Sales of digital radio sets increased by 170% in the 12 months to May, with sets now in 175,000 UK homes. And with more manufacturers targeting the sector, sales are expected to double between now and the end of the year.
Even more listeners are accessing digital radio through digital TV platforms, such as Freeview. The unexpected digital TV factor was behind the surprisingly high Rajar figures for the first digital stations, released last month.
They showed that in the first quarter of 2003, Kiss, Smash Hits Radio and Kerrang! Radio attracted 750,000 to 900,000 digital listeners.
The DRDB research revealed that 80% of digital radio buyers were buying a set to listen to new digital services, rather than merely to get improved reception of audio channels. And 90% were impressed by the ease of tuning and sound quality. However, the industry still has some way to go in raising awareness, as only 30% are aware of digital radio. Awareness is highest among those aged 15 to 44.
The research comes as the BBC launches a five-week TV, radio and online campaign this week to promote its own digital stations - 1Xtra, Five Live Sports Extra, 6 Music, BBC 7 and the Asian Network. A campaign across 250 commercial stations also broke this week with the tagline 'Does it do digital?'
The BBC has announced plans to upgrade its transmitter network to increase digital radio coverage from 65% of the UK to 85% by mid-2004.
BBC marketing and communications director Andy Duncan said three factors - an increase in digital content, the affordability and availability of sets, and more heavyweight promotion by both the BBC and the commercial sector - would make 2003 a watershed year for digital radio.
Duncan said the first listening figures for BBC's digital stations would be revealed in the autumn Rajar results.
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