FROM THE PRESIDENT
Secret Sauces for Success
TFM’s People to Watch share the ways they get ahead in tough but enthralling media environments.
I
n the introduction to our “People to Watch” special report, TFM editor Janet Stilson writes, “The media industry continues its inexorable, fascinating and sometimes uncomfortable evolution.” That’s the best description I’ve seen for the state of the business as we enter this third decade of the 21st century. The profiles of the honorees themselves say a lot about what it takes to thrive today. Take Janet McHugh, now executive director of the TV Music License Committee. She credits her upbringing in a tough area of Baltimore for giving her the strength and communications skills she now uses to negotiate on behalf of all TV companies. Carmen Reyes, WarnerMedia’s new director of order to cash, also looks to lessons learned in her rough Brooklyn neighborhood to set her goals and find unique solutions for problems. Hearst’s Ivan Ng trained himself to step outside his comfort zone to help the company transition to new technical systems that meet today’s needs. Our fourth honoree, former MFM board member Andy Kober, now CFO of Mega Broadband, leverages lessons from early mentors to determine “where the puck is going.” I encourage you to read the stories of these four shining stars for 2020. They begin on page 25. This issue of TFM includes three other articles you won’t want to miss. Two of them look at big changes in media Our “Dear Expert” advertising. BIA’s Mark Fratrik gives his perspective on and “Last Word” what is forecast to be an incredible level of 2020 political ad spending. The firm estimates $6.6 billion in local columns bookend markets alone. The other story pertains to controversial this issue with two advertising categories, particularly marijuana and CBD looks at the FCC’s products. According to Fletcher, Heald & Hildreth attorownership rules. neys Daniel Kirkpatrick and Seth Williams, there are a number of legal and business considerations to be weighed before deciding to accept those revenue opportunities. Finally, Wolfe Research’s Marci Ryvicker, takes on “The Streaming Race.” Her premise is that it will not be about winners and losers, but about survivors. With a thoughtful categorization of the service types, their business models and some interesting projections for 2020 and beyond, she posits that factors for success include service awareness along with content popularity and value. This issue also includes our four regularly scheduled columns. John Sloan’s “Credit Where Due” takes on the conventional wisdom that it’s better to run an ad that might not be paid for than to run no ad at all. His argument, which considers sales and licensing costs, is quite compelling. Media Staffing’s Laurie Kahn writes this issue’s “Human Factor” column. She recommends companies reevaluate long-standing policies around part-time employment, flexible schedules, candidate credentials and working remotely to attract and keep the most productive workforce. Finally, our “Dear Expert” and “Last Word” columns bookend this issue with two looks at the Federal Communications Commission’s ownership rules. Lerman Senter’s Sally Buckman explains why the commission reverted to pre-2017 regulations after a 2019 ruling by the Third Circuit Court of Appeals. In what Meredith Senter, also of Lerman Senter PLLC, terms a “remarkable” situation, that court has retained the right to consider future appeals. The FCC’s next move involves the Supreme Court, which is not required to take the case. It’s an exciting time to work in media and entertainment. MFM and BCCA are proud to be your choice to keep abreast of this changing business. Mary Collins is president and CEO of MFM and BCCA; Mary.Collins@MediaFinance.org. Happy New Year!
4 The Financial Manager • January/February 2020
EDITORIAL ADVISORY BOARD MICHAEL DENSON Director, Credit Services NMCP GREG LECHOWSKI Market Controller, Phoenix Bonneville International CAL MOSTELLA Vice President, Treasurer WarnerMedia JOHN SANDERS Principal Bond & Pecaro MEREDITH SENTER Member Lerman Senter PLLC C. ROBIN SZABO President Szabo Associates JAMIE GRANDE MFM/BCCA Staff Liaison
CONTRIBUTORS SALLY BUCKMAN Lerman Senter PLLC MARK FRATRIK BIA Advisory Services LAURIE KAHN Media Staffing Network DANIEL KIRKPATRICK Fletcher, Heald & Hildreth MARCI RYVICKER Wolfe Research LLC MEREDITH SENTER Lerman Senter PLLC JOHN SLOAN SETH WILLIAMS Fletcher, Heald & Hildreth
