The folks who own The Rock radio station have applied to the CRTC to have the ‘specialty’ condition lifted off their license and want to switch formats and become a more secular station with a modern rock focus. Not surprisingly, Harvard Broadcasting (GX and Fox) have opposed the motion.
What surprises me, are some of the claims made by their VP/COO Cam Cowie in his brief to the CRTC. In particular, I find how he views the Yorkton market to be troubling. While some of his points are, definitely, valid to me as an observer who has no stake either way; there are a few I take issue with and I would think anyone looking to buy advertising should consider.
Cowie says Yorkton is a ‘quite small market’ and points out a population of just over 18-thousand people if you factor in the metropolitan area. It’s less than 16-thousand in City Of Yorkton itself. He fails to mention, however, that advertisers are often presented with documents that show the trading area of Yorkton to be in excess of 200-thousand. So, this statement is misleading.
Cowie also says there has been a significant decline in revenues from 2011-2015 and points out Yorkton is in an economic downturn with revenues steadily decreasing over the last 10 years. While that may be true, I am going to suggest the economy of Yorkton has very little to do, maybe even nothing at all, with regards to shrinking revenues at the existing stations. When you consider there are more restaurants than ever before, expansions of both John Deere and CASE agriculture dealers on the horizon, as well as significant growth from retail establishments on the east end near the Parkland Mall; I would say the economy in Yorkton has, in fact, gotten bigger in the last ten years and to analyze why advertising revenues have gone down would be to say a look in the mirror may be in order.
Cowie, himself, admits the declines have been sharp (6 per cent year to year for each of the last three). He says the FM (Fox) station has suffered more than the AM (GX). Again, I would suggest a closer look at what the advertiser is actually getting with his dollar. To suggest it’s the city and that there isn’t anything wrong with the product is negligent on his part. In fact, I think the people who own The Rock see what’s happening with the FM station that Harvard runs and sees this as an opportunity to strike and pick up those customers who have decided they are no longer getting what they feel they should for what they spend.
How many businesses have closed in this city? Not very many when it comes to ones that would spend on radio. More have opened than closed. For a big operation like Harvard to be so intimidated by a very small business owner like Dennis Dyck makes me chuckle. If Fox Fm and GX94 are catering to their customer base the way it was done in the George Gallagher/Lyle Walsh days, then we aren’t having this discussion because Dennis knows he’s dead in the water from a business perspective. He has no chance of securing the lost business. My analysis isn’t scientific, but I’m going to suggest lost revenue for the current stations isn’t a result of the customer or advertiser closing shop; it’s because they’ve chosen to spend the money elsewhere or keep it in their pocket.
Maybe I pay attention to it more because I’m no longer employed as a radio person, but I think it speaks for itself when you consider there are as many as 12 former announcers or long time sales staff still in Yorkton that have all decided to do something else for a career. Most radio employees, especially announcers, leave town when they leave the station. That tells me there is lots that Yorkton has to offer. But it also tells me something else, and I’ll leave it to the reader of this column to get at what I’m saying and maybe potential advertisers see what I’m seeing.
The other thing that is rather outdated, in my opinion, is the role of the CRTC in determining what radio stations can open for business in any given market. If I wanted to open a rival sign shop to the one I’m working at now, there isn’t a government body that would stop me. The same goes for restaurants, clothing stores, car dealers, tourist outfits, etc.
Why does a government body get to decide if Dennis Dyck has a viable business plan to compete with a company that is much, much bigger than his own? Over the years, small operations similar to Mr. Dyck’s have gone by way of the dinosaur and we now have Bell, Rogers, and Corus running much of the country when it comes to broadcasting.
I say if Mr. Dyck wants to roll the dice on this, let him. And, if he’s able to generate a number one station in this market against a significant opponent, then good for him. If he fails and can’t be viable, then that’s how capitalism should work.
