There’s So Much More To Like

Michael Hedges October 25, 2013 Follow on Twitter

Broadcasting has survived it all; from consolidation and brand experiments to the digital dividend. The audience has taken it all in, tuned in and stayed loyal. Rough changes in ratings, sometimes scary, only prove how people respond. There’s value in that.

Most noticed by UK media watchers in the RAJAR radio audience survey results for the third quarter was the very ugly drop for the BBC Radio 1 breakfast (morning) show. Barbs were aimed at show host Nick Grimshaw who replaced Chris Moyles last year, ousted for being too old. And there it was; weekly reach fell 17% year on year. Blaming the DJ, as usual, is too easy.

“We're really happy that the breakfast show sounds fresher, younger and more vibrant than ever and as a result 833,000 of the show's 'over-30s' listeners have moved on to other stations,” said Radio 1 controller Ben Cooper, quoted by the BBC. And, yes, they did; about 75% of Radio 1’s loss in weekly reach appears to have moved to the Radio 2 breakfast show. With the exception of the KISS franchise and, to a lesser extent the Absolute Radio franchise, no other channels showed benefit from the Radio 1 morning ratings loss.

The national market share for BBC radio channels fell to 53.4% market share from 54.2% one year on, fairly typical for third quarter and second quarter, for that matter. The Radio 2 market share was up considerably, to 16.9% from 15.6%, though the Q3 2012 number appears suspiciously low considering the trend. Quarter-to-quarter the Radio 2 national market share was down from 17.2%. Almost all BBC radio channels lost market share year on year; news-heavy Radio 4 down to 11.8% from 12.5%, the aforementioned Radio 1 crashing to 6.6% market share from 8.1%, sports-talk Five Live to 3.7% market share from 4.4%. The exceptions were digital; 6Music lifted to 1.5% from 1.3% market share and digital sports channel Five Extra doubled its market share to 0.8% from 0.4%, live cricket matches having something to do with it.

Total daily reach was up year on year to 47.661 million from 46.623 million, 2.2%. BBC radio’s aggregate market share among 15 to 44 year olds dropped to 39.2% from 44.8%. The BBC radio market share of those 45 years and older tipped up to 63.1% from 62.1%. The digital platform share, all forms, for BBC radio rose to 36.6% from 31.6% one year on. BBC local stations aggregate national market share was unchanged at 8.1%.

UK commercial radio benefited broadly from the seasonal effect, aggregate market share up to 43.9% from 43.3% year on year. Among 15 to 44 year olds, beloved by those selling advertising, the aggregate commercial radio market share rose to 57.0% from 54.1%. Market share among old people – the 45-plus – dropped to 35.0% from 35.9%. Commercial radio’s digital platform share, all forms, rose to 33.9% from 30.7%. The ‘gap’ between aggregate national market share of BBC and commercial radio fell to just 9.5%, lowest in more than nine years, changes in RAJAR methodology along the way duly noted.

Consolidation has been the major strategy of UK commercial radio for several years. Once regulator OFCOM relaxed network rules the opportunity opened for quasi-national channels along side of the three legal ones and RAJAR measures them together. Leading among them is the Heart adult-contemporary music franchise with 4.9% national market share, down from 5.1% one year on. Sister network pop music Capital bumped up to 4.3% market share from 3.9%. Also owned by Global Radio, Classic FM, a real national channel, was slightly lower at 3.4% market share from 3.5%.

Almost certainly benefiting from turmoil among younger listeners was Bauer Media’s KISS franchise. Posting its best national market share ever, the dance music channel rose to 2.5% from 2.3% year on year. The only other national or quasi-national commercial radio brand to improve market share was Absolute Radio, up to 1.2% market share from 0.9%.

Brand extensions are a popular tactic among UK broadcasters. Absolute Radio has eight digital spin-offs in addition to the main national MW/AM channel and London FM. The KISS franchise has two new digital brand extensions; Kissstory and KissFresh. Pending regulators approval Bauer Media is acquiring Absolute Radio.

The London market couldn’t be more different from the UK national market, radio listening no exception. BBC Radio 4 remains the clear market leader in London, tarnished by the Q3 results showing a year on year market share loss to 13.9% from 15.8%. The biggest market share gain in London graced BBC Radio 2, which jumped to 11.7% from 9.2% though the Q3 2012 results look suspiciously low. BBC Radio 1 dropped to 4.4% market share from 5.8%

Hot A/C station Magic 105.4 dropped to 6.0% market share in London from 7.3% in Q3 2012. KISS 100 and Capital London were also down, raising the eyeshades about youth-oriented music stations generally. The rock oldies Absolute London franchise gained most of commercial channels in London, 3.0% from 2.0% one year on. Talk station LBC 97.3, itself a brand extension from AM/MW LBC News, jumped to 5.3% market share from 4.5%.

The 40th anniversary of commercial radio’s beginnings in the UK was highlighted a day ahead of the RAJAR survey release. In celebration, industry association RadioCentre rolled out a Kantar Media study showing how much people love commercial radio offerings, valuing it all at UB£1.49 billion and suggesting listeners would pay for the privilege.

See also in ftmKnowledge

Europe’s Radio – Northern Europe

Northern Europe’s radio has a very digital sound. And change is in the air. Economic challenges abound for both public and commercial broadcasters. The ftm Knowledge file reports on Denmark, Estonia, Finland, Iceland, Ireland, Latvia, Lithuania, Norway, Sweden and the UK. 144 pages PDF includes Resources (November 2012)

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