Underwriting Sales Management

Presented by

Kurt Mische – KLVX Las Vegas

Jim Taszarek – Public Radio Partners

Stations PRP Represents

PhoenixPhoenix

SeattleSeattle

NashvilleNashville

AustinAustinLas VegasLas Vegas

PRP Employees

• Principals

– Kirk Nelson

– Jim Taszarek

• 25 Employees

• Combined, over 200 years of

– marketing experience

– sales experience

– corporate support experience

Track Record of Sales Growth

• Year 1 - 19%

• Year 2 - 29%

• Year 3 - 25%

• Year 4 - 21%

• Year 5 - 18%

Aggregate billing performance for each year in a

market

Underwriting Sales Philosophies

• Underwriter

• Product

• Sales Management

Underwriter Expectations

Underwriters are:

• Primarily looking for marketing value

• Marketing value with our listener types

• With an appreciation for supporting station

Non-Commercial Nature

Public Broadcasting’s

– Quality Programming

– Non-commercial nature

Are what the audience and underwriters value

Respect and protect that nature in order to

make underwriting a significant and sustainable

revenue source

Business Levers

A Business School Term for:

1. Those few things

2. That significantly impact results

3. And are within your control

Levers for Underwriting

• People

• Inventory

• Ratings

Underwriting Sales Philosophies

• Underwriter – Provide Marketing Value

• Product – Protect Non-Commercial Nature

• Sales Management – Focus

– People

– Inventory

Foundation For Television Growth

• On-air environment

• Traffic system

• Production

On-Air Environment

• That showcases local underwriters

• Improves the marketing result of underwriting

• Attracts the buying community to the station

Traffic Software

• A traditional television traffic software system

• Which creates the ability to offer schedules that meet underwriters’ needs

• Allows the station to manage inventory

• Allows account information to be managed effectively

Production

• Professional and quick turnaround option

– Resolving underwriter concerns that they can’t afford television

– Improving the on-air look of underwriting which makes it more appealing

– Capturing quick turnaround event revenue (such as performing arts)

Foundation For Growth

• On-air environment

• Traffic system

• Production

Key Processes

• People

• Sales

• Sales Management

• Inventory Management

PRP Sales Process

• Step 1 - Prospect

• Step 2 - Needs Evaluation

• Step 3 - Presentation

– Suggested Schedule

– Recommended Copy

• Step 4 - Follow-Up

• Step 5 - Extend Relationship

PRP Sales Management Process

• Annual & Quarterly Department Strategy

• Monthly– Sales Training – Projection System

• Weekly– On-going Coaching on Sales Process– Individual Meeting

• Sold, Selling, Missed• Collecting, Collected

Projection System

• Projection Worksheet • Rep assists in establishing monthly quota

• Projects rep expectation• Manager coaching tool• Establishes long-term

pacing information• See your work progress,

or flow easier • Excellent working doc• Creates great historical

information

Projection WorksheetDate Nov 15 Sold 22,345 95% 20,111 Key

Sold = In traffic systemSales Rep John Lennon Quota 29,000 Finalist 9,900 80% 7,920 Finalist = Just a few questions left

Working = Offeres potential for the monthStation KBEAT Actual 22,345 Working 4,225 25% 1,056 Prospect = New target for the month

Month January Variance (6,655) Prospect 7,850 10% 785 CommentsCNW = Closing Next Month

Prior Yr 25550 Totals 44,320 29,872 CTW = Closed This WeekLTW = Lost This Week

Prior Yr $ Accounts Sold Finalist Working Prospect Comments1 750 Aunt Mimi's Book Store 750 2 2,500 Capitol Records 3,000 3 1,200 Rickenbacker Guitars 1,250 4 650 Liverpool Library 750 5 500 Strawberry Field Estates 650 6 1,500 Liverpool Institute and School of Art 1,800 7 1,200 The Cavern 1,200 8 1,250 Hamburg Office of Tourism 1,500 9 2,500 EMI Records 3,000

10 1,500 Liverpool Symphony 1,200 11 900 London Pavilion 1,500 12 1,500 Apple Enterprises Bankrupt13 1,200 University of Liverpool 1,500 14 800 Lord Mayor's Parade 950

Projection System

• Quota Worksheet • Establishes monthly quotas for department considering multiple points of reference

• Helps to project department inventory demand

• Helps with station pricing• Communication with

station• Training topics

Quota Worksheet Market: Liverpool

Month: January John Paul George Ringo Nat'l Other Totals Station Budget Variance

as of Current 22,345 20,550 20,455 14,975 500 - - 78,825

Billing LY 25,550 24,250 18,750 15,950 1,200 - - 85,700

Projection 29,872 28,754 24,652 18,555 1,500 - - 103,333

Quota 29,000 30,000 24,000 18,000 1,500 - - 102,500 100,000 2,500

Quota as Commission 4,350 4,500 3,600 2,700 225 - -

Guarantee/Draw - - - 3,000 - - -

Variance 4,350 4,500 3,600 (300) 225 - -

Comments: Last month of Ringo's draw.

Quota Worksheet – cont.Market Pacing

Current 27,515 26,550 22,350 1,650 1,200 - - 79,265

Proj Var Agst Quota (1,485) (3,450) (1,650) (16,350) (300) - - (23,235)

Market PacingCurrent 29,887 29,660 25,651 16,855 1,500 - - 103,553

Proj Var Agst Quota 887 (340) 1,651 (1,145) - - - 1,053

Posted Performance

Posted 29,887 29,660 26,250 18,521 1,500 - - 105,818 100,000 5,818

Posted Agst Quota 887 (340) 2,250 521 - - - 3,318

Posted as Commission 4,483 4,449 3,938 2,778 225 - - 15,873

Posted Agst Draw 4,483 4,449 3,938 (222) 225 - - 12,873

Comments:

Projection System

• Goal Meeting Report • Projects revenue pacing for next three months

• Clues for pricing inventory• Adjustments for immediate

needs• The “why’s” of success

and losses• One-on-one with your

manager

Goal Meeting ReportDate: Nov 15

Rep: John Lennon

Station: KBEAT

Closing Next Week

Account Months CommentsNov Dec Jan

1 Liverpool Institute/Art - 250 1,800 Holliday Spec & Annual2 London Pavilion - - 750 Royal Concert3 Dumbledore Library 250 250 250 Harry Potter Book4 - - -

Totals 250$ 500$ 2,800$

Business Lost or Missed

Account Months CommentsNov Dec Jan

1 Apple Enterprises 1,500 1,500 1,500 Bankrupt2 Bank London 1,500 500 - CPP too high

Business Closed Last Week

Account Months CommentsNov Dec Jan

1 Lord Mayor's Parade - - 950 Annual2 Strawbery Fields Estates 650 650 650 3 - - -

Totals 650$ 650$ 1,600$

Goal Meeting Report - Cont.Collected Last Week

Account Months CommentsNov Dec Jan

1 Apple Enterprises 500 - - Payment schedule 500 x 4 months2 Capital Records 3,000 2,500 3,000 CIA3 - - -

Totals 3,500$ 2,500$ 3,000$

Collecting Next Week

Account Months CommentsNov Dec Jan

1 The Cavern 1,200 - - 2 EMI Records 3,000 - - 3 University of Liverpool 1,500 - - 4 - - -

Totals 5,700$ -$ -$

Projection System Recap

• Projection Worksheet

• Quota Worksheet

• Goal Meeting Report

• Helps establish monthly quota with generous rep input

• Establishes monthly quotas considering various information

• Coaching and Projects Potential Demand

BenefitsSales Management Process

• Help you effectively coach your sales reps

• Maintains a professional sales approach

• Understand the effectiveness of your sales department

– Standards of Performance Indicators

– Benchmarks

• Provide good information for forecasting

• Adds “real” value to your selling efforts

Questions?