Money Matters by Keith Sessions, Chief Financial Officer
Expo and trends
The AMA Expo was held January 9–11, 2015, in Ontario, California. This was my second year to attend, and it was great to meet members from the West Coast. Southern California weather sure beat the 17°F I was greeted with when I returned home and tried to start my diesel!
It appears that 2015 is going to be the year of the drones. The Consumer Electronics Show, held a week before the AMA Expo, was full of multirotors aimed at consumers who want the latest and greatest. There were many multirotors marketed at the Expo as well. This influx has created significant challenges — and a few opportunities — for the AMA.
Challenges and responses
The challenges have certainly been well documented in the media. It seems that every time you turn on the news or look at a newspaper, someone has flown a drone where it should not be flown. This has caused problems for the modeling community because we are often lumped in with these people.
AMA's financial cost has been significant. We have already spent more than $1 million on government relations. It sometimes feels as though we're trying to hold back the tide with a broom, but we are making progress.
The National Park Service has banned drones in its parks, but some of those same parks are home to active AMA clubs. These fields have not only remained intact, but many of the parks have indicated that they want more clubs. Responsible modeling is wanted; irresponsible droning is not.
AMA has challenged the FAA's latest interpretation of the Special Rule for Model Aircraft. The matter is still in the courts, but we hope to eventually reach a positive agreement. Several AMA clubs are located near large airports; we have worked with local FAA offices and airport authorities to keep these clubs open and active.
The next challenge is public opinion and the media. Sensationalized coverage ("if it bleeds, it leads") is quick to jump on any drone incident, and it is hard to fight against those stories. No matter how much money we raise for the Wounded Warrior Project on National Model Aviation Day or how much local charities receive at fun-flys throughout the year, we will rarely receive the same amount of coverage. At best, it will be a quick piece at the end of the news or a short blurb in a newspaper.
A full-blown marketing campaign would cost millions. Most people will remember the iconic Got Milk? advertising campaign that ran for more than 20 years. In its first year (1994), $37.9 million was spent on the campaign. The ads were effective, but AMA is a tad short of the money to finance such a campaign.
What we have done is hire a PR firm: CLS Strategies. As I write this, we are three weeks into the relationship and are already starting to see results with the Know Before You Fly program. This campaign was just launched; take the time to look at it. Many new drone owners do dangerous things only because they don't know any better.
AMA is also actively seeking a full-time public relations/media person. This person will have numerous contacts with national media outlets to help get us in front of the cameras and share our message.
Education and membership growth
Education is an area in which the AMA excels. An educated drone user poses no threat to the modeling community. If these people act responsibly and within our safety guidelines, then they are the same as any other modeler. Education is the key to a long-term solution.
There will always be a group of drone owners who have no desire to be responsible because they simply don't care. As Ron White so eloquently stated, "You can't fix stupid," but we can reach out to the rest.
Some feel that AMA is interested in drone users so we can "collect a quick buck." That's a fair observation, because it costs much less and takes less time to educate someone to be responsible than it does to fight the negative publicity created by an uneducated person who never knew where to go to find the answers. As the leader of the modeling community, it is AMA's duty to embrace and educate these new users.
Thousands of people are currently being introduced to modeling via drones. Anyone who has ever flown one knows that it does not take long to become bored flying a multirotor. If these people become members, they will be taught how to be safe and responsible operators. They will also be exposed to all aspects of aeromodeling through Model Aviation.
DJI reported more than $130 million in sales last year. That indicates the many people who could be converted to all aspects of model aviation. Where education is the key to a long-term solution, embracing and converting the new user is the key to long-term growth.
Summary of primary challenges
- Media and public perception driven by sensational incidents
- Legal and regulatory disputes (FAA interpretation, court actions)
- Park and airspace restrictions (e.g., National Park Service)
- Need for effective public relations and broad education efforts
Transcribed from original scans by AI. Minor OCR errors may remain.
