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Infinity Radio Sales joins the Rumble

Against radio's ratings giant Arbitron yesterday as Infinity Radio Sales (IRS) President, Michael Weiss wants money back and wants it retroactive to July 1st when their exclusive client station group Infinity Broadcasting decided not to renew its ratings contract as RBR First reported 6/25/04 RBR #124, and bears reading, again. Weiss told RBR, "If we can't use the numbers then we (IRS) deserve a refund." True - Weiss and his sales force can't use any data from Arbitron - period! Weiss had not officially notified Arbitron as for last night but has plans to do so early next week. RBR questioned the 'What If' scenario of a No Way from Arbitron - Weiss stated he was prepared to fight it in court if necessary.

According to Weiss IRS is between 35% to 40% of Interep's total ad billing and that is the percentage demanding back to the IRS which would be split between his profit and loss statement and salespeople (if he gets a refund). Infinity Broadcasting COO Joel Hollander is said to be putting the Arbitron dollars savings expenses back to the local salespeople in the form of bonuses for hitting certain targets and new business. Hollander also wants to start 'Radio Ratings USA.'

Remember IRS is owned by Interep the home of twelve national sales rep firms: ABC Radio Sales, SBS/Interep, and Susquehanna Radio Sales to name a few.

RBR observation:

Infinity President Joel Hollander's recent edict to give the savings in Arbitron expenses back to the local salespeople in the form of bonuses for hitting certain targets and new business will be partially followed by IRS, Weiss tells RBR. IRS will be splitting the savings (if they get them) between its salespeople and profit and loss statement.

Of course, it makes sense to get money back if you can't use the product on behalf of your client. But RBR wonders where did marching orders come from, or should we say? Na - you go figure.

Seriously, at stake - Interep could be putting itself as a company in harm's way. There has been and always will be this stigma - that's why certain groups like Citadel and possibly Saga may have left Interep for Katz - that former Viacom COO 'Zen Master' Mel Karmazin and Infinity wielded all of the power and influence inside Interep for the national dollar. Nobody likes to feel like a second tier or think they are second fiddle. We caution Interep to state this is an Infinity Radio Sales move and does not represent the views of the entire Interep company or other clients. We all know the normal end disclaimer.