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Media Sales Management and New Product Innovation: An Exploratory Study
Unformatted Document Text:  MEDIA SALES AND INNOVATION 7 beginning the value of a multicast channel. Table 2 provides quotes concerning the importance of having a valuable digital product at the disposal of a sales team. INSERT TABLE 2 ABOUT HERE An effective method for increasing motivation and the perceived value of a new product may be through the use of sales incentives or sales contests. For example, 126+ GM gives his salespeople a higher commission, a percentage of net sales, for selling airtime on his digital subchannel than is offered on his primary channel. He also ran several sales contests as the channel was originally being rolled out to increase sales and to capitalize on the large amount of commercial inventory available. In assessing the perceived value associated with a multicast channel, the voluntary carriage of multicast channels by cable systems was explored. Voluntary carriage by cable operators makes it easier for sales management to instill the value of a product to their salespeople and it makes the product accessible to a wider range of viewers, an important component of perceived value in the broadcast television industry. Three of the respondents stated specifically that it is the broadcaster-cable relationship that is the most important factor affecting the ability of broadcasters to receive voluntary carriage of their additional digital channels and services. These quotes are listed in Table 3. INSERT TABLE 3 ABOUT HERE The carriage of a broadcaster’s signals is a process of negotiation between a broadcast outlet and the cable systems within the geographic reach of its broadcast signal. Sometimes, the broadcast ownership groups and the corporate offices of cable systems are also involved in the process. Since cable systems have only limited carriage potential and the Federal Communications Commission (FCC) has ruled that a cable system is not mandated to carry a broadcaster’s multicast channels, the carriage of a broadcaster’s signal by a cable operator is a testament to the perceived value of the channel.

Authors: Holmes, Todd.
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MEDIA SALES AND INNOVATION  
 7
beginning the value of a multicast channel.  Table 2 provides quotes concerning the importance of 
having a valuable digital product at the disposal of a sales team.   
INSERT TABLE 2 ABOUT HERE
An effective method for increasing motivation and the perceived value of a new product may be 
through the use of sales incentives or sales contests.  For example, 126+ GM gives his salespeople a 
higher commission, a percentage of net sales, for selling airtime on his digital subchannel than is offered 
on his primary channel.  He also ran several sales contests as the channel was originally being rolled out 
to increase sales and to capitalize on the large amount of commercial inventory available. 
In assessing the perceived value associated with a multicast channel, the voluntary carriage of 
multicast channels by cable systems was explored.  Voluntary carriage by cable operators makes it 
easier for sales management to instill the value of a product to their salespeople and it makes the product 
accessible to a wider range of viewers, an important component of perceived value in the broadcast 
television industry.  Three of the respondents stated specifically that it is the broadcaster-cable 
relationship that is the most important factor affecting the ability of broadcasters to receive voluntary 
carriage of their additional digital channels and services.  These quotes are listed in Table 3.  
INSERT TABLE 3 ABOUT HERE
The carriage of a broadcaster’s signals is a process of negotiation between a broadcast outlet and 
the cable systems within the geographic reach of its broadcast signal.  Sometimes, the broadcast 
ownership groups and the corporate offices of cable systems are also involved in the process.  Since 
cable systems have only limited carriage potential and the Federal Communications Commission (FCC) 
has ruled that a cable system is not mandated to carry a broadcaster’s multicast channels, the carriage of 
a broadcaster’s signal by a cable operator is a testament to the perceived value of the channel.  


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