Multiplatform radio gets a little extra
James Cridland, a radio futurologist, says “extra” is beginning to be the theme of the quarterly RAJAR radio audience figures…
The Halifax bank is probably known for two things: first, an irrationally, teeth-suckingly bad set of adverts featuring their “staff” presenting on a “radio station” that’s so appalling it would have no audience if it really existed, and second, for their old catchphrase: “get a little extra”.
I’d like, if I might, to concentrate on the latter, rather than the former: because “extra” is beginning to be the theme of the quarterly RAJAR radio audience figures, which came out today.
New platforms like DAB, the internet, and mobile apps are all changing the way that radio works. We’re not just seeing new radio stations appear, but also we’re seeing brand extensions: extra radio stations that add to the master brand’s audience figures.
The BBC are past masters at this: BBC Radio 5 Live Sports Extra has been an “extra” station for the main BBC Radio 5 Live for many years now, offering additional sports commentaries. The station only broadcasts when it’s got something to cover, leading to erratic figures, but it still contributed an extra 1.7 million hours – or an extra 3.5% – to BBC Radio 5 Live’s listening figures.
BBC Radio 7, to be apparently rebranded BBC Radio 4 Extra in 2011 if the rumours at the recent Radio Festival were to be believed, is also significantly contributing audience. Posting its best-ever figures, it now boasts 6.7 million hours – an extra 5.4% to add to BBC Radio 4.
But it’s the comparatively new kid on the block, Absolute Radio, which is showing their radio colleagues where to go. Absolute have launched a plethora of radio stations across their new platforms: from Absolute Radio Classic Rock to stations concentrating on the 80s and 90s. These additional stations, together, now account for an extra 47% on top of the main Absolute Radio service – making the Absolute Radio Network now deliver over 18 million listener hours. And, it ought to be said, these figures don’t yet tell the whole story: they don’t include Absolute Radio Extra, their new sports commentary station; nor do they include Absolute Radio 90s appearance on national digital radio.
A typical radio commentator looks at radio stations, rather than radio brands. Yet, new platforms all deliver additional opportunities for brands to expand and grow: to launch “extra” radio services that retain audiences and grow new ones. What’s important about Absolute Radio’s figures is that they typically sell their entire network to advertisers as one sale; so their multi-platform, multi-station strategy now has the potential to bring in 47% more revenue.
The digital nay-sayers will be pointing at the comparatively modest growth of digital listening – at 24.8% of all radio listening instead of the 24.6% three months ago. But they miss the point: additional radio stations, that can only be delivered over new platforms, have the capability of earning significant increases in revenue for the radio business – as well as growing the share of listening to new platforms.
“Extra” radio stations, sold as part of a network, allow the owning brand to cross-promote to their other stations without a fear of losing a lucrative listener; and they positively promote new platforms to audiences. Promising more content from your favourite brand, “Extra” services are simple to promote and valuable to the audience.
The revenue-earning freedom offered by new platforms is impressive; and it must only be a matter of time before we see spinoffs from the other stations: “Heart Club Classics”, anyone?
Indeed, the only negative about new radio platforms is that it might be possible for a bank to launch its own radio station. While listeners might enjoy the “Isa Isa Baby” joke one more time, I’d like to think that the banks will leave radio to the professionals: particularly those that understand the multi-platform world that radio is moving into.
Click here to read James’ blog