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School of Journalism
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sp; =
IN TROUBLE
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sp;
Dirk
Dear Charlie:
&nbs=
p; Once
again, I wanted to let you know how much I enjoyed your Media Sales and
Sales Management graduate course. I have never learned so much. When I returned to KVVB-TV after t=
he
seminar, I put a lot of the ideas I learned into practice. I got much
more input from all of the people in the sales department; I really did&nbs=
p;become
a participative manager. In the last couple of months I've had several
people tell me that I've become a much more effective manager.
However, two of those people are not my local
sales manager and my general manager. Ellen Arnold, the local sales
manager, has been at the station for about five years—she preceded me=
by
three years—and she has a very tight relationship with my general
manager, Lou Mounty. Some people at the s=
tation
think it's more than a close business relationship, and you can never be su=
re
with Ellen, who will stop at nothing to get her way. Lou hired E=
llen
and wanted to promote her to my job, general sales manager, but the owners
wanted someone with more experience—a proven track record, they said-=
-and
recommended me. The owners had
dealt with me at a competing station, so Lou hired me. However, he continually sings
Ellen’s praises even though our local business is down and our nation=
al
business is way up.
&nbs=
p; At
first Lou thought I would be KVVB's savior in
our revenue battle with Channel 6, the market's news leader for
over a decade with 45 shares in both early and late news (we're
a distant second with steady 25 shares, although we had a nice uptick in the May sweeps to a 32 share and good
demos). The other station in =
the
market is a UHF and is not a factor in the news
ratings, with 6 and 8 shares in the demos. However, Lou seems to be a
little discouraged now about ever overtaking Channel 6 and is desperate to
increase revenue. Ellen, who talks with Lou frequently, seems to sense
this and I believe she is trying to divert focus away from herself and
local sales and onto me. She wants to make me the problem and the
scapegoat.
&nbs=
p; Lou
is on the hunt for scapegoats too. This is his third general
manager's job, each in a smaller market. He's been here eight ye=
ars
and seems to be frightened. The local owners are putting pressur=
e on
him to increase profits. They are in the construction business a=
nd
don't understand the importance of ratings to sales. Their attit=
ude
is, “just sell harder, like we do when business is slow.” Plus, some of their real estate and
construction deals are in trouble, and they want the bottom line propped up=
no
matter what. I think Lou is looking to make me the problem.
&nbs=
p; For
example, last week he told me to "lower rates so we don’t lose a=
ny
business." With a ratings
increase in local news, now is the time to raise rates slightly. Plus, we can never go as low as th=
e UHF,
so if we lower rates, our shares won’t go up. But Lou is on a tear about no=
t losing
any business.
&nbs=
p; Today
Lou said again, "are we losing any business?" Lou goes into=
the
traffic department late every afternoon and looks at the orders we got and =
then
tries to find salespeople who haven’t put in an order so he can tell
them, “I need an order every day from you. Did you lose anything today?”=
; It’s terrible on morale.
&nbs=
p; Also,
Ellen has been complaining to Lou that I’m giving too many accounts to
national and that I should make some of the national accounts local ones to
help local billing. She claim=
s she
can get higher rates locally, which is crap because national gets higher ra=
tes
nine times out of ten. Lou is
getting tired of it and has said to me, "Do something, be decisiv=
e,
give her some national accounts.
Screw the rep.” =
In
fact, we pay the national rep less commission on national business than we =
pay
local salespeople on local business, but Lou doesn’t want to hear
that. Also, Ellen complains t=
hat I
interfere with local salespeople and that the traffic manager has too much
power. What can I do?
&nbs=
p; Ellen
is right: (a) I do sales training with the local salespeople because she ha=
s no
idea how to train them because she never had any formal sales training hers=
elf
and (b) I ask the traffic director to check out all the orders that come in=
for
rates and to kick them back if the salespeople go too far off the
card—more than 15%. Ell=
en
constantly lets everyone know that she has access to Lou, and when an order=
is
kicked back to her, she’ll say something like, &q=
uot;I don't
think Lou would like it if he knew you were turning down business."&nb=
sp;
As you know, the traffic director, Lenise =
Smith,
is an excellent, intelligent, and dedicated traffic
director. Ellen makes Lenise's
life miserable. I tried several times to tell Lou that Ellen is
a problem, but he won't listen, so I've stopped saying anything.
&nbs=
p; Lou
doesn't want any more bad news. Business was off for the first
quarter, network ratings are down, the network has cut compensation, a=
nd
the owners are hollering for more profit. Lou is very tight with=
the
news director, who Lou thinks is an aggressive, tough guy who pushes the newspeople to the limit. The news director is in
Lou's office three or four times a day brown nosing him and telling him
that the salespeople don’t know how to sell news.
Lou likes the operations manager, too, who he
recently promoted from being promotion director. Lou fired the
program director, who had been with the sta=
tion
19 years, and combined her job with the promotion director's and called
the new job operations manager. The operations manager is a memo
freak. He sends everything via e-mail--it’s a flood. =
He
can't even have a conversation with me; he comes to my office and asks=
if
I saw the e-mail he copied Lou on. He did it three times
yesterday. Lou loves it. =
; He
says, "Now there's a take-charge guy." The ops guy hasn't d=
one
much, since Lou makes all the programming decisions (he likes to get a free
dinner from the film salesmen) and the advertising budget has been cut way =
back
by Lou.
&nbs=
p; The
promotion cutback drives Ellen nuts, but she won't say anything to Lou=
or
Hank, the operations manager, who she knows is one of Lou's pets,
too. So Ellen complains to me and has somehow twisted things aro=
und
so that it's my fault. She even said to me this morning, "W=
hy
don't we promote the news more so we can get higher ratings?"
&nbs=
p; Charlie,
I'm afraid. My wife and I like this area, and the two kids are h=
appy
with their friends and school. We have a nice house with a big
mortgage. What can I do to avoid being fired?
&nbs=
p; I
think I'm a good sales manager and I have strong support from all of the
salespeople, from my national sales manager, and all of the sales support
people. We know we're doing a very good job in sales, but how do=
I
convince Lou?
=
AUTHOR'S NOTE
While
the incidents in this case are not factual, they do represent a compos=
ite
of actual events and operating situations. This case was prepared to =
use
as a teaching tool.
ASSIGNMENT