Politics is a topic I studiously avoid with present (and potential) clients. Religion too. There’s nothing to be gained and much to be lost by discussing these highly charged topics. We all know this…it’s just smart business.

But on the air, “smart business” is talking politics. The current era began with Rush, beating up on Democrats and liberals three hours daily. He’s been followed by Sean Hannity, Michael Savage, etc….quite successfully. Liberals fell seriously behind in this radio war, but recently countered with Ed Schultz and Air America crew, beating up Bush and Republicans on a daily basis.

Meanwhile, U.S. politics has become so polarized that we now avoid discussing and debating it with some friends and family. What once was good-natured and stimulating has become so heated and polarized that there’s nothing to be gained and much to be lost in our personal lives too!

It’s not as if anyone’s open to changing their minds. Instead, the “righties” listen to Rush, Sean, etc. and the “lefties” listen to Ed, Al, etc. to hear them reinforce their own convictions and further demonize the other side. And so The Great Divide grows wider.

This may be good for radio. But it’s not good for America.

I don’t have psychic powers, but I have mastered The Essential Principles of Marketing. Armed with that wisdom, I am able to predict some things with absolute certainty.

For example, a few years ago Volkswagon launched a $60,000+ luxury car — the Phaeton. I knew right away that it was going to fail miserably. Had I seen the car then? Nope. Did I know its specifications? Uh Uh. Was I familiar with the features it was going to offer? Nah.

Didn’t matter!

Because I know that consumers don’t think of Volkswagen as an upscale car…they think of it as an affordable car. (And those of us who grew up when they were selling the original Beetle think of it as a downright cheap car!) The concept of VW and luxury together just doesn’t compute. And when a concept doesn’t compute, consumer’s minds ignore or reject it!

Luxury-minded minds certainly rejected the Phaeton. At its “peak,” it sold less than 1500 units a year…nowhere near its goal of 10,000. Now, VW is wisely pulling the plug on Phaeton to refocus on higher-volume vehicles.

So, if I knew that the Phaeton was going to fail, why didn’t VW know? Because its then-Chairman Ferdinand Piech wanted VW to have a flagship luxury vehicle.

Unfortunately for VW, luxury car buyers don’t give a damn about what VW’s chairman wants! All they know is, if they’re going to pay upwards of $60K for a car, it better not be pushing a VW logo.

Phaeton also made no sense because VW already had a credible brand in the near-luxury/luxury market — Audi. A year ago, the head of Audi America was fired for criticizing Phaeton and its creator. He said that Piech “was an engineer and he wanted to prove that he can build great cars, and he didn’t look at the marketing aspect, the brand aspect.”

Volkswagen’s Chairman didn’t know The Essential Principles of Marketing!

The principles apply to radio every bit as much as autos or any industry. Stations need to understand what their brands stand for and stay true to them. (Or, if it’s not working, blow them up entirely.) When stations stray from their identities, they lose…

Take “Station A” — a long-time Rock station in the Midwest. Station A’s market isn’t sophisticated…most rock fans there like “meat and potatoes rock’n'roll.” And for most of its history, Station A has delivered it — mainly classic rock with compatible currents — very successfully.

But despite Station A’s success, it also has strayed from its identity more than once, when its Program Directors got tired of meat and potatoes! They wanted to be hipper, so they added more new music and edgier production.

And every time Station A strayed from its identity, its ratings went down.

Most listeners didn’t consciously recognize that Station A changed…that didn’t “compute.” In listeners’ minds, Station A was still meat & potatoes rock’n'roll! But it didn’t deliver on their expectations, so they simply listened less!

Fortunately, because its image didn’t change, Station A was able to return to where it was and reclaim its market leadership.

The message from the experience of Station A, Volkswagen (and countless others) is clear: Your brand identity isn’t what you want it to be…it’s what listeners think it is!

And they don’t care what you want or need. Deliver on their expectations and succeed.

Have you ever left an airshift, either by choice or “involuntarily”…i.e., by getting fired? I’ve been there. Often, your final show comes before you want or expect it to…you’re let go and never get a chance to say “good-bye.”

Personalities typically resent losing the chance to say good-bye. But station managers want to avoid the good bye, because: (a) They don’t want to call attention to the fact that a personality is leaving; (b) They don’t want to risk having a personality say something negative or inappropriate; or (c) Departing personalities can be self-absorbed and not especially entertaining.

Items (b) and (c) definitely have come into play with Howard Stern’s show. Since announcing more than a year ago that he’s departing Infinity to join Sirius, Stern’s content has increasingly focused on nostalgia, his exciting plans for Sirius and his frustration with Infinity (and FCC-regulated radio in general). This obsession is reaching a crescendo now that Stern is counting down the days in his last month on terrestrial radio.

I know this because (I admit it!) I’m a Stern fan. I listen to him every morning and watched Private Parts a dozen times. But I don’t think Infinity or Stern has benefited from his extended good-bye…

For Infinity, the negatives are obvious. Aside from the scorn Howard heaps upon management daily, his show is often an extended infomercial for Sirius, his upcoming show and the channels he is programming which are already on the air!

So, Infinity made a huge mistake keeping Stern until his contract expires! Understandably, they wanted to keep the considerable revenue he generates for as long as possible. But ultimately, it’s costing them much more. The affiliates that dropped Stern early made the right choice. They may have taken an immediate ratings and revenue hit, but they avoided the infomercial and got a chance to establish their new morning shows before having to compete with their old one.

For Stern, this “longest good-bye” is a mixed bag. For sure, he benefits from using his current platform to promote his future one…something virtually unheard of in broadcast history! The downside is that his show just isn’t as entertaining or compelling as it can be. Listeners “on the fence” about spending $12.95 a month for Sirius may decide it’s just not worth it.

Meanwhile, Stern’s decades of brilliant radio is ending with a “thud.” It isn’t Stern’s fault…he has always talked about what’s going on in his life, and it has paid off for him (and his listeners) spectacularly. Unfortunately, what’s going on now is his bitter end at Infinity and that’s not a lot of fun.