vsa said:All you can do is to slam FMQB and the author of the article, Richard Harker? Please make an attempt to counter any of his points. Do you have any? Putting down the opposition and making personal attacks is a sure sign that a person has lost the arguement. A crystal clear sign!
Ok. Like a mindless dweeb I again take your bait - Waste an hour of my day when I should be doing other things and address the 77th request for "Why doesn't anyone ever answer these guys. Here we go. this is quick and dirty, but he is quoted and I respond.
Apple took 74 days to sell one million iPhones. Despite mixed reviews, numerous glitches, a long-term service agreement, and a $600 initial price tag, they managed to move nearly 700,000 the first weekend. Nielsen BuzzMetrics reported that in the month following Apple’s iPhone announcement, Apple’s official web site had 1.79+ million unique visitors. The keyword “iPhone” was searched 870,000 times that month.
Dirtly Little secret time. The HD Alliance HASN'T spent 1/100th of the amount of money that was spent on the I-Phone in advertising. HD ads on radio are free. (I'll bet you knew that.) IF HD radio was in every other break on virtually every TV channel for 3 weeks prior to it's launch, I think honestly you'd have to admit it would have started out quicker.
In March 1997, the DVD was launched. The first year, 350,000 DVD players were sold. Despite the current format war between Blu-ray and HD DVD, something like 300,000 players were sold its first year, not counting the gaming consoles that can play Blu-Ray DVDs.
The DVD was a vastly superior technology to VHS. DVD hadn't been out for any time at all before it became obvious VHS was the 8 Track of the day. Meanwhile we continue to assure people (Correctly) that their existing radio will work forever. While radio would LIKE to have HD blow up, It won't. Steady Growth through marketing and availability? - Yes. IPHONE sexy explosion? - NO.
In the last quarter, XM added 338,000 net subscribers to bring their total subscribers to 8.25 million. In the same period, Sirius added 561,500 net subscribers to bring their total to a little over 7 million. That means there are over 15 million satellite subscribers and something like 10 million radios sold.
I don't understand how there at 10 million radios and 15 million subs, but whatever. If you're comparing the XM/Sirius business model to the Analog Digital FM model, I think I'll put my money of the FM thanks. Last I checked... as an industry AM/FM broadcasting was a profitable industry and basically paid it's own way. Satellite need to merge to survive. (Their paraphrased idea).
Radio reaches 93% of Americans every week and is one of the most effective marketing tools available to advertisers, yet we haven’t been able to sell in three years as many HD radios as Apple sold iPhones in a single weekend. That alone should alarm us.
This is only an issue if your definition of sales success is "Sexy Iphone sales". A steady growth with more and more inclusion in REGULAR RADIOS will position radio where it need to go in the future. Notice I-Phone did not advertise on radio AFAIK. I don't know this for a fact, but I never heard one. Different kind of device.
And what about the buzz surrounding HD Radio? According to Nielsen, the iPhone continues to show up in about 1% of blogs. HD Radio averages less than 0.01% of blogs. And it gets worse. The majority of the posts regarding HD Radio are in the context of posts about satellite radio. There’s considerable confusion between the two, so even when bloggers write about HD Radio, they are often actually referring to satellite radio.
Same point again. Radio isn't really sexy. Hasn't been in a while. As radios get replaced, HD penetration will expand. Most people arent' "Blogging" about radio. It's their swanky " I can get the entire internet on this 2x2 inch screen anywhere I go and it enlarges to zoom in and it's pretty slow and it uses AT&T who has lousy service here, but isn't it great?" they're posting about. In MY world, the enthusiam for this product is diminishing. Especialy from those who have one. Internet junkies have gone back to carrying their laptops.
In New York City, the #1 market in the country, there are 25 stations broadcasting 42 HD channels. You’ll find CHR, AC, Classic Rock, Hip-Hop, News, Talk, and Sports. In other words, everything you can find on the regular FM dial. There are a few variations like Classic Rock Deep Cuts, but in a world with over a hundred channels of music on satellite radio and tens of thousands of channels of music on the Internet, Gotham City’s HD offerings look pretty weak. And that’s in the #1 market.
This is the kind of argument that just drives me nuts. In a world with hundreds of channels, New Yorks HD offerings look pretty weak. So I guess his solution is to eliminate them? I have never understood this "There's nothing on HD-2 anyway. Who needs it." Just incredibly silly. Just like FM of old, content of HD-2-3-4 will improve over time.
In Great Britain, two million digital radios were sold in 2006 alone. It is estimated that 14% of British households have a digital radio. In Europe there are nearly a thousand radio models available compared to less than two dozen in the US. Defenders might grasp at this apparent success of digital radio in Europe as proof that over time Americans will embrace HD Radio, but Europeans have no satellite radio and fewer commercial radio stations. Success in Europe is not indicative that success is around the corner in the U.S.
So "THIS" HD detractor claims digital radio DOES work in England, but that doesn't mean it will work here. Two plus years we've heard the incessant drumbeat of DIDGITAL DOESN'T WORK in England or Canada, it won't work here. Pick a story and go with it for Pete's sake. In fairness, Digital radio "IS" working in England. It's not super speedy but it is working. As penetration increases here, there is no reason to expect any different results.
Maybe the declines in listening levels are not just a result of growing competition. Maybe listeners are abandoning radio because the product isn’t as innovative and isn’t as good as it used to be.
I love it when consultants say this. If there was a magic answer to increase radio listenership, radio would do it. THIS GUY would do it. He's a consultant for Pete's Sake. He get's PAID to do it. If he had the answer, he'd be selling it for Jillions and have people lined up to get him to consult THEIR station. It's easy to sit around and write what is "WRONG" with radio. Ultimately though, radio programming is decided by listeners with their feet. And Tuning knobs. If deeper playlists and more creativity got better numbers we'd have it. It doesn't. We Don't. Now more CHOICES? That will make a difference by increasing the size of the pie.
And I didn't even get a consulting fee.
Clouseau