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An Application to Ofcom for the Channel Islands Local DAB Digital Radio Multiplex JERSEY

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An Application to Ofcom for the Channel Islands Local DAB Digital Radio Multiplex JERSEY ALDERNEY HERM St Peter Port GUERNSEY SARK An application to Ofcom for the Channel Islands local DAB digital radio multiplex JERSEY St Helier Part A Public Section July 2019 Contents Page 3 Executive Summary 7 General Information 8 Section 51(2)(a) and (b): Extent of proposed coverage area and timetable for coverage roll-out 22 Section 51(2)(b): Timetable for commencement of services 23 Section 51(2)(c): Ability to establish and maintain proposed service 34 Section 51(2)(d): Catering for local tastes and interests 49 Section 51(2)(e): Broadening of local commercial DAB choice 50 Section 51(2)(f): Local demand or support 58 Section 51(2)(g): Fair and effective competition 64 Declaration 65 Certificate of Incorporation 2 Executive Summary Please provide a summary of your application, of no more than four pages in length. Bailiwick Broadcasting Ltd (Bailiwick) was established to apply for and, if successful, to operate the Channel Islands DAB digital radio multiplex. Bailiwick is a wholly owned subsidiary of Nation Broadcasting Ltd (Nation), the UK’s third largest operator of local radio licences. Nation owns, manages and is a shareholder in a number of multiplex licences across England, Scotland and Wales. Nation’s track record as investors in commercial and digital radio across the British Isles over 20 years, gives it the experience and credibility to offer a distinctive and attractive local multiplex proposal for the Channel Islands. As multiplex operators, Nation can demonstrate a track record of technical expertise and innovation, industry commitment and financial stability. We have considered carefully what is the most likely successful financial model for the Channel Islands and, by using our experience, contacts and interests, we have ensured a multiplex that enjoys affordable transmission and a strong line up of programme services. Our multiplex goals in the Channel Islands are to; • Launch successfully and build confidence in the local DAB platform. • Be cooperative and transparent in dealings with all stakeholders. • Achieve the best DAB coverage at the best price. • Extend competition and plurality of media ownership in the Channel Islands. • Introduce new regional radio services with relevant local content. • Promote the benefits and choice DAB offers to local listeners. As an independent multiplex operator, we are well placed to cater for the tastes and interests of listeners in the Channel Islands. We are mindful of Ofcom’s requirement to secure, among other things, “the availability throughout the United Kingdom and the Bailiwick of Jersey/Guernsey of a wide range of television and radio services which (taken as a whole) are both of high quality and calculated to appeal to a variety of tastes and interests”. We will introduce an unrivalled bouquet of services for a local multiplex launch in the British Isles, with an impressive choice and number of services that include existing analogue stations, new to terrestrial brands and established UK national services. Developing our plans, we were acutely aware of pricing and the viability of this multiplex. As service providers ourselves on other UK local multiplexes, we have experienced frustration at the pricing structures which can make operating a new service extremely challenging. Consequently, we have priced carriage on this multiplex fairly and transparently, with flexible terms, dependent on contract length and service levels. While many local multiplexes in the UK do not yet take advantage of DAB+, we have embraced it and are proud to be pioneers of its spectrum efficiency. It will allow Channel Islanders to enjoy the full benefits of the digital radio revolution, offering a large number of new and existing services and, for the first time, allowing UK commercial services coverage equivalence with BBC national services. 3 Our Programme Services We propose a range of services, catering to the widest possible range of tastes, interests and demographics. We have included a varied and innovative mix of music and speech, mainstream and niche, new and established brands, local, UK, regional and specific Island services. With something for almost every demographic, the variety on offer should encourage listeners to embrace DAB. With a significant number of confirmed service providers, including the BBC and established commercial operators, we are well placed to succeed. We will offer the existing analogue services in Jersey and Guernsey first choice to provide a nominated local service for each Island. This means they can take advantage of analogue licence rollover when their licences expire in 2020. The BBC has identified its preference for BBC Radio Jersey and BBC Radio Guernsey to use DAB+ to offer audiences both a simulcast of their current FM services alongside coverage of their respective Island parliaments. We will offer Channel 103 and Island FM the opportunity to either broadcast in original DAB or in DAB+. Maximising the use of DAB+, we have allocated capacity to a host of new services at a level that is affordable and that allows their business models to develop over time. All except one service are in stereo – an important element since we believe digital radio should both sound good and provide choice. Capacity has been allocated with an overall ambition to provide the widest possible range of services, broadening choice for the largest possible number of people and expanding the number of media owners in the market. SERVICE FORMAT LOCAL TRANSMISSION BBC Radio Jersey FM BBC Local Radio Existing FM service BBC Radio Guernsey FM BBC Local Radio Existing FM service BBC Radio Jersey AM BBC States of Jersey Assembly Coverage Existing AM service BBC Radio Guernsey AM BBC Guernsey States of Deliberation Coverage Existing AM service Adult Contemporary Adult Contemporary New to terrestrial radio Angel Radio Music and information for the over 60s New to terrestrial radio Bailiwick Radio Classics Classic pop hits New to terrestrial radio Bailiwick Radio Hits Hot adult contemporary New to terrestrial radio Channel 103 Jersey local service Existing FM service CHR Contemporary hit radio New to terrestrial radio Chris Country Country music New to terrestrial radio Crown 80s Pop and rock music from the 1980s New to terrestrial radio Crown Easy Melodic easy listening New to terrestrial radio Crown Radio Broad music from 1980s to today New to terrestrial radio Crown Rock Rock music New to terrestrial radio Gaydio Programmes for the LGBT community New to terrestrial radio Island FM Guernsey local service Existing FM service Little Radio Children’s programmes New to terrestrial radio Melodic Hits Melodic Hits New to terrestrial radio News Radio UK Rolling news and information New to terrestrial radio Community Radio Community Radio Existing FM and New Terrestrial service Radio Caroline Album music New to terrestrial radio Skylab Radio Chill-out music New to terrestrial radio Visitor Radio Channel Island tourist information New to terrestrial radio Access Radio Capacity reserved for local broadcasts New to terrestrial radio 4 Meeting the Ofcom licence award criteria Proposed coverage and timetable to launch We will launch the multiplex in Q4 2020, using 3 transmitters to deliver ‘outdoor coverage’ (e.g. to in-car and mobile receivers) to 93.43% of roads and indoor coverage (e.g. to kitchen radios) to 111,469 adults (81.97%). These coverage levels compare well to recently launched multiplexes in the UK. Ability to establish and maintain the service The number of confirmed services give us the financial stability to launch and maintain our plans. Nation has a track record of successfully launching a number of radio stations and local multiplexes across Wales, Scotland and England. Last year, we acquired the trial multiplex in Glasgow and we have transformed it by introducing a large number of new programme services and significantly improving its coverage and transmission stability. Nation is an established UK operator, having grown through licence wins and acquisition over two decades. It will provide the Channel Islands multiplex with central management, finance and engineering functions. Nation’s experience launching local FM and local multiplexes in remote parts of the UK is relevant, since it faces many of the same issues that exist in the Channel Islands, particularly high costs of transmission and low population density. Our business plan includes a large number of service providers, generating additional revenue streams to minimise costs and maximise opportunities. Catering for local tastes and interests and broadening choice Should this application be successful, the Channel Islands will enjoy more choice per head of population than most local multiplexes in the British Isles. Considering the breadth and range of services we are proposing, we did not feel it necessary to carry out any specific audience research. The range and diversity of our services to cater for local tastes and interests is clear, with stations for young and old, LGBT+, rock and country music fans and many stations providing specific Jersey, Guernsey or wider Channel Islands content. We are introducing the concept of commercial regional radio services across all of the Channel Islands for the first time. This is a radio tier in which Nation has existing experience and which has been a proven success of broadening choice in the UK. Given ITV Channel Islands is already a proven regional media broadcaster across the Channel Islands, we believe this is an excellent way to broaden choice whilst maintaining the individuality of existing Island-based stations. We reviewed current radio listening (RAJAR), current commercial radio output and local population data analysis to inform our proposals. Taken as a whole, our proposals will provide a platform for existing popular services and introduce a range of new services for all tastes and interests. 5 Demonstrating local demand and support RAJAR analysis provides evidence of existing listening and identified gaps in popularity, provision or appeal. This suggested where there is demand, support and opportunity for new and additional services.
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