Radio is Switched On Again Strategies for 2020 and Beyond
The 20,000 Foot View: Just what is radio? Radio is branded and produced show content known best in the form of live (or pre-recorded) broadcast. However, the definition of ‘radio’ is shifting away from the broadcast format and towards the content produced – programmes or shows – made available on-demand anywhere, via radio apps, smart speakers and podcasts. Radio network straplines around the world follow some form of the “radio, music, podcasts” combo. This reinvention of radio has been essential to the sector’s survival, yet takes radio into the dangerous territory of competing directly with music and audio streaming services that have been growing voraciously and absorbing more and more listener hours.
This report looks at the changing role of music radio specifically, and the sector’s current and future challenges, particularly those arising from the competitive threat of on-demand streaming services. We look at how radio has gone from a tastemaker of new music to a validator, how the recent pandemic has triggered a radio revival, how radio’s last bastion may be the car and what radio network brands can do to survive and even thrive, in the streaming era.
- Streaming services looking to steal radio audiences ad-dollars, they have moved in on key radio strongholds: the the home (smart speakers), in car and with podcasts
- The impact the above has been more just a gradual drop off audiences. Radio has seen its as the primary discovery window tastemaker usurped by streaming
- The growth apps and radio’s repositioning towards listening has been accompanied by commendable effort to hold on existing revenues
- The human in radio programming and presentation been clearly demonstrated during the and the national ‘lockdown’ isolation
- Radio programmes trending on Twitter for the time in years. Radio listening (along with news, TV and at the expense of music services
- The growth podcasts – together with commercialisation the sector spurred by Spotify’s into the market – is key factor in driving change how brands and media buyers considering audio as an advertising
- While radio doing a good job holding revenues, it continues to have significant worries when it comes audience behaviours: an ageing demographic, drop off in total listening a lack of global audience and outdated audience measurement
- Radio networks to develop new business models revenue sources, a strategy that having brands with meaning to across platforms
- For radio thrive in the streaming era, networks need to focus on in each of the key in which they compete: distribution/daypart, segments, content personalisation and business
- Radio is a subscription business and must its revenues through personalised advertising, by monetising content through licensing syndication to tech and streaming
Companies and brands mentioned in this report: A Million Ads, AdsWizz, Bauer Media, BBC, Capital FM, Global Radio, Instreamatic, Magic, NPR, Pandora/Sirius XM, Radio Radio RadioAnalyser, Sonos, Spotify, YouTube, WARM