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ftm Radio Page - October 19, 2012

Chip Uncertainty
chips Digital technologies have long been seen as a universal cure-all. The media world lingered, at first, before jumping into the swamp of ever-changing digital solutions. Not tethered to legacies, technology developers pushed forward, upward, onward. There’s a chip for everything. So fast have they moved that last year’s miracle is gone forever.

 

 

They’re all holding on to their money
And for the same reason

Two sets of figures released in the UK this week, slightly related, show the dismal news economists can offer. Most all understand how consumer behavior and advertising relate, trends of the later trailing the former. And consumer electronics is a significant part of consumer spending.

Radio receiver sales are at their lowest level since UK media regulator OFCOM began issuing its quarterly Digital Progress Reports in 2006. Just 6.7 million units were sold in the 12-months ending in June, 18% lower that the Q3 2011 report. Analogue radio sales dropped by 1.5 million units one year on, offset by DAB digital radio receiver sales, which increased by 1.9 million units. Sales of DAB receivers are unchanged over the last three years.

Marketing managers surveyed for the quarterly IPA Bellweather spending barometer reported (October 17) a second quarter of lower ad budgets, revised down 5.5%. Nine months ago the same group predicted growth – albeit tiny – for 2012 ad spending in the UK. Now 35% of the marketing managers are “pessimistic” about the full year.

Lower retail sales amidst general consumer malaise reflect ” weaker than expected economic environment than many had hoped not to be operating in,” said economist Chris Williamson, quoted by Marketing Week (October 17). “The Bellwether is consistent with other surveys which suggest that the official data overstated the weakness of the economy in the first half of the year, but also suggests that economic growth slowed, and perhaps even stalled, in the third quarter. With business confidence falling further in the third quarter, prospects also look rather subdued for the rest of the year.”

New second screen app entices broadcasters
Hearing is connecting

Broadcasters have long used the “we’re listening to you” slogan to build their brands. The idea has taken a giant step in Norway with a smartphone app using audio recognition technology to connect more content to the little ‘second screen’. The Viamo app works on Android and iPhone smartphones and tablets and can ‘hear’ 10 radio channels and 40 TV channels. Lead broadcaster is national radio broadcaster P4, owned by Modern Times Group (MTG), which financially supported development.

“With the Viamo app it is simply more fun to listen to radio and watch TV,” said P4 Managing Director Kalle Lisberg in a statement. “You can find out more about the artist you are listening to, get updated traffic alerts, read the news or play a contest. You can also share experiences with friends on social media.”

Oh, and there’s an advertising hook. The app offers “a new marketing channel with content relevant ads,” said Mr. Lisberg.

“Viamo should not be a promotional app, a coupon app or a ‘pushy’ app where you have to interact,” said co-developer Jan Løve Groth, quoted by kampajne.com (October 16). It will be run by content…It will be easy.”

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