Questions About Sales

I don't know really know anything about radio sales, that wasn't my department when I was involved at AM 990 in Hartford, Connecticut 3 years ago, so I hope my questions aren't too stupid.

A hypothtical situation. None of it's true. It's just for the purpose of my question. Let's say I own or control via LMA a small AM radio station.

1. Can I line-up potential advertisers before I launch my station?

2. Can I bill the advertisers in advance so my station starts out making a profit?

Yes to 1 and 2..though you might get some resistance from advertisers paying in advance when the station hasn't even been launched.

There would be nothing illegal about it. Unless you fail to get the station on the air and/or do not run the schedule as promised in a timely fashion.

MarcB, love the guts your displaying! Keep rollin'!

Lining up potential advertisers in advance of a launch is a very good idea.

If you mean bill in advance AFTER you control the station, it's worth a shot. We used to offer bonus spots for paid-in-advance...you know, saves the cost of invoicing.

You're dreaming, however, if you think an advertiser is going to pay you in advance for advertising when you don't "have" the station.

You are very smart to be thinking about your sales approach. Sales is the most important job at the station. Just remember, nothing happens until someone sells something. Figuratively, at least. Good luck.

PS. ALWAYS ask clients if there is any co-op money from their suppliers. Learn how it works and offer to do the paperwork for them.

You said; ALWAYS ask clients if there is any co-op money from their suppliers.

BAD MOVE! THEY then control YOU. You must bring in a few co-op deals YOU found for THEM.

"Hey did you know, Ace hemmorhoid remover has 100% co-op? WXXX will be glad to do the co-op paper work and all you'll have to do is sign. I can run 5 a day for you including 1 in Joe Scxhmo 's morning show. Joe would be glad to do a live read too, so he can talk about to show them how his problem healed.

And Ace will pay or the whole thing. Sounds good, doesn't it?"

Hammondo,

Please take care that you don't get "coop" run that'll never be paid so the station then won't get paid without a big fight and the long term loss of a client AND station credibility. If the client hasn't accrued coop for merchandise, 100% coop pay-back is suddenly 0% and then the client is mad and won't pay the station (usually without a nasty collection fight)...whether you're carrying a corn stalk or not.

CONTROL, you seem a little paranoid, if you help a client make money they'll probably let you continue but if they don't continue to let you thus screwing you at least you've learned early in the situation and quite frankly I don't care to do business with anyone that'll screw you 'cause they'll screw your listeners and then listeners will stop responding to ads they hear on your station...who just got a big CONTROLLED screwing?

Help the client by calling the coop source TOGETHER, you'll need the clients coop account number/account number so that you can see if the client has earned any coop or if they are even on a buying plan with that coop source that includes coop. Check first together and this'll either build an extremely strong relationship OR expose true character before it is too late.

US vs. THEM is one way to do business but so is US WORKING WITH THEM and it is as/more lucrative plus you sleep better and don't ever have to look over your shoulder.

1. Obviously you've never used a dash(-) as it's NOT (as in) CHICKEN COOP...but co-op.

2. Your points are well taken, and I'm NOT paranoid, (did the co-op thing for 20+ years) but I like to LEAD people, (different from us vs. them) so when they are successful, you get their TRUST.

Note, that when you are doing business with a town full of doofus hillbillies, (as I was) CONTROL is what you NEED. You MUST lead them or they'll crap all over you like a coop full of chickens.

3. I always got co-op approval before anything was run. Often times, the company rep would visit and the business owner, rep and radio guy would lay it all out. This way the left hand knows what the right hand is doing and MONEY is the result!

I would suggest presenting a package along the lines of an "initial advertiser club." Basically, present it as a special offer for the initial advertisers who come on board with you when you take over. Make it a multi-month commitment so that you have billing coming in every month for the first several months. Make it a special deal that you're not going to offer once you take over. You can even limit it to a certain number of advertisers - first come, first served.

Have them pay upfront (AFTER you assume control) for the first 3 months to "establish credit" with you and then you'll start billing them Net30 after that.

Good luck!