UK Commercial Radio Trade Groups Consolidate

Michael Hedges February 22, 2006

The battle is over. Now the war begins. UK commercial radio cannot defeat the BBC. Now it must win advertisers.

The Radio Advertising Bureau (RAB) and Commercial Radio Companies Association (CRCA) announced a merger, of sorts, this week. The most recent radio audience survey and its dreadful news for the commercial radio sector likely pushed members (read: paying members) to action. The strategy of the new body, yet unnamed, or the new chief executive, yet unnamed, will lead to far more emphasis on the creation of salable product for advertisers. The CRCA and RAB board members – UK commercial radio operators – have clearly spoken: “Sell Ads!”

“This move is positive for advertisers,” said RAB chief executive Douglas McArthur in the requisite press release, “in that it moves the RAB team closer to core decision-makers in commercial radio policy and programming.”

The RAB’s focus has always been presenting and promoting commercial radio to advertisers and their agencies. It dabbles in programming, producing the Hit40UK chart show – competitor to BBC Radio 1’s offering. The new body will likely open this door wider as individual UK broadcasters have voiced considerable interest in quasi-national programs, not simply to compete with the BBC but to give a national advertising offering to agencies.

CRCA has taken on a far more wide-ranging role. Its successes are large, most effective in lobbying for rational licensing and pushing wary commercial broadcasters into the digital age. CRCA has taken on all challenges while the RAB has kept to a single message. In the debate over electronic measurement for UK radio, CRCA and RAB have been wary, supporting RAJAR’s grueling tests. Last year both groups supported, organized and promoted UK Radio Aid, a nation-wide fund-raising event following the South Asian tsunami tragedy.

“The aim of creating a single commercial radio industry body is to pull our industry back into growth,” said CRCA chief executive Paul Brown in his addition to the press statement, “and to strengthen the position of all of its members with external organizations.”

The war UK commercial radio must win is for financial standing. Ad buyers are moving on. Commercial radio needs to be in sync. Choosing battles carefully is the secret to winning the fight.

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