SXC Marketing

It is a sad societal reflection that most of my readership will turn to thoughts of Toyota, but that is but the tip of the iceberg. We have built a Titanic and this is our legacy… I opt to start the discourse to change direction.

Recently FOX decided to not show President Obama speech..

Fox beats networks without Obama

While Obama’s prime-time news conference aired on three Big Three broadcast networks — ABC, NBC, and CBS — Fox opted out and instead aired an episode of the drama “Lie to Me.”

That move seems to have paid off: Fox drew 7.9 million viewers and won the 8 p.m. time slot, according to TVNewser. However, approximately 19 million viewers tuned into Obama on the Big Three combined. (That’s according to Nielsen overnight numbers, with final ratings out later today.)

It is but a disturbing footnote. A reflection of the perverse freedom we all enjoy, and the complacence that comes with it. The Media, once a bastion of public consciousness and civic discourse is now a full blown reflection of our narcissistic tendencies.

Profitability over public service, and I may be but a small stone thrown into the pond, but the smallest stone may see its ripples reach the edge of the water.

Something is wrong with our industry, our society, and until those whose conscience be but a nagging mosquito in their ear listen to the buzz instead of swatting it, we are but pawns in a game that has no happy ending.

The Internet has the opportunity to do what television and radio broke away from. To bring the lesson of civics to our populace. Civics classes broke into our skulls with the intellectual acumen of a scalpel, but have been abandoned in our school systems in favor of classes that can improve test scores. In attempting to leave no child behind we have left our civic duty and an ability to think in the trash compactor.

We learned as a nation how to question our government and the roles of public service. Our government serves us, but that belief is now merely a tag-line on Police cars that suppress opinion and unrest. In civics we learned how to learn. To question our government, and the healthy debate that was necessary for society.

What does this have to do with Advertising or Marketing? We are but what we put out into the system. What we create. Advertising is the driving force behind programming. It has the power to influence, but what are we using that influence to do? If it be just a myopic isolation of ourselves, and acquiring more to distract and isolate, then we have not already lost the debate, but our societal mettle.

I had been debating this issue on the Internet Oldtimers Foundation, and the debates of this sort will end up in a political balancing act betwixt the freedom in our society and choice, from that which should be dictated. That balance is necessary for all of us, but it has become skewed. There are about 10,000 individuals in this country who control about 80% of the total media influence through advertising. We can do something to help. We can change the debate. We should not be looked at as pariahs sucking money out of consumers. We should be facilitating the lives of our populace. Just the word “consumer” is insulting to our intellects.

Billions of media impressions go unused, unwanted, unsold, and I ponder as to the reasoning why they cannot be used to lift up our nation. Hope IS currency. It cannot be put into your spreadsheets. It will definitely not inspire your financial officers… but it is not wasted on us.

We have the power to influence the subtle meme’s of society. To shape them and mold them while preserving choice, preserving freedom. What we have is power, and we choose instead to focus it inward. Isolating our companies, our products, and ourselves. Rarely does the company do a “good” deed. One that has no tangible benefit to itself, or its employees. Instead opting to see the benefit to corporate image as main motivations.

The financial crisis has shown holes in our armor. That not all dynamic systems work to benefit the whole. Statistic after statistic shows the rich getting richer and the growing gap of incomes, but that is merely the effect of our ignorance. We are in a golden age of information dissemination. The internet has the power to influence, educate, a pull our nation up to one of ideals again, not just create money, but create societal wealth.

We are but mirrors for each other, and our industry. Those 10,000 individuals have a choice; do what is easy, what is comfortable, or seek to make a difference. The choice, is yours…

We have been at this turning point before. 50 years ago…

I began by saying that our history will be what we make it. If we go on as we are, then history will take its revenge, and retribution will not limp in catching up with us.

We are to a large extent an imitative society. If one or two or three corporations would undertake to devote just a small traction of their advertising appropriation along the lines that I have suggested, the procedure would grow by contagion; the economic burden would be bearable, and there might ensue a most exciting adventure–exposure to ideas and the bringing of reality into the homes of the nation.

To those who say people wouldn’t look; they wouldn’t be interested; they’re too complacent, indifferent and insulated, I can only reply: There is, in one reporter’s opinion, considerable evidence against that contention. But even if they are right, what have they got to lose? Because if they are right, and this instrument is good for nothing but to entertain, amuse and insulate, then the tube is flickering now and we will soon see that the whole struggle is lost.

This instrument can teach, it can illuminate; yes, and it can even inspire. But it can do so only to the extent that humans are determined to use it to those ends. Otherwise it is merely wires and lights in a box.

Good Night. And Good Luck

Edward R. Murrow
RTNDA Convention Chicago
October 15, 1958

from the film “Good Night and Good Luck” (original was not recorded)… full original transcript below.

This just might do nobody any good. At the end of this discourse a few people may accuse this reporter of fouling his own comfortable nest, and your organization may be accused of having given hospitality to heretical and even dangerous thoughts. But the elaborate structure of networks, advertising agencies and sponsors will not be shaken or altered. It is my desire, if not my duty, to try to talk to you journeymen with some candor about what is happening to radio and television.

I have no technical advice or counsel to offer those of you who labor in this vineyard that produces words and pictures. You will forgive me for not telling you that instruments with which you work are miraculous, that your responsibility is unprecedented or that your aspirations are frequently frustrated. It is not necessary to remind you that the fact that your voice is amplified to the degree where it reaches from one end of the country to the other does not confer upon you greater wisdom or understanding than you possessed when your voice reached only from one end of the bar to the other. All of these things you know.

If what I have to say is responsible, then I alone am responsible for the saying of it. Seeking neither approbation from my employers, nor new sponsors, nor acclaim from the critics of radio and television, I cannot well be disappointed. Believing that potentially the commercial system of broadcasting as practiced in this country is the best and freest yet devised, I have decided to express my concern about what I believe to be happening to radio and television. These instruments have been good to me beyond my due. There exists in mind no reasonable grounds for personal complaint. I have no feud, either with my employers, any sponsors, or with the professional critics of radio and television. But I am seized with an abiding fear regarding what these two instruments are doing to our society, our culture and our heritage.

Our history will be what we make it. And if there are any historians about fifty or a hundred years from now, and there should be preserved the kinescopes for one week of all three networks, they will there find recorded in black and white, or color, evidence of decadence, escapism and insulation from the realities of the world in which we live. I invite your attention to the television schedules of all networks between the hours of 8 and 11 p.m., Eastern Time. Here you will find only fleeting and spasmodic reference to the fact that this nation is in mortal danger. There are, it is true, occasional informative programs presented in that intellectual ghetto on Sunday afternoons. But during the daily peak viewing periods, television in the main insulates us from the realities of the world in which we live. If this state of affairs continues, we may alter an advertising slogan to read: LOOK NOW, PAY LATER.

For surely we shall pay for using this most powerful instrument of communication to insulate the citizenry from the hard and demanding realities which must be faced if we are to survive. I mean the word survive literally. If there were to be a competition in indifference, or perhaps in insulation from reality, then Nero and his fiddle, Chamberlain and his umbrella, could not find a place on an early afternoon sustaining show. If Hollywood were to run out of Indians, the program schedules would be mangled beyond all recognition. Then some courageous soul with a small budget might be able to do a documentary telling what, in fact, we have done–and are still doing–to the Indians in this country. But that would be unpleasant. And we must at all costs shield the sensitive citizens from anything that is unpleasant.

I am entirely persuaded that the American public is more reasonable, restrained and more mature than most of our industry’s program planners believe. Their fear of controversy is not warranted by the evidence. I have reason to know, as do many of you, that when the evidence on a controversial subject is fairly and calmly presented, the public recognizes it for what it is–an effort to illuminate rather than to agitate.

Several years ago, when we undertook to do a program on Egypt and Israel, well-meaning, experienced and intelligent friends shook their heads and said, “This you cannot do–you will be handed your head. It is an emotion-packed controversy, and there is no room for reason in it.” We did the program. Zionists, anti-Zionists, the friends of the Middle East, Egyptian and Israeli officials said, with a faint tone of surprise, “It was a fair count. The information was there. We have no complaints.”

Our experience was similar with two half-hour programs dealing with cigarette smoking and lung cancer. Both the medical profession and the tobacco industry cooperated in a rather wary fashion. But in the end of the day they were both reasonably content. The subject of radioactive fall-out and the banning of nuclear tests was, and is, highly controversial. But according to what little evidence there is, viewers were prepared to listen to both sides with reason and restraint. This is not said to claim any special or unusual competence in the presentation of controversial subjects, but rather to indicate that timidity in these areas is not warranted by the evidence.

Recently, network spokesmen have been disposed to complain that the professional critics of television have been “rather beastly.” There have been hints that somehow competition for the advertising dollar has caused the critics of print to gang up on television and radio. This reporter has no desire to defend the critics. They have space in which to do that on their own behalf. But it remains a fact that the newspapers and magazines are the only instruments of mass communication which remain free from sustained and regular critical comment. If the network spokesmen are so anguished about what appears in print, let them come forth and engage in a little sustained and regular comment regarding newspapers and magazines. It is an ancient and sad fact that most people in network television, and radio, have an exaggerated regard for what appears in print. And there have been cases where executives have refused to make even private comment or on a program for which they were responsible until they heard’d the reviews in print. This is hardly an exhibition confidence.

The oldest excuse of the networks for their timidity is their youth. Their spokesmen say, “We are young; we have not developed the traditions nor acquired the experience of the older media.” If they but knew it, they are building those traditions, creating those precedents everyday. Each time they yield to a voice from Washington or any political pressure, each time they eliminate something that might offend some section of the community, they are creating their own body of precedent and tradition. They are, in fact, not content to be “half safe.”

Nowhere is this better illustrated than by the fact that the chairman of the Federal Communications Commission publicly prods broadcasters to engage in their legal right to editorialize. Of course, to undertake an editorial policy, overt and clearly labeled, and obviously unsponsored, requires a station or a network to be responsible. Most stations today probably do not have the manpower to assume this responsibility, but the manpower could be recruited. Editorials would not be profitable; if they had a cutting edge, they might even offend. It is much easier, much less troublesome, to use the money-making machine of television and radio merely as a conduit through which to channel anything that is not libelous, obscene or defamatory. In that way one has the illusion of power without responsibility.

So far as radio–that most satisfying and rewarding instrument–is concerned, the diagnosis of its difficulties is rather easy. And obviously I speak only of news and information. In order to progress, it need only go backward. To the time when singing commercials were not allowed on news reports, when there was no middle commercial in a 15-minute news report, when radio was rather proud, alert and fast. I recently asked a network official, “Why this great rash of five-minute news reports (including three commercials) on weekends?” He replied, “Because that seems to be the only thing we can sell.”

In this kind of complex and confusing world, you can’t tell very much about the why of the news in broadcasts where only three minutes is available for news. The only man who could do that was Elmer Davis, and his kind aren’t about any more. If radio news is to be regarded as a commodity, only acceptable when saleable, then I don’t care what you call it–I say it isn’t news.

One of the minor tragedies of television news and information is that the networks will not even defend their vital interests. When my employer, CBS, through a combination of enterprise and good luck, did an interview with Nikita Khrushchev, the President uttered a few ill-chosen, uninformed words on the subject, and the network practically apologized. This produced a rarity. Many newspapers defended the CBS right to produce the program and commended it for initiative. But the other networks remained silent.

Likewise, when John Foster Dulles, by personal decree, banned American journalists from going to Communist China, and subsequently offered contradictory explanations, for his fiat the networks entered only a mild protest. Then they apparently forgot the unpleasantness. Can it be that this national industry is content to serve the public interest only with the trickle of news that comes out of Hong Kong, to leave its viewers in ignorance of the cataclysmic changes that are occurring in a nation of six hundred million people? I have no illusions about the difficulties reporting from a dictatorship, but our British and French allies have been better served–in their public interest–with some very useful information from their reporters in Communist China.

One of the basic troubles with radio and television news is that both instruments have grown up as an incompatible combination of show business, advertising and news. Each of the three is a rather bizarre and demanding profession. And when you get all three under one roof, the dust never settles. The top management of the networks with a few notable exceptions, has been trained in advertising, research, sales or show business. But by the nature of the coporate structure, they also make the final and crucial decisions having to do with news and public affairs. Frequently they have neither the time nor the competence to do this. It is not easy for the same small group of men to decide whether to buy a new station for millions of dollars, build a new building, alter the rate card, buy a new Western, sell a soap opera, decide what defensive line to take in connection with the latest Congressional inquiry, how much money to spend on promoting a new program, what additions or deletions should be made in the existing covey or clutch of vice-presidents, and at the same time– frequently on the same long day–to give mature, thoughtful consideration to the manifold problems that confront those who are charged with the responsibility for news and public affairs.

Sometimes there is a clash between the public interest and the corporate interest. A telephone call or a letter from the proper quarter in Washington is treated rather more seriously than a communication from an irate but not politically potent viewer. It is tempting enough to give away a little air time for frequently irresponsible and unwarranted utterances in an effort to temper the wind of criticism.

Upon occasion, economics and editorial judgment are in conflict. And there is no law which says that dollars will be defeated by duty. Not so long ago the President of the United States delivered a television address to the nation. He was discoursing on the possibility or probability of war between this nation and the Soviet Union and Communist China–a reasonably compelling subject. Two networks CBS and NBC, delayed that broadcast for an hour and fifteen minutes. If this decision was dictated by anything other than financial reasons, the networks didn’t deign to explain those reasons. That hour-and-fifteen-minute delay, by the way, is about twice the time required for an ICBM to travel from the Soviet Union to major targets in the United States. It is difficult to believe that this decision was made by men who love, respect and understand news.

So far, I have been dealing largely with the deficit side of the ledger, and the items could be expanded. But I have said, and I believe, that potentially we have in this country a free enterprise system of radio and television which is superior to any other. But to achieve its promise, it must be both free and enterprising. There is no suggestion here that networks or individual stations should operate as philanthropies. But I can find nothing in the Bill of Rights or the Communications Act which says that they must increase their net profits each year, lest the Republic collapse. I do not suggest that news and information should be subsidized by foundations or private subscriptions. I am aware that the networks have expended, and are expending, very considerable sums of money on public affairs programs from which they cannot hope to receive any financial reward. I have had the privilege at CBS of presiding over a considerable number of such programs. I testify, and am able to stand here and say, that I have never had a program turned down by my superiors because of the money it would cost.

But we all know that you cannot reach the potential maximum audience in marginal time with a sustaining program. This is so because so many stations on the network–any network–will decline to carry it. Every licensee who applies for a grant to operate in the public interest, convenience and necessity makes certain promises as to what he will do in terms of program content. Many recipients of licenses have, in blunt language, welshed on those promises. The money-making machine somehow blunts their memories. The only remedy for this is closer inspection and punitive action by the F.C.C. But in the view of many this would come perilously close to supervision of program content by a federal agency.

So it seems that we cannot rely on philanthropic support or foundation subsidies; we cannot follow the “sustaining route”–the networks cannot pay all the freight–and the F.C.C. cannot or will not discipline those who abuse the facilities that belong to the public. What, then, is the answer? Do we merely stay in our comfortable nests, concluding that the obligation of these instruments has been discharged when we work at the job of informing the public for a minimum of time? Or do we believe that the preservation of the Republic is a seven-day-a-week job, demanding more awareness, better skills and more perseverance than we have yet contemplated.

I am frightened by the imbalance, the constant striving to reach the largest possible audience for everything; by the absence of a sustained study of the state of the nation. Heywood Broun once said, “No body politic is healthy until it begins to itch.” I would like television to produce some itching pills rather than this endless outpouring of tranquilizers. It can be done. Maybe it won’t be, but it could. Let us not shoot the wrong piano player. Do not be deluded into believing that the titular heads of the networks control what appears on their networks. They all have better taste. All are responsible to stockholders, and in my experience all are honorable men. But they must schedule what they can sell in the public market.

And this brings us to the nub of the question. In one sense it rather revolves around the phrase heard frequently along Madison Avenue: The Corporate Image. I am not precisely sure what this phrase means, but I would imagine that it reflects a desire on the part of the corporations who pay the advertising bills to have the public image, or believe that they are not merely bodies with no souls, panting in pursuit of elusive dollars. They would like us to believe that they can distinguish between the public good and the private or corporate gain. So the question is this: Are the big corporations who pay the freight for radio and television programs wise to use that time exclusively for the sale of goods and services? Is it in their own interest and that of the stockholders so to do? The sponsor of an hour’s television program is not buying merely the six minutes devoted to commercial message. He is determining, within broad limits, the sum total of the impact of the entire hour. If he always, invariably, reaches for the largest possible audience, then this process of insulation, of escape from reality, will continue to be massively financed, and its apologist will continue to make winsome speeches about giving the public what it wants, or “letting the public decide.”

I refuse to believe that the presidents and chairmen of the boards of these big corporations want their corporate image to consist exclusively of a solemn voice in an echo chamber, or a pretty girl opening the door of a refrigerator, or a horse that talks. They want something better, and on occasion some of them have demonstrated it. But most of the men whose legal and moral responsibility it is to spend the stockholders’ money for advertising are removed from the realities of the mass media by five, six, or a dozen contraceptive layers of vice-presidents, public relations counsel and advertising agencies. Their business is to sell goods, and the competition is pretty tough.

But this nation is now in competition with malignant forces of evil who are using every instrument at their command to empty the minds of their subjects and fill those minds with slogans, determination and faith in the future. If we go on as we are, we are protecting the mind of the American public from any real contact with the menacing world that squeezes in upon us. We are engaged in a great experiment to discover whether a free public opinion can devise and direct methods of managing the affairs of the nation. We may fail. But we are handicapping ourselves needlessly.

Let us have a little competition. Not only in selling soap, cigarettes and automobiles, but in informing a troubled, apprehensive but receptive public. Why should not each of the 20 or 30 big corporations which dominate radio and television decide that they will give up one or two of their regularly scheduled programs each year, turn the time over to the networks and say in effect: “This is a tiny tithe, just a little bit of our profits. On this particular night we aren’t going to try to sell cigarettes or automobiles; this is merely a gesture to indicate our belief in the importance of ideas.” The networks should, and I think would, pay for the cost of producing the program. The advertiser, the sponsor, would get name credit but would have nothing to do with the content of the program. Would this blemish the corporate image? Would the stockholders object? I think not. For if the premise upon which our pluralistic society rests, which as I understand it is that if the people are given sufficient undiluted information, they will then somehow, even after long, sober second thoughts, reach the right decision–if that premise is wrong, then not only the corporate image but the corporations are done for.

Just once in a while let us exalt the importance of ideas and information. Let us dream to the extent of saying that on a given Sunday night the time normally occupied by Ed Sullivan is given over to a clinical survey of the state of American education, and a week or two later the time normally used by Steve Allen is devoted to a thoroughgoing study of American policy in the Middle East. Would the corporate image of their respective sponsors be damaged? Would the stockholders rise up in their wrath and complain? Would anything happen other than that a few million people would have received a little illumination on subjects that may well determine the future of this country, and therefore the future of the corporations? This method would also provide real competition between the networks as to which could outdo the others in the palatable presentation of information. It would provide an outlet for the young men of skill, and there are some even of dedication, who would like to do something other than devise methods of insulating while selling.

There may be other and simpler methods of utilizing these instruments of radio and television in the interests of a free society. But I know of none that could be so easily accomplished inside the framework of the existing commercial system. I don’t know how you would measure the success or failure of a given program. And it would be hard to prove the magnitude of the benefit accruing to the corporation which gave up one night of a variety or quiz show in order that the network might marshal its skills to do a thorough-going job on the present status of NATO, or plans for controlling nuclear tests. But I would reckon that the president, and indeed the majority of shareholders of the corporation who sponsored such a venture, would feel just a little bit better about the corporation and the country.

It may be that the present system, with no modifications and no experiments, can survive. Perhaps the money-making machine has some kind of built-in perpetual motion, but I do not think so. To a very considerable extent the media of mass communications in a given country reflect the political, economic and social climate in which they flourish. That is the reason ours differ from the British and French, or the Russian and Chinese. We are currently wealthy, fat, comfortable and complacent. We have currently a built-in allergy to unpleasant or disturbing information. Our mass media reflect this. But unless we get up off our fat surpluses and recognize that television in the main is being used to distract, delude, amuse and insulate us, then television and those who finance it, those who look at it and those who work at it, may see a totally different picture too late.

I do not advocate that we turn television into a 27-inch wailing wall, where longhairs constantly moan about the state of our culture and our defense. But I would just like to see it reflect occasionally the hard, unyielding realities of the world in which we live. I would like to see it done inside the existing framework, and I would like to see the doing of it redound to the credit of those who finance and program it. Measure the results by Nielsen, Trendex or Silex-it doesn’t matter. The main thing is to try. The responsibility can be easily placed, in spite of all the mouthings about giving the public what it wants. It rests on big business, and on big television, and it rests at the top. Responsibility is not something that can be assigned or delegated. And it promises its own reward: good business and good television.

Perhaps no one will do anything about it. I have ventured to outline it against a background of criticism that may have been too harsh only because I could think of nothing better. Someone once said–I think it was Max Eastman–that “that publisher serves his advertiser best who best serves his readers.” I cannot believe that radio and television, or the corporation that finance the programs, are serving well or truly their viewers or listeners, or themselves.

I began by saying that our history will be what we make it. If we go on as we are, then history will take its revenge, and retribution will not limp in catching up with us.

We are to a large extent an imitative society. If one or two or three corporations would undertake to devote just a small traction of their advertising appropriation along the lines that I have suggested, the procedure would grow by contagion; the economic burden would be bearable, and there might ensue a most exciting adventure–exposure to ideas and the bringing of reality into the homes of the nation.

To those who say people wouldn’t look; they wouldn’t be interested; they’re too complacent, indifferent and insulated, I can only reply: There is, in one reporter’s opinion, considerable evidence against that contention. But even if they are right, what have they got to lose? Because if they are right, and this instrument is good for nothing but to entertain, amuse and insulate, then the tube is flickering now and we will soon see that the whole struggle is lost.

This instrument can teach, it can illuminate; yes, and it can even inspire. But it can do so only to the extent that humans are determined to use it to those ends. Otherwise it is merely wires and lights in a box.

Good Night. And Good Luck.

Edward R. Murrow
RTNDA Convention Chicago
October 15, 1958