are non-competes binding if an employee is fired without cause? That would seem hard to enforce.
     
  17. jbhtexas

    jbhtexas Well-Known Member

    Oct 20, 2006
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    Sounds like an opportunity for someone to call iHeart and see if they want to sell KXNO, and turn the station back into a locally-owned local-content station.

    The question is whether that venture to create a locally-owned local-content AM (or FM) broadcast station is economically feasible and viable.

    I don't care for big media giants, but the bottom line is that most of the 800+ radio stations that iHeart owns were likely once locally-owned. For some reason, the local owners sold those stations. Maybe it was because they just were tired of the business and wanted to cash in, or maybe it was because locally-owned independent stations in many markets can't survive. I guess that is the question...

    For every buyer there is a seller...
     
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  18. beentherebefore

    beentherebefore Active Member

    Nov 24, 2007
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    Advertising generally was always better for the medium selling the space/time (newspaper, magazine, billboard, radio, TV) than it ever was for the advertiser. Still is. Most advertising is overlooked by the very people companies think they are reaching. Think of how often you flip channels during a commercial break. How often to you click on an ad on a website? Lots of people block ads.

    But businesses still advertise. Smart businesses know they need to be more careful with their advertising spending. That certainly has been part of the struggle local radio and newspapers have ad with revenue.
     
  19. beentherebefore

    beentherebefore Active Member

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    And the big media companies offered tons of money for those stations! In many cases it made financial sense to the original owners to sell.
     
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  20. capitalcityguy

    capitalcityguy Well-Known Member

    Jun 14, 2007
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    The company is in trouble, but IMO this is not understanding the success of KXNO and what it means to central Iowa. They big wigs are probably assuming we'll just be as happy with national radio hosts. That might work in a market with NFL, NBA, etc teams. But we are a college sports market first.
     
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