Raycom Media

by Raja Ram

Raycom Media

Company Description:

Raycom Media Inc. engages in television and radio broadcasting through its subsidiaries. It participates in the sports marketing, video production and telecommunications. The firm also participates in video broadcasting with a focus on corporate, commercial, and manufacturing clients. In addition, they work with state and local governments nation-wide to provide systematic support in telecommunications and broadcasting. For example, one subsidiary, KCBD, broadcasts political advertisements. Below is a video that demonstrates their involvement:

http://www.youtube.com/watch?v=BhBTc1EMfNg  [3]

Raycom Media Inc currently owns and provides services for 52 stations [1]. It covers 12.6% of US households and employs over 3,500 individuals [1]. The firm is currently employee-owned and is not publically traded [1]. In addition, Raycom’s chief subsidiaries include Raycom Sports, a sports marketing firm in Charlotte, North Carolina and Broadview Media which is a post-production company in Montgomery, Alabama. They also own the rights to regional cable and syndication television to the Atlantic Coast Conference (ACC) Athletics [1].

The firm bolsters offices in Texas, Arkansas, Missouri, North Carolina and South Carolina, but is headquartered in Montgomery, Alabama. The company’s contact information and key executives are listed below [9].

Key Executives for Raycom Media, Inc [9]:

Mr. Paul H. McTear
Chief Executive Officer and President

Ms. Melissa Thurber
Chief Financial Officer and Vice President

Mr. Wayne Daugherty
Chief Operating Officer and Executive Vice President

Mr. David Folsom
Chief Technology Officer and Vice President of Technology

Ms. Rebecca Bryan
Vice President and General Counsel

Contact Information:
201 Monroe Street
RSA Tower
20th Floor
Montgomery, AL 36104
United States
Phone: 334-206-1400
Fax:334-206-1555
http://www.raycommedia.com/

Company History:

Raycom Sports was founded in 1979 [7] by Rick Ray who left his former station in order to a tap into the college basketball market.

He partnered up with Dee Birke and started buying the rights to games, and producing, syndicating, and selling commercials to cover expenses. Eventually, Ray acquired the rights to ACC sports teams by 1981 [7] after forming a joint venture with another broadcasting firm Jefferson-Pilot Sports. All syndicated programming was distributed over landlines through AT&T networks. The company flourished under a unique business model in which they purchased all advertising space from local stations, and then sold the allocated time to advertisers at a higher premium. They also incorporated a central monitoring system that allowed for easy billing the following day to advertisers.

The firm continued its successful growth based off the model that local stations broadcasting local sports could be more successful than broadcasting out of region sports programming in multiple sites. In addition, they broadcasted sports programming from ESPN, and in “blacked out” regions. Raycom also partnered with ABC and purchased airtime from the network in order to show sports programming. The deal was so successful, that up until 1995 [7], the two remained partners.

The network continued to expand its horizons and began broadcasting bowl games, and ACC championship games. In addition, they got the rights to broadcast the Charlotte Bobcats NBA games [7]. They also began airing television programming such as “More than a Game”, which featured positive stories from the sports world. They also syndicated a number of specials on the life of Elvis Presley including “Elvis Graceland” (1987) [7].

In 1992, Bert Ellis formed Ellis Communications which at the time consisted of 13 television stations [7]. Ellis was a good friend of Ray’s and acquired Raycom Sports in 1994 [7]. He consequently sold the firm to an Atlanta based pension fund, Retirement Systems of Alabama, later that year. Through the merger of three big media hubs, Raycom Media Inc was founded in 1996 [1]. Initially the merger consisted of the purchase of 15 television stations, and other networks. This included the sports marketing firm that Raycom Sports, a distribution company and two radio stations.

Current Activity

Raycom Media Inc. is currently employee-owned, and has performed moderately well in comparison to competitors. Some of the firm’s current competitors include Media General Inc., Hearst Television Inc., and Nextar Broadcasting Group Inc [4]. Although these competitors provide similar broadcasting, marketing, and television services, Raycom excels with its sports marketing division. In addition, in recent years they have made strides to advance their uniqueness by branching out onto mobile devices and tablets [5].

Since Raycom media is a privately owned firm, their financials are not made available to the public. They are however, subject to auditing by the SEC and its subsidiaries [10]. Some financial data is available. Their annual revenue is $183.6 million [8]. The firm has not reported any significant loss or inability to meet expectations in the past year.

The firm has a number of subsidiaries. These include but are not limited to the following: KAIT, KCBD,KFVS, KGMB, KHNL/KOGG/KHBC, KLTV, KOLD, KPLC, KSLA,KTRE, WAFB, WAFF, WALB, WAVE, WBRC, WBTV, WBXH, WCSC, WDAM, WDFX, WECT, WFIE, WFLX, WFXG, WIS, WLBT, WLOX, and WMBF [2].

Raycom Media has four major programs. The first is “America Now” [14] which is a lifestyle magazine with several local appeals. The second is the “ACC Network” [15]. This network broadcasts both basketball and football games of the Atlantic Coast Conference. They also broadcast a number of individual programming such as player, coaches, and team interviews. In addition, they provide feedback and analysis on games including the ACC championship games. Third is “Bounce TV” [13] which airs programming and sports directed at African Americans 20+ and provide regional original programming as well. Finally, there is “Right this Minute” which airs originally programming that connects the internet and social media to broaden the appeal of television [2].

       

The firm also provides a number of career opportunities in marketing, sales, programming, and broadcast to prospective employees. To see the different opportunities within Raycom Media, please watch the following clip [3]:

http://www.youtube.com/watch?v=x3lxtbJrF4I

Recent News

April 13, 2011: Raycom Media Inc., Cox Media Group, and The E.W Scripps Company partners up with MagicDust to create “Right this Minute”. This original programming will incorporate the internet, social media, and new storytelling methods to broaden the appeal of modern television. In addition, the programming is expected to reach 30% of American households and will be available for nationwide syndication. It will comprise of an hour-long special every weekday [9].

May 5, 2012: Raycom Media Inc announces the first ever exclusive African American programming station, Bounce TV. It is intended to reach 26 Raycom markets [2].

May 12, 2011: Raycom overhauls its broadcasting graphics system and replaces it with Chyron BlueNet graphics workflow. All 31 of its stations will now have the HD upgrade and will be outfitted with two dual-channel LEX3 on air graphics systems, a CAMIO server, and iSO monitoring application. This will allow Raycom’s networks to broadcast programming in HD and have fully automated playout as well as real-time playout. Raycom will incorporate BlueNet into its current cloud-based services [9].

May 23, 2011: MSA Security forms partnership with Raycom Media Inc.  This allows Raycom’s Media’s local news affiliates to use MSA Security’s analysis in its local news broadcasting. This includes analytics on some of the top counterterrorism operations within the past year [2].

July 12, 2011: Raycom media is recognized by PromaxBDA which represents broadcasting, cable, and advertising agencies as well as new media programming. This is one of the first steps for Raycom Media to become a national contender in broadcasting [2].

July 25, 2011: Raycom Media Inc, and Meredith Local Media sign an online pact that allows Meredith Local Media to access Raycom News Network and its digital content hub in Montgomery, Alabama [2].

September 29, 2011: Raycom Media Inc. debuts “America Now” which provides local news and broadcasting for regional areas. Upon initial airing of the program, it bolstered a strong viewership, and attracted many new viewers in “blacked out” regions [2].

January 18, 2012: Raycom Media Inc acquires New York based firm Tupeo-Honey Productions (THP) and 50% of the parent company My Tueplo Entertainment. This adds to the company’s production capacity. Most of Tupelo-Honey Production’s managing staff will remain in their current positions [2].

August 1, 2012:Raycom Media Inc. partners up with the College Football All-Star Classic to bring together the top contenders in college football in a week-long event played in Montgomery, Alabama [2].

August 13, 2012: Raycom Media Inc. launches its tablet applications for all 32 news stations. This is intended to connect consumers with local news and weather remotely. It is available for both android and iPad tablets. In addition, it includes live radar and storm tracking, breaking news push alerts, local sports including high school and college, and viewer submitted content. The application is compatible with iOS, Android, RIM, and mobile web [9].

References

1. Raycom Media Inc.–http://www.raycommedia.com/about/

2. Raycom Media News–http://www.raycommedia.com/news/

3. Youtube.com–http://www.youtube.com/watch?v=x3lxtbJrF4I, http://www.youtube.com/watch?v=BhBTc1EMfNg

4. InsideView–http://www.insideview.com/directory/raycom-media-inc

5. New York Times: BusinessWeek–http://www.nytimes.com/2003/01/31/business/the-media-business-advertising-addenda-people-111716.html

6. Robert Trent Jones Golf Trail– http://www.rtjgolf.com/partners/

7. Raycom Sports History–http://www.raycomsports.com/about-us/company-history/expanded-company-history/

8. Hoovers D&B Company–http://www.hoovers.com/company-information/cs/competition.Raycom_Media_Inc.8cc7c242ffb31d6f.html

9. Bloomberg BusinessWeek–http://investing.businessweek.com/research/stocks/private/snapshot.asp?privcapId=681777

10. Bloomberg–http://www.bloomberg.com/quote/24601Z:US/

11.Victory Management Group– http://vmg1.info/vmg-names-rick-ray-chairman-2/

12. IMD– http://www.imdb.com/

13. Bounce TV– http://www.bouncetv.com/

14. America Now — http://www.americanownews.com/

15. ACC Network– http://www.americanownews.com/

16. Right this Minute — http://www.rightthisminute.com/