Mel Karmazin said:"We've gotten hundreds of people who hated it and claimed they were going to cancel," said Karmazin "So we've analyzed all the cancellations since the rationalization...It's hard for me to understand what they don't like."
"If we took the most aggressive number of people who cancelled and we take that (away) the $120 a year (they pay) it doesn't get to a $1 million as compared to the significant amount of cost savings as a company that needs to make money," said Karmazin.
This is what I've been saying all along. While there are many upset, the numbers are just not significant enough to out weigh the savings from merging the music channels.
It is my opinion that the bulk of subscribers will continue to subscribe and that they are likely to add new subscribers through the holiday season. Many of which will only know the merged channel line-up. So for them, the worst is likely already over baring the company going out of business.
Mel overall seems positive and certainly indicates the company can survive. He doesn't even sound like bankruptcy is on the table as he feels they can get the financing they need. But even if they do the protections will keep them in business until they can restructure and keep things going. I just don't see this company failing. But who knows!
I also think in the long term most of us while not initially pleased, will eventually settle into the changes because even as it is now it is a hell of a lot better than most other options. I do think his comment "it's hard for me to understand what they don't like", probably should not have been said and does seem a bit arrogant to me. Still I am fortunately because I sort of feel that way myself, though honestly I do understand why some people don't like the changes. But like them or not, there is very little chance that it is going to change much more than them doing a bit of channel tweaking. I think those that can't deal with the changes will cancel and everyone else will just accept it and move on. In the end will those that cancel be so small that it won't really matter. Mel certainly seems to think that is the case. I am also of the opinion that some will cancel and eventually come back once they have to start dealing with iPods/MP3 players (buying music), AM/FM etc. Slacker will likely get some and those are more likely to stay with Slacker except for the fact that you get no news, talk or sports programming.
So its all a gamble! Will Mel be right?