| Subject: HOW DID WE GET HERE? PART 1 IT'S ALL ABOUT THE BENJAMINS |
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Date Posted: 14:16:18 12/18/21 Sat
We all are reeling from the move off of network TV to a streaming service. That "competition" was widely panned because of poor production. It has been rumored, and not disproved, that NBC's hosts quit. Apparently, they only secured the hostesses two days before the pageant. The judges were not announced until the day before the pageant. And the webcast was very amateurish, filled with gaffes so bad that one contestant had to redo her talent. Wherever the truth lies in all of this, it is a fact that there was no money put into this competition. Why? There isn't any money left. Sponsors have left the organization not just within the past few years, but over the last twenty. Let's take a look at what happened.
I am not exactly sure when the Miss America Organization became insolvent. Even into the mid 1990s, there were large corporate sponsorships which were there for a long time like Clairol, car companies, travel companies such as airlines. Slowly they started to disappear. Part of the revenue came from the telecast of the pageant. The loss of viewers and the loss of major sponsorships were occurring simultaneously. The pageant moved from NBC, which had hosted it for some 30 years or so, to ABC in 1997. The pageant stayed on ABC until 2004, when ABC decided it would no longer air the pageant. The 2004 pageant drew between 9 and 10 million viewers, which would be fantastic as of today. At the time, those numbers were probably mediocre compared to shows like American Idol, which was pulling in 30 plus million viewers for a live performance. Those of us involved in the MAO community knew this was a sign of serious trouble. The other networks were not picking up the option to broadcast the pageant. It was announced shortly after the 2004 pageant that it lost its home and there were no short-term signs of the pageant being picked up somewhere else.
It was around that time that then CEO Art McMaster decided that if the pageant would not have a home on television anymore, there would still be revenue coming in. His stated goal was that the MAO would be solvent even if they lost the ability to be on television. His idea was to partner with Children's Miracle Network and have contestants raise money if they wanted to compete at any level-local, state, or national. You would have to raise a minimum amount of money at each level to be able to compete. A part of it would go to CMN, a part of it would go to the national level, and a fraction would go to the state or local level. However, that was only around 30 percent from what I remember. Contestants were told to ask family and friends for donations. However, it was a bit duplicitous. Contestants were encouraged to say that it was for CMN that they had to raise money, but the fact that they were also raising their own funds was swept under the rug. There were some legitimate ethical questions raised about this. Not only were contestants now required to essentially raise their own money, but people were giving donations thinking they were giving to a different charity and not directly to MAO contestants. This partnership lasted for over 10 years. It is a bit unclear when it disappeared, it seemed to be around the time Gretchen Carlson took over the pageant. The partnership seemed to be a bit lopsided anyway. The MAO provided CMN with a lot of money. In return, Miss America was featured on their marathons but was never their "spokesperson." The state contestants were required to go to CMN PR events such as pancake day. They also went to children's hospitals, and nobody is going to argue that it was wrong. But it was still very lopsided. The MAO raised a lot for them and got a lot of free publicity for them with little blowback. The Osmonds were hosts for 2 years before the partnership but never thought it a good idea to show up for a pageant, perhaps assuming hosting duties in exchange for everything that was done.
The pageant eventually found a home on CMT for 2 years and then for TLC for 3 years. However, that was predicated with the pageant moving to Las Vegas and losing its home of Atlantic City. The move alienated the longtime hosts, businesses, and supporters in Atlantic City. While it was not known to the public, it was largely understood that being broadcast on cable and the contract would be largely less than network television. Things got quiet around that time regarding finances. New CEO Sam Haskell always put a positive spin on things. The pageant was able to move back to ABC for the 2011 pageant. It was announced in early 2013 that the pageant would move back home to its Atlantic City location.
Atlantic City was putting up millions of dollars each year for the pageant to come back. Some longtime supporters and local politicians had to be wooed back because of the way the move out of Atlantic City was handled. A lot of that came from local tax dollars which supported extra security. It was beneficial for the local businesses, which were thrilled to have the pageant back. The pageant was given large sums of money by Atlantic City and its businesses for its operating expenses. It was seen as a win-win, but not everybody was still happy. Eventually, ABC dropped their contract, but the MAO had to pay them to broadcast the pageant. Once again, the MAO community was concerned that the pageant had to pay to be aired. ABC also produced the show, paid hosts, etc. It had to cost a lot of money.
As this time went along, less and less were discussed about finances. During the Las Vegas years, designer Joseph Ribkoff became a wardrobe sponsor. Amway became a sponsor for a couple of years and then ended their sponsorship. Miss America Mallory Hagan graciously obtained sponsorship from a shoe company, but that relationship was short-lived as it was purportedly not handled well by Haskell. The Ribkoff sponsorship ended in around 2014. He also gave money towards the scholarships. The 2014 pageant's evening gown competition was sponsored by Tony Bowls. Contestants were given a gown by him and were required to wear it for final night competition. That was once and done. Designer Sherri Hill also sponsored the pageant and donated gowns for either the opening or final portion of the pageant. She still does sponsor the pageant, but major sponsors have all but left. As of today, the MAO has no large corporate sponsors. The revenue from CMN has disappeared. Contestants are still required to raise money, as was evidenced at the competition this week. The MAO is relying heavily, perhaps a bit too heavily, on contestants bringing in money for them.
As far as the webcast, there was no doubt very little money was put into production. It was rumored that the MAO still owes NBC money from the 2019 pageant, which would partially explain why NBC chose to put very little effort into the broadcast and it left television. No matter where the fault lies, the facts are that Thursday night's production was poorly executed. But without sufficient monies to produce a quality broadcast, these are the results you will see.
Right now with no corporate sponsorships and the ability of contestants to only be able to raise so much, the MAO is in dire financial straits. They may or may not be able to survive at the national level. There has been some talk whether state pageants would still operate independently. There is really no transparency and no real discussions on how bad things are. Until that happens, things are going to deteriorate. But if something drastic does not happen, the MAO could cease to exist. This is not hyperbole or being overdramatic. This is a legitimate concern.
Part 2 will be next, sometime tomorrow
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