"We Are The Future"

I’m at a meeting of World DMB in Paris next week. World DMB? What’s that I hear you say?

According to their website, they are “...responsible for defining the standards of the Eureka-147 family which includes DAB and DAB+ for digital radio and DMB for radio and mobile TV."

They also promote “...the awareness, adoption and implementation of these services around the world. We work with sound and data broadcasters, network providers, manufacturers, governments and official bodies to encourage international co-operation and a smooth, coordinated roll-out of services.”

So basically, it’s their job to spread the word about the benefits of DAB / DAB+ digital radio to markets around the world. And they have regular meetings with their members and non-members to discuss the broad topic ‘digital radio’ rollout.

I’ve been kindly invited and talk to them about some success stories in commercial radio in Europe, and am looking forward to discussing a few case studies showing what I belive are the simple principles behind audience growth. Do these certain things, and your station will grow!

I was mentioning my forthcoming trip to someone who is still quite skeptical of a the need for radio to enter into the digital world or be part of a multi-platform future with a strong digital backbone. “Isn’t FM good enough for the future?” he said.

“Not really, if commercial radio wants to still have a viable business model in 10-20 years time” I said.

He gave me a puzzled look.

“It’s about what the advertisers will want from radio in the future” I carried on... “And if radio doesn’t offer it, they’ll simply go elsewhere”.

I then played him this...

And he smiled, and said. “Ahh. I see what you mean now”

"So this is Christmas..." 2010

It’s snowing outside my office window in the beautiful English countryside, so it must be time to write another ‘end of year posting’ as we come to the end of another exciting year in radio.

2010 has been a challenging year for many radio stations and many radio industries across the world. The difficult economic circumstances have meant a tough advertising market to operate in for the commercial stations, and many public service organisations having to make large cost-savings, which often affect programming departments and the ‘end product’ for listeners.

However, against that backdrop we see a sector that is as popular as ever with consumers. Taking the UK, the latest RAJAR (audience measurement) figures show almost 91% of the UK population tune in to radio every week, with digital radio listening hours up 23% year on year, and DAB ownership is up 10% year on year to 18.3 million adults.

And if we look at radio services delivered by the internet in the UK, we can see that 2.2 million Smartphone owners have downloaded a radio app with 16.3 million listeners claiming to have ever listened to radio via the internet.

Non-linear services are becoming increasingly important with a real growth in “radio that waits till it’s wanted”. 8.1 million adults in the UK have downloaded a podcast, and 44% of users say they listen to them at least once a week, showing how advances in technology is helping to maintain the relevance of radio and audio entertainment in a ever-changing mediascape.

The argument about the importance of radio having a multi-platform future with a strong digital broadcast backbone is, I believe, academically won. The challenge for 2011 is winning the ‘hearts and minds’ battle and the PR war that is currently being fought. Obviously, different countries are at different stages of digital adoption and it will be interesting to see how they develop over the next 12 months, but the signs are encouraging with announcements like the launch of DAB+ services in Germany in 2011.

Why does this matter for programme makers and radio creatives?

Well, for several reasons. Ensuring radio continues to be relevant for consumers is important for the healthy future of the radio industry in every country. Developments in technology mean more stations, more formats and more creative possibilities. That’s a good thing is you have great ideas and want to find a home for them. I look at the success of Absolute 80s in the UK in 2010, that has grown from ‘nothing’ to over half a million listeners across the UK on DAB in a very short space of time. That’s a niche format that has found a tribe of happy fans of 80s music on digital radio. (And it’s now joined by its siblings Absolute 90s and Absolute 00s too)

The other development that has started to take shape in 2010 in the UK is Radioplayer. It’s a simple, consistent way for users to access UK radio stations of all shapes and sizes and grow online listening as a result. It’s a partnership between the BBC and many of the big commercial radio groups and is a great example of where collaboration between public and private sectors in radio provides benefit to the industry overall. I look forward to seeing it really take off in 2011.

So, like it or not, we can’t get away from the fact that technology now shapes our industry more than ever before, but embracing this change rather than denying it has got to be the only way forward.

The good thing that hasn’t changed though is... ideas. We’re still an industry that revolves around great ideas. Great ideas for shows, great ideas for promotions, great ideas for outside broadcasts, and great ideas for music features... and the need for those great ideas is never greater.

So, let 2011 be a year we all work on generating even more great ideas for our radio stations!

Finally, in an Oscars style thanksgiving, let me thank all the clients I’ve worked with in 2010. I’ve boarded over 120 planes in the last 12 months (!) and flown all over the world to work with some great people who all love radio as much as I do, and it’s been a real pleasure to work with you all. And to those of you I’ve yet to work with... 2011 might just be the year!

So, as the snow gets thicker and I throw another log on the fire, and I hear the carols drifting from the windows of the snowy village pub... let me say Happy Christmas and Seasons Greetings to everyone... and here’s to a great 2011.

See you next year!

The UK Radioplayer

For a while, the UK radio industry have been talking about putting together an online player that delivers the option to listen to all UK radio stations from one place, whether BBC or commercial. The aim of collaboration is simple; promote the medium and then allow consumers to choose what content they want to listen to. More radio listening = better for the radio industry.

This is a massive leap forward in terms of a whole industry realising that sometimes it’s in the long term interest of ‘radio’ as an industry, to work together... whatever side of the fence you inhabit.

The video below is a mocked up version of what it may look like, previewed by Tim Davie (The BBC’s top Audio and Music man) at the Media Festival in Manchester. I like the way it allows commercial stations to still ‘be commercial’ and not lose the revenue opportunities of having an collaborative industry wide ‘radio player’.

If it’s anything like the mock up, it will be pretty cool... especially when it goes mobile too!

Let’s not forget the share of internet listening in the UK according to the last RAJAR numbers is still only 2.2% (compared to 13.3% for DAB)... but anything which makes listening to a range of stations online will no doubt help to increase online listening.

I should say I am a multi-platform proponent, believing a “mixed economy” of DAB, DTV, Online and Mobile listening is where the future of listening lies. Let’s keep backing a variety of horses, and the industry as a whole will be a winner.

A Converging World

I was discussing the rather small topic of ‘convergence of technologies’ with a client this week, and we were talking about how ‘audio entertainment’, including radio, may be consumed in future. There have already been several good posts about the timely launch of the new ‘Pure Sensia’ radio yesterday. It feels to me, that this is a real step forward and places traditional radio at the centre of audio entertainment, which includes downloaded music and personal music databases, internet radio, DAB and more traditional FM services. Combine this with a great user friendly touch screen with possibilities for great visualisation, and an intuitive interface... and you know you’re looking at a big step forward in ‘radio’ hardware.

It make the ‘iPod with radio’ look a little passé really doesn’t it?

However, the point of radio needing to be included in a 'Digital Future' is something that more and more stations are cottoning on to across the world. We all know that different markets are at different stages of adoption of new technologies... but it really is only a matter of time before it comes to your country if it isn't there already. There is a march of inevitability about it, and ensuring stations are prepared to take advantage of the possibilities and monetise them successfully is something I’ll be focusing a lot of my energies on in 2010.

Here’s a great ‘short’ that is very popular at the moment. It puts into perspective the theme of a changing media landscape. If you were unsure about the necessity to adopt and integrate new technologies into your radio business, you won’t be after watching this!

7 Reasons Why 'Channel 4 Radio' Not Launching is Bad

1. DAB / commercial radio will now lack the major injection of marketing and TV exposure that Channel 4 would have given it

2. It sends out the message that there may still be serious questions over the future of DAB in the UK

3. There must now be severe doubt over whether the 2nd National Digital Multiplex will ever launch

4. Commercial radio won’t have Channel 4 to provide more high quality competition against the BBC

5. Listener’s choice will not be increased

6. Independent Producers won’t have the commissions they were expecting / looking for

7. The perception of radio a medium will not receive the ‘shot in the arm’ that having a creative player like Channel 4 involved, would have given it

Radio Festival - Glasgow 2008 - The Verdict!

So, as the whiff of ‘vats’ of mass-produced Haggis subsides, and the unmistakable hangover that cheap Scotch gives you is a now all but a distant memory, we can collectively stand back and admire the event that was ‘The Radio Festival – Glasgow 2008’.

For our international readers, although the word ‘festival’ implies images of tents, mud, pyramid stages, fire-eaters, strange pagan rituals etc… I can assure you that if you substitute the word ‘festival’ for the word ‘conference’, you’ll get more of a sense of the occasion!

Some of the more interesting stuff that occurred included the findings from the Digital Radio Working Group, much of which had been publicised in advance, but nonetheless made for quite an interesting listen. You can read the whole report for yourself here, but some of the most salient bits included the recommendation for a full migration to digital radio in the UK. When? Well – that’s the $64,000 question they dodge by saying… ‘When the market is ready’, but at latest by 2020!

With 7 Millions sets in the UK, DAB is doing quite well. But we seem to be in a bit of a no-mans land currently. We’re too far away from the tipping point to set a date for full migration, and far too far down the road to say ‘Let’s ditch DAB and go with something else’. Certainly, a lot of clever minds are on this one and it was nice to see them demonstrate that they’re thinking about it. Getting it right is the most vital thing the UK radio industry has probably ever faced.

A debate about ‘rights’ and the current agreements in place regarding PRS-MCPS and PPL, although sounding fairly dull, was actually pretty interesting. Although the guys from the collection societies stated that they “weren’t coming to get us”… I think they are! With declining physical sales and the number of illegal downloads outnumbering legal ones by a factor of 10 to 1, the record companies and artists are going to squeeze as much as they can out of anyone who uses their content, and radio is no exception. I did feel like pointing out that there are territories like the UAE, (where I work in the Dubai market), where there are no copyright agreements in place and big media organisations are paying absolutely nothing to artists for using their copyrighted material to make large profits. Meanwhile in the UK, PRS are chasing the owners of sandwich shops making sure they’ve got a licence! Perhaps they should try and recoup some money from these territories? Back at home, the ‘promotional value’ that radio offers is still a good argument, particularly in light of some interesting research that shows radio is still the most significant factor for people in discovering new music. Expect fireworks on this topic soon!

The session on the future of music radio seemed to conclude that the answer was…. speech! Well… actually it was the importance of personalities and DJ’s within the music radio setting to be honest with you. And new music, of course. People reassuringly still use the radio to hear new music. But it was nice to see some recognition of the role of the DJ as personality or ‘trusted guide’. Otherwise, we’ll all become jukeboxes with different bit of production, which anyone can replicate these days.

Other sessions worthy of a mention include the ‘Showbiz news’ session, where some argued that we’re all obsessed with the cult of celebrity and it has no place on the radio. Well at least on Radio Scotland! Rod McKenzie from BBC Radio 1 was eloquent and considered in his view on this topic and others, which is probably why overall, BBC Radio 1 News is in such a good state. He wrote some interesting thoughts about this session on his Editors Blog.

And Matthew Bannister reminded us why he rose to the dizzy heights of Director of BBC Radio and went on to become Chief Executive of BBC Production and the Corporation's first Board-level Director of Marketing and Communication. This is because he’s bloody good at getting a point across, and his view that ‘compliance is stifling creativity’ was made with both wit and gravitas. He touched on something that everyone in a creative role should remember. Don’t ‘not do’ something because you might get in trouble, or too many rules may prevent you. "Fortes fortuna adiuvat” (I knew that Latin GCSE would come in handy one day!)

Finally, a couple of less so positive points; If you’re going to have a debate about ‘localness in radio’, please get people who actually understand something about local radio on the panel! The GMG debate that kicked the festival off was really quite terrible in the choice of speakers and in the arguments that were presented. And without sounding unkind, the Community Radio sector, valid as it is, seemed to be an unnecessary distraction in the programme of sessions. I suggest that there should be a separate day for community radio, as sitting though a detailed analysis of why ‘Celtic Music Radio’ is such a success in certain parts of Glasgow, made me want to stab myself repeatedly with my cheap, disposable, ‘delegate bag’ pen.

All in all though, a worthy trip north of the border and The Radio Festival continues to be a good forum for debate of some of the key issues that face UK radio currently.

Right – I’ve had enough of rainy Britain. I’m off to Dubai to form a royalties collection agency…

"What's Your Name Again?"

So Virgin Radio has been snapped up by Absolute Radio and their backers, The Times of India Group for £53.2 Million. First, congratulations to all the team at Absolute Radio International. Those who know them, or have worked with them, know what a first rate team they are both as owners and consultants. This particular UK national licence is safe in the hands of people who are passionate about radio. Good stuff.

The interesting thing about this deal is the decision to discontinue with the ‘Virgin Radio’ brand and launch a brand new radio brand. The BBC’s James Cridland has written a thoughtful article on his personal blog about the pros and cons of this decision, and comes to the conclusion that ditching the name is a good idea. Certainly, when I was Head of Music at Virgin in the late 90’s, the audience was over 4 Million and the Virgin brand had a lot more ‘media and consumer equity’ than it has now. So, with a war chest of £15 Million to re-launch this station… what’s this thing going to be called? How do you go about dreaming up a new name?

There are different tacks you can take. You can adopt the “Does What it Says on the Tin” approach, which delivers names like… Rock Radio, Classic FM, Planet Rock and The Jazz. You kind of know what you’re going to get even if you’d never listened to these before.

Then there’s the “Evokes a Mood” approach which gives us gems like… Smooth Radio, Easy, Chill, Beat and Vibe. This is more subtle, and yet nudges at expectation without being as direct. But you do have a hint at what you were going to get.

Then there’s the “Just Call It Something Cool” type of brand. For example… Kiss, Galaxy and Xfm. If you’d just touched down in the UK and had no prior knowledge of Galaxy, you’d have no reason to suspect it’s a Dance and RnB format aimed at under 30’s. But the name’s quite a good one nonetheless.

Of course the days of naming your station after a river are hopefully gone! Yes that’s right international readers… there are plenty of stations in the UK named after a local river!! As are the days of giving your station the Latin word for ‘undefeated’ which bore significance for William the Conqueror but isn’t that great as a radio brand. Come on down ‘Invicta FM’. We know who you are!

The only time I’ve been involved in naming a station was when I worked at Virgin Radio and we had been given a place on one of the London DAB multiplexes to fill with a ‘Soul and Disco’ station. The process involved the then Operations Director Andy Mollett saying “I’m going to toilet. When I come back I want you to have a name for this station”. And “The Groove” was born!! It has since died a death... but not, I believe, as a result of its name!

But the main point is this. In the long term, listeners won’t really care about what it’s called, as long as it delivers the content and music they want. Sure… some names are better than others, but we tend to only think a brand name is bad if the brand is bad. Bad brands make bad brand names. You can call a great brand whatever you want… people will still consume it.

Launching a new radio brand in the UK gives those who had lost faith with the old Virgin Radio a chance to reappraise the station under its new guise, and for those who love it as it is… it will be reinvented as perhaps something even better. I’ll bet you this though… It won’t be in Latin, named after a river, or decided upon during a toilet break!

"It's Like Rain... on your Wedding Day"

Can this gift I received on the 9th May 2005 now be filed under 'ironic?'

Nice little plaque though, don't you think?!

The Big DAB Gamble!

This morning’s announcement by Fru Hazlitt, (CEO of GCap Media) that “DAB is not viable”, is quite a momentous moment. Far be it from me to dramatise further an already dramatic announcement, but this is huge.

You’ve probably read all the facts elsewhere, but to put this all in context, here are some of the headlines from GCap’s statement this morning:

- Closure of national DAB stations Planet Rock and The Jazz
- Sell all the Xfm stations outside London or hand the licences back
- Sell off stake in Digital One Multiplex
- Abandon Capital’s ‘2 ads in a row’ policy
- Call for the switch off of AM

This ‘defence plan’ as it has been called, is really a last throw of the dice for GCap (even if it’s Fru’s first throw at this particular table). Global are hovering ‘vulture-like’ and we’ll see what the next few weeks bring. But back to the DAB issue. The UK’s largest commercial player has come out and basically said, “We think DAB is rubbish and we’re bailing out while we can”. Is this right, or are they just responding to a difficult economic climate, cutting costs, and dealing with a legacy of investment and belief in DAB which bordered on religious fervour, from Ralph et al.

This kind of puts commercial radio in an awkward spot as they’re now very divided with Bauer seemingly doing well with The Hits, Smash Hits, Heat Radio, and Q Radio and ready to launch ‘Closer’ as a radio brand. (No coincidence the timing of the press release to herald the announcement of Ric Blaxill joining Bauer’s national digital brands! He actually joined a while ago but this bit of pro-DAB PR says to the world… “We’re still investing in DAB and doing fine thank you very much”!!) And Channel 4 constantly have to put out statements saying how committed they are to the 2nd national multiplex.

So let’s try and make sense of this all. I believe Fru’s thinking was that the best way for GCap to survive as a company was to do something dramatic. The City loves bold initiatives. You take a gamble and hope that the city / investors back you. The ‘red or black’ scenario is a common one and GCap has gone for a defensive option of cutting where it can save most… DAB. The net spend in 2007/07 was £8 Million. This, combined with the other measures announced will hopefully placate the city and investors enough to not be tempted by an improved offer from Global in the next few weeks. I thought the comment from Charles Allen on the Times Online was a good one: “You can’t shrink your way to growth”. We shall see.

The sad thing about all this is that all the papers tomorrow will write “DAB in Crisis / The End of Digital Radio / Digital Killed The Radio Star” etc. There’s no doubt that the economics of it are challenging, particularly at the moment, however there is still a belief from many within commercial radio (not to mention the BBC!) who fervently believe in it. So GCap backing out of DAB should be seen more in the context of a company trying to survive this year “It’s about the here and now” – (Fru Hazlitt), rather than sounding the death knell for a technology that is already in around a quarter of homes in the UK.

Let’s spare a thought for the people at GCap. It can’t be a great place to be today. Planet Rock and The Jazz are both really good radio stations staffed by people who want to make great radio day in day out. And the Xfm sell off will no doubt affect a large swathe of employees. Plus, I wouldn’t place much money on the newly re-launched ‘Gold’ surviving. It’s on AM and DAB… both platforms are on today’s blacklist. They’ll be a lot of good people going home tonight with rather glum faces.

Two final thoughts on what probably should have been about 5 postings! (Sorry!!)

Capital is ditching its ‘only 2 ads in a row’ policy. Last year that policy cost the company almost £6 Million. About bloody time!! It was never the ‘silver bullet’ it was trumpeted to be at the time and was a great demonstration on how to loose £6 Million a year with no tangible benefit.

And ‘Jerry’s Final Thought’ today… What a damning indictment of the post merger GCap / ‘Bernard’ era today’s announcement is. Talk about a public slap in the face. Actually - it’s more like a public flogging! (Except the perpetrators are exiting stage left with rather large cheques in their back pockets and no whip marks visible!)

This will go down as one of commercial radio’s biggest U-turns ever… and the history of this company is almost comedic if the real twists and turns were laid out for all to see. Let’s pause… take breathe… and wait for the next roll of the dice as we remember the words of American playwright Wilson Mizner…

"Gambling… The sure way of getting nothing from something!"

The Heroes of RAJAR - Qtr 2 2007

As the dust settles on another batch of RAJAR press releases and UK radio stations draw up the list of people to promote... or fire, it's time to pick out the villains and heroes... and no, not the flying senator, or indestructible cheerleader types.

There were a few main stories that are worthy of mention.

Kiss overtake Capital
Congratulations to the guys at Kiss, who have finally caught up with Capital. We've certainly discussed the possibility of them catching Capital before on this blog, and now it's happened. With Kiss at a 4.5% reach and Capital dropping to 4.1% and the reach neck and neck at 1.51 Million, there were probably two very different meetings taking place at the respective stations on RAJAR evening last week.

Kiss's offering continues to sound fresh and connected to young London and the new morning show with Rickie and Melvin is starting to take root. For me, Capital's issue is not with the execution of the format. They've gone young and the product sounds fine. No, it's the strategy that I find difficult to understand. Capital seem to have left Heart and Magic to slug it out at the top, while settling for trying to pick up Radio 1, Kiss and Xfm listeners along the way. The move is bold... but I can't help thinking it won't get you to Number 1 in London again. The team in Leicester Square have a real battle on and I hope Steve Orchard's words of August 2006 where he the "believed the station had hit rock bottom", don't get rolled out too much over the next few weeks. The city certainly gave GCap a good kicking, with quotes like "GCap has marketed Capital in this quarter, so there can be no excuses for these results!" Ouch!

The Jazz... Nice!
Debuting with 334,000 listeners is a pretty nice job! Taking a listen to the station, the formula is the same as has been applied to Classic FM; take a specialist music genre, and make it as accessible to as many people as possible. Classic FM took the fear out of listening to classical music... and The Jazz will do the same for Jazz.

More for Moyles
If I was sitting in GCap Towers... or even EMAP towers for that reason, I'd find the biggest pot of money I could lay my hands on and send it all to Chris Moyles on the condition that he came to a daily show for the network I was running. (Believe me... it's been thought of!) His show goes from strength to strength and is testament to hard work, good production and 'letting the talent get on with it'. With 7.26 Million listeners a week, he can play his "Saviour of Radio 1" jingle as much as he wants now!

The Future is... Digital
More people are listening to radio and more are using digital technologies to do this. 2 Million 15-24's listen on mobile phones and almost 13% of total listening by all adults is now done on either DAB, DTV or the internet. Let's compare this figure in 12 months time to see the continued growth, and then factor in the Channel 4 effect too!

So, as ever... always something interesting to mull over. Now if only we knew someone who could paint the radio future... Hmmm... I wonder...

The Radio Festival - presents "Radio Erectus"

It takes about week to absorb the vast amount of discussion, debate and dissection of radio that the Radio Academy's annual Radio Festival spews out.

So what did we learn?

Well without doing a session by session analysis, (which would be even duller than the 'DAB Audio Quality' session many of us endured) a few key themes seemed to emerge from the mist.

In no particular order...

Channel 4's entry into radio is a good thing
Commercial radio in the UK needs a extra shot of credibility in it's arm, and a broadcaster with 25 years track record of creativity, innovation and risk-taking can only improve the image of the sector and provide the BBC with even more robust competition in some key areas. Channel 4 Radio, E4 Radio and Pure4 all promise to be great stations and the return of Talk Radio to the multiplex, as well as Sky News Radio are welcome additions to UK's radioscape.

Digital Migration is thorny subject
Turing off AM and FM is a divisive issue. Many large broadcasters want it to happen pretty quickly. Smaller broadcasters are concerned they haven't secured carriage on DAB and never will. A 2 tired system of radio is going to create confusion for listeners , but the simulcasting costs for radio stations are prohibitive in the long term. Ofcom have promised to have a look at it! But drawing a roadmap for the future that everyone agrees on looks like being a tricky task. Radio is different to TV, so we can't just follow the Digital TV migration model... but likewise we need to ensure that radio is not the 'white elephant' medium that is outdated, out of touch and out of favour.

Commercial Radio has extended the hand of friendship to the BBC
The rivalry is fierce. The war of words erupts every quarter. The BBC versus the commercial sector? "Why can't we live together...?" asked Timmy Thomas in the rather excellent song from 1974? It seems Andrew Harrison, the new CEO of RadioCentre - commercial radio's trade body, had been listening to this tune for some time prior to penning his speech. The theme was something along the lines of 'working together for the greater good of the medium'. While there are many areas that seemed to make sense, eliminating pirates, looking at Digital Migration together etc... there were a few areas which raised an eyebrow! Collaborating on content is a nice idea... so you get a commercial radio version and BBC version. Somehow, I can't see the BBC giving up exclusivity on a lot of the areas of music they cover! But the spirit of the message was a positive one and hopefully the BBC understands the importance of a healthy commercial sector. The question is "how healthy" does commercial radio want the BBC to be?

'Non-Linear Radio' is important for everyone
There's been a podcasting session at The Radio Festival since the dawn of... well... the pod! This year it felt different. We heard from amateurs using podcasts as marketing. We heard from Danny Baker who does a daily show, which may make him a lot of money in the future! And we heard from practically every corner of the industry of the importance of making radio available to listeners whenever they wanted it. Podcasting is coming of age and stations without a strategy may well be left behind. Listen again, downloading shows and podcasts must now be viewed as core activity, and not as something on the periphery.

Of course, there were plenty of sessions which provided light relief. Russell Brand is a true personality who walks the fine line between genius and madness; Jeremy Vine is about as multi-media as you can get.... Is there anything he can't do well?; And Andy Parfitt has been spending a disproportionate amount of his time with teenagers! (But as he's the Beeb's "Teen Tsar", then that's OK!)

UK radio is at a watershed moment in its evolution. It will either miss the Darwinian boat and return to the primeval media swamp as some sort of lizard like creature which didn't quite manage to make it to dry land. Or, it will adapt to it's new surroundings, learn how to survive in the changing climate and eventually walk upright. 'Radio Erectus' could be on it's way!!