Sirius XM Sings Different Tune
First and foremost, there is the complaint that the changes came virtually without warning. I hate to be the bearer of the news here, but this is how it is done. No company in their right mind would publish something informing everyone that changes are afoot. It would create weeks of confusion, and take focus away from those charged with implementing the change. Rarely does someone get a warning when they are being layed off. One rare exception to this was when Howard announced he was coming to satellite. That change was well known, and in the end, CBS was quite frustrated that the news was known.
Secondly, there was no way that these changes could make everyone happy. Someone will always be upset, while others will be elated. It is again how things work. Sirius XM had a limited number of channel slots, and had many genres to fill those slots. The company was in the unenviable position of trying to satisfy every taste, something which in point of fact can not be done. How many Blues channels make sense? How many classic rock channels can you have? Sirius XM had many factors to consider, and first and foremost was the data that they had. They had the ability to know the popularity of every channel they broadcast for each respective service. In some cases, XM’s programming won out. In others, it was the Sirius programming that won, and in some cases, neither won, and a channel was eliminated. Rest assured that the decisions were not made in a vacuum, and the channel line-up was not born from putting all of the choices in a hat and subject to a random drawing.
People typically are adverse to change. It is one of the challenges that has faced satellite radio from the beginning. For many, the thought of paying for radio was a change that was too extreme. It took the GM deal to create the push. It took Howard Stern to drive the demand. Even then, the company has still not delivered a profit. Do additional music channels suffer to bring more talk and sports. yes, they do, but these non-music channels also have their die hard fans.
So what is a fan who lost their favorite channel to do? Cancel their subscription? Find new compelling content? My suggestion is two fold. First, explore the dial. The differences are not as stark as many may initially believe. The second is to get organized, and let Sirius XM know what you miss and why. I had suggested on the latest SiriusBuzz radio show that listeners who feel scorned should start a forum thread expressing their desire to get their favorite channel back. To date, very few have taken such action.
People also need to understand that Sirius XM has not yet made a profit. Yes, they have some expensive content deals, and that impacts the bottom line, but it still does not change the current situation. The company needs to get to profitability, and to do so, needs to appeal to the widest ranging audience possible. This may mean that for a period of time that there needs to be a more mainstream feel to the content offered. When the time comes that the mainstream content gets the company to profits, the company will then have the luxury of airing channels to more specific tastes. One suggestion I would make to Sirius XM is to have additional channels on their Internet service. This would allow the company to gauge channels prior to adding them to the main service.
While many here will be critical of my next words, I can’t help but make a point. More specifically geared content is why I enjoy Slacker so much. You can generate artist specific channels, and create a “radio station” that suits your tastes. The more you use the service, the more it becomes what you want. additionally, if there is a song you don’t like, you can ban it. If you simply are not in the mood for a particular song, skip it. The service is intuitive, simple, and best of all, very customizable. Slacker does not replace my satellite radio. It compliments it. Slacker bills itself as the solution for connoisseurs of music. For SDARS fans that are frustrated with the channel line-up, Slacker may have an appeal. However, understand that there may come a day when even Slacker needs to make changes. the RIAA charges their highest rates for Internet listening.
Position: Long SIRI.
I can understand consolidating channels. But they eliminated, the disco channel from XM and Sirius. Prior to the consolidation, both XM and Sirius had a Disco channel. Now niether one do. The Sirius web site says to go to the ’70’s channel if you want Disco. Sorry, not the same. I sent an email to Sirius but got no response.
And you can save the Disco jokes guys. I have heard them all. I also like Led Zeppelin, OK.
I will Survive. I can understand how you may feel Hussled though. I know that you are so mad that you want to Burn Baby Burn, but alas, there is no more disco.
Sorry, I do not mean to make light of your plight, but simply couldn’t resist.
I loved the Strobe & Backspin & want those back.
Tyler –
Is there something with this 69 channel # that is significant since it seems like for years they have been keeping it under 70.
Putting aside cost & maybe bandwith (sound quality), is there another reason they cannot add another 6 channels of music and bring it to 75 ?
Tyler, you are full of it with item 1.
In the past, both Sirius and XM have informed us of even the minor changes. I don’t know what it is on the Sirius side, but XM would always send out e-mails, have PDFs on their site, press, etc.
What Sirius XM did was pure BS. Somebody mentioned Charter in a previous story. Any cable company ALWAYS informs their customers of channel changes, and they never do anything that’s so disruptive without advance notice. This is not the same as advance notice of Layoffs. Sirius XM dropped the ball and it’s shameful to admit otherwise. The reason this is getting so much press attention is because they betrayed their relationship with the consumer. That is NOT how it’s done in the entertainment industry.
JRT….
Small changes do sometimes get notification. Additions get notification. Entire swaps typically do not. Have you ever listened to a radio station that changes format? One day you are listening to classic rock, and the next you have coutry. One day you are listening to one morning drive host, and the next it is someone new.
Did they betray their relationship? That depends on who you are and what you listen to. There was going to angst no matter what they did.
When Opie & Anthony were suspended from XM, there was no advanced notice. People ranted about censorship, and said that this was a betrayal by XM. Guess what. These people all calmed down, and most remained listeners. Do these people complain that the show is censored now (because it is also broadcast on terrestrial? I don’t hear many complaining.
When Playboy Radio left XM did they send out a mailer? Did XM betray NASCAR Fans when Nascar went to Sirius? Did Sirius betray Hockey fans when Hockey went to XM? Is it a betrayal when the Bridge gets taken off the air to make room for Led Zepplin?
From a consumer standpoint, you may feel that they dropped the ball. From a business standpoint, they likely followed a tried and true path.
But the thing is, consumers should trump business, because without consumers, you don’t have a business.
The Radio station thing doesn’t apply because Terrestrial Radio is free and ad supported. SatRad is more like cable. It is not subsidized by ad revenue, it is paid with a monthly subscription. It is much more like cable.
You should not compare the suspension of O&A with that as well. Suspension for bad behavior is something different.
As a matter of fact, XM did let people know a month in advance of services that were being let go. They didn’t emphasize it, but we were always informed with something like As of mm/dd/yyyy Playboy or NASCAR will no longer be available. There was never ever a sudden shock to the system. We got at least a weeks notice in the past. There was no excuse for this.
I’ll admit some people are overreacting and I’m currently okay with most of the changes. (We still need a classic dance station)
But the simple fact is, if Sirius XM breaks consumer trust, they’ll pay for it. But the coverage they are getting in the media for that idiotic move. It’s not an NAB-leftist conspiracy, it’s simply because they made a boneheaded move and now it’s biting them in the rear.
Some of you people here at Sirius Buzz, who end all your darn posts with POSITION: LONG SIRI, forget that this is a real world product and 95% of people don’t give a damn about investment crap. Please try to remember that.
You are an idiot. They should have informed us.
JRT….
just so you know…..
While I am long Sirius, I sold most of my shares long ago. What I still have in the company is what I would term “casino money”…..meaning…..I don’t sweat the ups and downs of the equity. If it goes up, that’s great. If it goes down, my lifestyle will not change the slightest.
I disclose that I have a position in the equity because I write about it.
huh….
You can call me “an idiot”‘, but what does that really accomplish?
Does it change the status of the channels?
Does it get you information that you otherwise would not have gotten?
Does it satisfy your frustration?
I hope that you taking the time to post that made you feel better about what is a frustrating situation for you.
Personally, calling people names would not be my solution, but we are all different, and have different temperments. Perhaps that explains why you have so much angst about the channel changes, and i have taken it is stride.
Cheers
JRT….
While it is true that without consumers there would be no business, a business can not survive if their customer base does not bring in enough to support the products being delivered.
I am not saying that Sirius and XM have made good deals along the way. In fact, they have some very expensive deals. Now they have to live with them, and as unfortunate as that is, it means trimming things.
At least a few good things came out of the 70’s.:)
http://www.youtube.com/watch?v.....JbXJC-GX5E
Tyler, a good article. You say, “While many here will be critical of my next words….” Not me. I offer constructive critisim when I think it can make a positive difference. I learned to keep some of my thoughts to myself after commented on Brandon’s article below on this page. I see, too, that you are catching some heat from emotionally charged responders above. Guess that goes with stepping up to write and publish. At any rate, thanks for keeping us focused forward. I think many of us saw the .20 close today coming, so no surprise there. Markets and the economy continuing to slide also not news. Sirius XM’s fate and SIRI’s along with it have yet to be revealed, though. Today on CNN Money I read a reasonable article about companry with securities in the penny stock bin. Interestingly at the bottom of the article the author mentioned that tomorrow, 11/19/08, he was going to focus on Sirius XM. Here is the link to today’s piece: A gallon of gas or a share of GM? (at http://money.cnn.com/2008/11/1.....2008111817).
PMO..
Thanks for the link to the article.
It is a nasty road to go down, and doubtful if you will ever come back from it with your money.
imho
vaporgold