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Up-scale radio channel seeks broad expansion
"expensive fares"

There is no question that radio channels with national coverage benefit from larger audiences and, correspondingly, a bigger piece of advertising revenues. Despite attempts by authorities to shore-up local and regional radio broadcasters, a national footprint is vastly preferred by media buyers and the broadcasters who love them. Then, too, national channels enjoy economies of scale with which local stations can rarely compete.

Russian radio channel Radio Monte Carlo is carving out bigger coverage, reported Kommersant (February 25), expanding into 30 cities by the end of the year. This will be accomplished by owner Russian Media Group (RMG) shifting terrestrial coverage from other channels in its stable and contracting new affiliates from local and regional stations. Radio Monte Carlo first arrived in Russia as a Moscow station in 2000. It is branded as an up-scale music channel for 25 to 45 year olds, a bit of jazz and a bit of pop music. Reportedly, Yandex Taxi, sort of like Uber, advised drivers to switch radio channels to Radio Monte Carlo “for expensive fares.” There is no relationship to either the Italian or French radio channels of the same name. (See more about media in the Russian Federation here)

Radio Monte Carlo has a 5.7% market share in Moscow, according to Mediascope data, and 2.6% market share nationally. Russian Media Group operates several radio channels with national or regional coverage as well as television channels and newspapers. The company was noted several years ago for announcing it would be a “patriotic” broadcaster. So far, it has only shifted one channel, from Radio Shanson in Samara, southwestern Russia.

Competitors interviewed by Kommersant were not impressed. “It’s not even about the volume of the advertising market,” said Gazprom Media Radio general director Yuri Kostin. “In the regions the market is already divided and advertisers are used to local placements.” He also added that Radio Monte Carlo has build a “successful niche” and should do well.

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