The digitization of radio in Norway: not the scenic route, but the pragmatic one Tor Eide, NRK asi Venice, 2015 10.11.2015 Audience Research, NRK 1 Four questions and a statement – but not in that order 1. Norway will be the first country in the world that goes fully digital with DAB+ in 2017, and closes down the FM distribution of radio. 2. How are the radio companies using the new opportunities? 3. What’s in it for the listeners? 4. How has the radio market evolved? 5. How is electronic portable personal measurement paramount to understanding and evolving digital radio in Norway? 10.11.2015 Audience Research, NRK 2 1. Norway will be the first country in the world that closes down the FM distribution of radio, and goes fully digital with DAB+ in 2017 The five demands set by the Norwegian Government • NRKs DAB coverage must be at least 99.5 % • Commercial radio must have over 90 % DAB coverage. • There must be extra digital value. • Technically satisfactory and inexpensive solutions for car radio must exist and half of the municipalities and all counties must have an offer of retrofitting adapters. • At least 50% of daily listeners must listen digitally. 10.11.2015 Audience Research, NRK 3 2. How are the radio companies using the new opportunities? Launched new radio stations September 2013: Share September 2015: Share 3.8 16.5 5 national stations 24 national stations NRK P1 NRK P2 NRK P3 NRK P1 NRK P2 NRK P3 Radio Norge P4 other Radio Norge P4 other 10.11.2015 Audience Research, NRK 4 3. What’s in it for the listeners? National channels Music & Informations General/ Non- Entertainment & News Habit listeners x12 x3 x2 Source: NRK Segmentation study 2011/2013-14, 10.11.2015 Digitalradio Norge (radio.no) Audience Research, NRK 5 Kartverket.no 4. How has the radio market evolved? Daily reach in %, media in Norway 100 90 87 80 76 70 6967 60 60 54 50 40 30 30 20 21 10 0 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015* Newspapers Radio TV Internett Mobil Stream tv og film Facebook Stream music Source: TNS Forbruker & Media, TNS Interbuss, CATI/CAWI-data Audience Research, NRK 6 4. How has the radio market evolved? Norwegians spend 1 ½ hours on radio daily (average listening minutes daily) Norway Avg. Europe 250 193 190 200 188 187 186 185 182 179 150 100 97 97 98 99 92 90 90 100 89 50 0 Year 2007 Year 2008 Year 2009 Year 2010 Year 2011 Year 2012 Year 2013 Year 2014 Year 2015 (Oct.) Source: TNS radioundersøkelsen PPM & EBU Audience Research, NRK 7 4. How has the radio market evolved? Time spent listening 250 136 132 127 132 131 200 139 128 123 150 100 65 61 45 53 58 58 54 55 55 50 0 year 2007 year 2008 year 2009 year 2010 year 2011 year 2012 year 2013 year 2014 year 2015 (Oct.) 12 - 29 years youth Europe 10.11.2015 Audience Research, NRK 8 50%? 10.11.2015 Audience Research, NRK 9 4. How has the radio market evolved? 50 % of daily radio listeners must listening digitally (daily reach of listeners, %) 70 New channels NRK P1+ (PS/Private) 57 60 55 51 53 47 47 50 45 [SERIENAVN] 40 40 [VERDI] 36 36 30 20 10 0 Q1-2013 Q2-2013 Q3-2013 Q4-2013 Q1-2014 Q2-2014 Q3-2014 Q4-2014 Q1-2015 Q2-2015 Q3-2015 Source: DRN/MT-survey Audience Research, NRK 10 4. How has the radio market evolved? 50 % of daily radio listeners must listening digitally (daily reach of listeners, %) 70 New channels NRK P1+ (PS/Private) 57 60 55 51 53 47 47 50 45 [SERIENAVN] 40 38 38 38 36 36 35 36 40 [VERDI] 32 34 30 23 [SERIENAVN] 19 21 18 16 18 17 20 [VERDI] 15 14 13 14 15 14 10 [SERIENAVN] 0 [VERDI] Q1-2013 Q2-2013 Q3-2013 Q4-2013 Q1-2014 Q2-2014 Q3-2014 Q4-2014 Q1-2015 Q2-2015 Q3-2015 Source: DRN/MT-survey Audience Research, NRK 11 5. How is electronic portable personal measurement paramount to understanding and evolving digital radio (listening) in Norway? 10 years of Electronic measurement in Norway Zero-listeners Overnight 850 500 600 715 1000 Upgrading to PPM 360 Source: TNS radioundersøkelsen PPM Audience Research, NRK 12 5. How is electronic portable personal measurement paramount to understanding and evolving digital radio (listening) in Norway? January – September 2015, CATI vs PPM, 2 minute reach condition Daily reach % 80 66 69 60 50 49 40 32 34 20 22 14 14 15 20 10 12 6 0 Total Radio NRK Total NRK P1 NRK P2 NRK P3 P4 Radio Norge CATI 2min reach condition PPM 2min reach condition 10.11.2015 Audience Research, NRK 13 5. How is electronic portable personal measurement paramount to understanding and evolving digital radio (listening) in Norway? January – september 2015PPM vs CATI, NRK P1 Daily reach % 20 15 9 9 9 10 8 6 4 5 0 06:00 - 06:30 06:30 - 07:00 07:00 - 07:30 07:30 - 08:00 08:00 - 08:30 08:30 - 09:00 NRK P1, CATI 10.11.2015 Audience Research, NRK 14 5. How is electronic portable personal measurement paramount to understanding and evolving digital radio (listening) in Norway? September 14th 2015 PPM, NRK P1 8.0 7.0 6.0 5.0 minute 4.0 tsl 7,6 3.0 num.ses Reach pr % Reach num.ses tsl 46 min 2,1 2.0 3,4 ses.lenght 1.0 ses.lenght 13,6 2,1 0.0 06:00 06:05 06:10 06:15 06:20 06:25 06:30 06:35 06:40 06:45 06:50 06:55 07:00 07:05 07:10 07:15 07:20 07:25 07:30 07:35 07:40 07:45 07:50 07:55 08:00 08:05 08:10 08:15 08:20 08:25 08:30 08:35 08:40 08:45 08:50 08:55 10.11.2015 Audience Research, NRK 15 5. How is electronic portable personal measurement paramount to understanding and evolving digital radio (listening) in Norway? The Radio marked in Oslo/Akershus 24 national 16 local stations stations 10.11.2015 Audience Research, NRK 16 Where is radio in Norway headed? Passiv (electronic) measurement Complex marked TSL 10.11.2015 Audience Research, NRK 17 2017 Digitalradio Norge 10.11.2015 Audience Research, NRK 18.