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Radio/Audio Slides for CMR11

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Radio/Audio Slides for CMR11 3. Radio and audio 0 Figure 3.1 UK radio industry key metrics UK radio industry 2005 2006 2007 2008 2009 2010 Weekly reach of radio (% of population) 90.0% 89.8% 89.8% 89.5% 89.8% 90.6% Average weekly hours per head 21.6 21.2 20.6 20.1 19.8 20.1 BBC share of listening 54.5% 54.7% 55.0% 55.7% 55.3% 55.2% Total industry revenue £1,118m £1,126m £1,174m £1,137m £1,092m £1,123m Commercial revenue £530m £512m £522m £488m £432m £438m BBC expenditure £588m £614m £652m £649m £660m £685m Radio share of advertising spend 3.3% 3.0% 2.9% 2.8% 2.8% 2.7% DAB digital radio take-up (households) 11.1% 16.0% 22.3% 29.7% 33.4% 35.8% Source: RAJAR (all adults age 15+), Ofcom calculations based on figures in BBC Annual Report and Accounts 2010/11 note 2c (www.bbc.co.uk/annualreport), AA/Warc, broadcasters. Revenue figures are nominal. Figure 3.2 Radio industry revenue and spending 2005-2010 £ million 1174 1200 1118 1126 1137 1092 1123 1000 522 438 Total commercial 530 512 488 432 800 600 400 652 649 660 685 BBC expenditure 588 614 (estimated) 200 0 2005 2006 2007 2008 2009 2010 Source: Ofcom / operator data / BBC Annual Report 2005-2010 Note: BBC expenditure figures are estimated by Ofcom based on figures in Note 2c of the BBC Annual Report (www.bbc.co.uk/annualreport); figures in the chart are rounded and are nominal. Figure 3.3 Commercial revenue percentage change 2009-2010 All Radio National advertising Local advertising Sponsorship 6% 4.5% 4% revenue 2% 1.4% 0% -0.4% -2% -4% Percentage change in in change Percentage -6% -5.4% Source: Ofcom / operator data 2009-2010 Figure 3.4 BBC station expenditure percentage change 2009/10 – 2010/11 Annual % change of BBC radio-10% station expenditure0% 10% 20% 30% BBC Radio 3 -6.1% BBC Radio 5 Live 1.3% BBC Asian Network 4.1% BBC Local/Regional 5.8% BBC Network average 5.8% BBC Radio 4 7.0% BBC Radio 1 9.8% BBC Radio 2 12.8% BBC Radio 4 Extra 15.5% BBC 6 Music 16.1% 1Xtra from the BBC 17.0% BBC Radio 5 Live Sports Extra 19.5% Source: BBC Annual Report 2010/11 note 2c (www.bbc.co.uk/annualreport). Note that these are financial year figures, excluding BBC-wide overheads, and are therefore not directly comparable to those set out in Section 3.2.2. Figures are nominal. It should be noted that the percentage changes are based on operating expenditure for individual stations based on financial years and they do not include BBC wide overheads; as such they are not comparable with the calendar year figures that are set out in Section 3.2.2. Figure 3.5 Digital radio’s share of radio listening, Q1 2011 30% 26.5% 24.6% 24.8% 25.0% 25% 24.0% 2.0% 1.8% 2.2% 1.8% Digital 21.1% 21.1% 20.9% 1.9% 3.6% unspecified 2.9% 2.8% 3.1% 20% 2.1% 2.0% 1.7% 2.9% 4.1% 2.2% 2.1% 4.1% 4.3% 2.2% 4.0% 4.4% Internet 15% 3.6% 3.6% 3.4% DTV 10% 16.7% 15.1% 15.8% 15.3% 15.8% 13.1% 13.3% 13.7% 5% DAB Digital radio platforms share of all radio hours hours radio all of share platforms radio Digital 0% Q2 2009 Q3 2009 Q4 2009 Q1 2010 Q2 2010 Q3 2010 Q4 2010 Q1 2011 Source: RAJAR / Ipsos MORI / RSMB Note: ‘Digital unspecified’ relates to listening to digital-only stations where the survey respondent has not 5 specified the listening platform used. Figure 3.6 Ownership of DAB set, Q1 2011 Percentage of adults who claim to own a DAB set / have a DAB set in the home 40% 30% 20% 38.2% 32.1% 34.5% 27.3% 10% 19.5% 13.6% 8.1% 0% Q1 2005 Q1 2006 Q1 2007 Q1 2008 Q1 2009 Q1 2010 Q1 2011 Source: RAJAR / Ipsos MORI / RSMB Q1 2005-2011. 6 Figure 3.7 Take-up of equipment capable of receiving digital radio, Q1 2011 Year-on-year increase (pp) +2 +1 +4 Share of households 75% 93% 38% 90% Cable 11% 80% Dial-up 1% 70% 60% Terrestrial 38% 50% 40% Broadband 74% 30% 20% Satellite 43% DAB radio 38% 10% 0% Internet Digital TV DAB radio Source: Research from: Ofcom, GfK and RAJAR Q1 2010 7 Figure 3.8 BBC iPlayer quarterly radio requests Radio requests (millions) 120 105 100 96 94 95 84 84 28 On-demand 78 80 27 28 26 Simulcast 24 26 26 60 40 77 69 66 69 52 59 58 20 0 Q3 2009 Q4 2009 Q1 2010 Q2 2010 Q3 2010 Q4 2010 Q1 2011 Source: Ofcom calculates based on BBC iStats http://www.bbc.co.uk/blogs/bbcinternet/bbc_iplayer_press_pack/ 8 Figure 3.9 Change in listening hours between 2009 and 2010 All Radio All BBC All Commercial BBC network BBC local Nat commercial Local commercial 2010 weekly 1036m 571m 442m 480m 92m 115m 327m hours: Share of all 100% 55.2% 42.6% 46.3% 8.9% 11.1% 31.5% radio hours: 10% 7.0% 5% 3.7% 2.8% 2.1% 1.9% Percentage change Percentage in hours listening 1.6% 1.4% 0% Source: RAJAR, all adults (15+). Data based on calendar year 2009 - 2010 Figure 3.10 Changes in listening hours, 2010 vs. 2009, by age group Share of all 100.0% 11.6% 13.9% 17.6% 18.1% 16.7% 13.9% 8.4% radio hours: All adults 15+ 15-24 25-34 35-44 45-54 55-64 65-74 75+ 8% 6.29% 6% 3.86% 4.15% 4% 2.40% 2.14% 1.67% 2% 1.51% 0% Percentage change Percentage in hours listening -2% -4% -4.31% -6% Source: RAJAR, all adults (15+), data based on calendar years 2009 – 2010 Figure 3.11 UK commercial radio revenue and BBC radio spending £ million 1118 1174 1137 1,200 1126 1092 1123 Total 1,000 BBC expenditure (estimated) 800 660 685 Total commercial 588 614 652 649 600 National commercial 530 522 400 512 488 438 274 268 271 432 Local commercial 246 201 210 169 153 156 200 142 136 136 Commercial 91 96 100 89 0 87 94 sponsorship 2005 2006 2007 2008 2009 2010 Source: Ofcom / operator data / BBC Annual Report 2005-2010 Note: BBC expenditure figures are estimated by Ofcom based on figures in Note 2c of the BBC Annual Report (www.bbc.co.uk/annualreport); figures in the chart are rounded and are nominal. Revenue £m Share of all advertising Revenue £m Share of all advertising Figure 3.12 UK radio advertising spend and share of display advertising, 2008 – 2010 Revenue £m Share of all advertising £1000m 4% Radio advertising expenditure Radio share of all media advertising £800m 2.7% 2.8% 2.7% 3% £600m 454 404 420 2% £400m 1% £200m £0m 0% 2008 2009 2010 Source: AA/Warc Expenditure Report. Figures are nominal. www.warc.com/expenditurereport 12 Figure 3.13 Commercial radio revenue per listener £ per listener 20 £17.13 £16.59 £16.69 £15.70 15 £13.71 £13.33 10 5 0 2005 2006 2007 2008 2009 2010 Source: Broadcaster returns and RAJAR, 2005-2010. Figures are nominal. Figure 3.14 Number of commercial analogue licences owned, by group Lincs FM Guardian Media 3.7% 4.7% 6-10 stations in group UTV 18.9% 5.1% UKRD 6.7% 2-5 stations in group 9.1% Bauer Radio 13.8% Independent 15.8% Global Radio 22.2% Source: Ofcom, June 2011 Figure 3.15 Share of all radio listening hours, Q1 2011 Percentage share of listening hours Orion, 1.0% Other, 8.9% Absolute, 1.5% UTV, 3.2% BBC network, 46.1% GMG, 4.4% Bauer, 10.9% Global, 16.3% BBC local/regional, 8.7% Source: RAJAR, all adults (15+), year ending Q1 2011, does not include community radio listening Figure 3.16 Commercial radio by weekly audience reach: Q1 2011 Weekly UK audience reach 38.2% 25.9% 10.2% 8.0% 4.3% 2.6% 1.2% Annual change + 2.2pp + 1.7pp +0.7pp +0.9pp +0.9pp +0.2pp -0.1pp in reach 20,000 45% 40% 15,000 35% 30% thousands) 25% ( 10,000 19,727 20% 13,349 15% 5,000 10% 5,274 4,133 5% 2,224 1,297 639 Weekly reach Weekly 0 0% Global Bauer GMG UTV Absolute Orion Lincs FM Source: RAJAR, all adults (15+), Q1 2011. Note: pp = percentage points increase Figure 3.17 Weekly reach of BBC stations: Q1 2011 Average weekly listening (% UK adults), and year on year change BBC Radio 2 28.2% (- 0.2%) BBC Radio 1 22.9% ( 0.0%) BBC Radio 4 21.0% (+ 1.4%) BBC Local/Regional 19.8% (+ 0.3%) BBC Radio FIVE LIVE 13.1% (+ 0.3%) BBC Radio 3 4.4% (+0.5%) BBC World Service 3.5% (+1.0%) BBC 6 Music 2.5% (+ 0.5%) BBC 7 2.2% (+ 0.2%) 1Xtra from the BBC 1.7% (+ 0.4%) BBC Asian Network UK 1.0% (+0.3%) 0% 10% 20% 30% Source: RAJAR, all adults (15+), Q1 2011 Figure 3.18 BBC radio stations: spend on radio content, 2010/11 Cost (£m), (and % change year on year) BBC English Local Radio 114.8 (+4.2%) BBC Radio 4 92.8 (+7.0%) BBC Radio 5 Live 55.4 (+0.7%) BBC Radio 2 46.7 (+15.6%) BBC Radio 3 37.3 (-8.6%) BBC Radio 1 36.7 (+14.0%) BBC Radio Scotland 23.8 (-4.4%) BBC Radio Ulster / Foyle 16.2 (+12.5%) BBC Radio Wales 13.0 (-0.8%) BBC Radio Cymru 11.8 (-4.1%) BBC Asian Network 8.6 (-3.4%) BBC 1 Xtra 7.4 (+13.8%) BBC Radio 6 Music 7.3 (+12.3%) BBC Radio 4 Extra 5.3 (+6.0%) BBC Radio nan Gàidheal 3.8 (-9.5%) BBC Radio 5 Live Sports Extra 2.5 (no change) 0123456781091112131415161718192021222324252627282930313233343536373839404142434445464748495051525354555657585960616263646566676869707172737475767778798081828384858687888990919293949596979810099101102103104105106107108109110111112113114115116117118119120121122123124125126127128129130131132133134135136137138139140141142143144145146147148149150 Source: BBC Annual Report 2010/11 Part 2 (www.bbc.co.uk/annualreport).
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