Since the start of the current Rajar measurement system in 1999, the national commercial radio stations' combined share has never topped the BBC's national share. However, the gap in audience share in Q1 2008 between the BBC and national commercial radio is the biggest it has ever been.
Many blame commercial radio's poor performance on the simple fact that radio ads are a listener turn-off. Industry figures such as Fru Hazlitt, GCap Media's chief executive, have publicly blamed poor-quality ads for turning listeners off commercial radio.
Nick Hewat, sales director of Virgin Radio, said: "Commercial radio wouldn't exist without commercials. It's 15% of our content, so we have to regard it as output that we care about. The onus is on us to make it as good as we can, which is why we are about to launch a new initiative to allow consumers to have more say on the ads we play."
Alex Burrett, head of radio production at creative agency Bartle Bogle Hegarty, said less than half of his clients will put a lot of money into radio ads.
"My feeling is a great deal more money is being spent on ads for more emerging media," he explained. "A lot of clients still have the perception that the production of radio ads should be cheap as you only hear and not see them several times a day." However, other radio figures think that commercial radio simply needs to increase its focus on providing better content.
Howard Bareham, head of radio at MindShare, said: "As long as you are playing the right music, the ads don't make a difference."
Mark Story, managing director of national brands at Bauer Radio, believes commercial radio needs to focus on fewer brands.
"We only have five brands on Heat Radio and it's working for us," he said.
LONDON RADIO MARKET
- Heart's breakfast show was the most popular morning show in London, with Jamie Theakston and Harriet Scott pulling in 893,000 listeners between 6am and 9am. Magic followed with Neil Fox's show getting 831,000, just ahead of Capital's Johnny Vaughan and Denise Van Outen with 829,000
- Since Denise Van Outen joined Vaughan as co-host of Capital's breakfast show on 4 February, the average listener share has increased by only 1,000 from Q4 2008
- More than two-thirds (69%) of Londoners tune into a commercial station every week, compared with 60% who listen to a BBC station
- Bauer Radio's Magic was London's number one commercial radio station with 1.92 million listeners during Q1 2008, down from 1.97 million in the previous quarter but up from 1.81 million year on year
- Global Radio's Heart was a close second with 1.85 million listeners, marginally up on the previous quarter and up by 50,000 listeners year on year
LOCAL RADIO
Local commercial radio's audience share in Q1 2008 dropped from 31.4% to 30.3% year on year, according to the latest set of Rajars. Here, key radio industry players outline their views on local commercial radio.
Andrew Harrison, chief executive, RadioCentre
The problems for local commercial radio have been building for the past 10 years and can be put down to two things coming together. Firstly, people put more value on national celebrities, which makes it difficult for local radio stations to compete with the BBC. And secondly, local radio has lost that unique edge it once had. People don't rely upon it as much as they used to because of the emergence of other news sources such as online.
Mark Browning, programme director, Heart
Local commercial radio's performance should now start to improve as it is no longer as tied up in regulation as it was. Ofcom has now allowed local radio stations to air network news shows. People are very responsive to the big brands, so this is why networking will support local commercial radio. Being able to extend brands will help us to beat the BBC outside London. But stations will still retain localness through breakfast and drive-time shows.
Erica Taylor, group buying director, Starcom
The radio industry must find a balance between syndicated and local content - that is the key to success with local stations. I understand the need to cost cut, however, radio companies will have to spend budgets wisely on getting proper heavyweight celebrities who can be respected and enjoyed across the country.
Many blame commercial radio's poor performance on the simple fact that radio ads are a listener turn-off. Industry figures such as Fru Hazlitt, GCap Media's chief executive, have publicly blamed poor-quality ads for turning listeners off commercial radio.
Nick Hewat, sales director of Virgin Radio, said: "Commercial radio wouldn't exist without commercials. It's 15% of our content, so we have to regard it as output that we care about. The onus is on us to make it as good as we can, which is why we are about to launch a new initiative to allow consumers to have more say on the ads we play."
Alex Burrett, head of radio production at creative agency Bartle Bogle Hegarty, said less than half of his clients will put a lot of money into radio ads.
"My feeling is a great deal more money is being spent on ads for more emerging media," he explained. "A lot of clients still have the perception that the production of radio ads should be cheap as you only hear and not see them several times a day." However, other radio figures think that commercial radio simply needs to increase its focus on providing better content.
Howard Bareham, head of radio at MindShare, said: "As long as you are playing the right music, the ads don't make a difference."
Mark Story, managing director of national brands at Bauer Radio, believes commercial radio needs to focus on fewer brands.
"We only have five brands on Heat Radio and it's working for us," he said.
LONDON RADIO MARKET
- Heart's breakfast show was the most popular morning show in London, with Jamie Theakston and Harriet Scott pulling in 893,000 listeners between 6am and 9am. Magic followed with Neil Fox's show getting 831,000, just ahead of Capital's Johnny Vaughan and Denise Van Outen with 829,000
- Since Denise Van Outen joined Vaughan as co-host of Capital's breakfast show on 4 February, the average listener share has increased by only 1,000 from Q4 2008
- More than two-thirds (69%) of Londoners tune into a commercial station every week, compared with 60% who listen to a BBC station
- Bauer Radio's Magic was London's number one commercial radio station with 1.92 million listeners during Q1 2008, down from 1.97 million in the previous quarter but up from 1.81 million year on year
- Global Radio's Heart was a close second with 1.85 million listeners, marginally up on the previous quarter and up by 50,000 listeners year on year
LOCAL RADIO
Local commercial radio's audience share in Q1 2008 dropped from 31.4% to 30.3% year on year, according to the latest set of Rajars. Here, key radio industry players outline their views on local commercial radio.
Andrew Harrison, chief executive, RadioCentre
The problems for local commercial radio have been building for the past 10 years and can be put down to two things coming together. Firstly, people put more value on national celebrities, which makes it difficult for local radio stations to compete with the BBC. And secondly, local radio has lost that unique edge it once had. People don't rely upon it as much as they used to because of the emergence of other news sources such as online.
Mark Browning, programme director, Heart
Local commercial radio's performance should now start to improve as it is no longer as tied up in regulation as it was. Ofcom has now allowed local radio stations to air network news shows. People are very responsive to the big brands, so this is why networking will support local commercial radio. Being able to extend brands will help us to beat the BBC outside London. But stations will still retain localness through breakfast and drive-time shows.
Erica Taylor, group buying director, Starcom
The radio industry must find a balance between syndicated and local content - that is the key to success with local stations. I understand the need to cost cut, however, radio companies will have to spend budgets wisely on getting proper heavyweight celebrities who can be respected and enjoyed across the country.
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