Tuesday, July 15, 2008

Sales Solves All Problems?

In the 80s as a programmer I heard the claim in a station strategy/budget session that 'SALES SOLVES ALL PROBLEMS.' In that case we had a solid product and really the sales effort was doing well but the potential to grow was clearly there and the team responded. While the revenue gains didn't really solve ALL problems it did exceed the budget and on paper we had won.

At that time we all bought in as the extra sales effort meant more resources to keep the product competitive and ahead. That statement has popped up a number of times and in many ways it became the mantra of business strategy for many station and group strategies for our industry.

Clearly sales generates the revenue and that is the lifeblood of any business. But, you still need a product to sell. In our case we still need a strong and healthy audience.

Does the business plan of your station or group still living in a world where you expect sales to solve ALL problems? It's obvious that we need content and product to sell. With all the new media in the advertising holding and building an audience has never been more challenging. Are you investing enough to get the job done? It's a simple question, but one that we are obviously not asking enough as we watch new media invading on our shares of the market more and more every day.

Building a product that draws both audience and advertisers is a careful balance. Throwing money at the product or making it all product and slighting the sales side doesn't work but, making it all sales and ignoring the product doesn't work either. It's all about balance - are you balancing your resources?

No comments: