Re: [IRCA] IBOC/analog reception comparisons.

Radio is slowly losing the total time weekly people devote to it, but the alternatives tend to be more in the area of video games, the attraction of HDTV, as well as portable music devices, etc. The cume, or weekly reach of radio, is at the same level as it was 40 years ago when Arbitron started. And the weekly hours spent listening per person are only off by less than 10% since 1952!

Radio has not lost in upper income levels. Any erosion is the product of there always having been 5% of the people who do not use radio, and another 5 to 7 percent who use it little. These are the main candidates for satellite. It’s not about income, it is about satisfaction.

Satellite, with 8 million subscribers, is mostly an in car medium due to reception issues. That means that, on a national level, the share potential of satellite today is about 0.3% of total listening. It is no threat to terrestrial radio, today or in the immediate future. And when the future comes, multipurpose broadband devices will kill satellite.

Internet radio is attractive more to providers than to listeners. One has the ability to cover the entire US with a minimal investment, as opposed to $400 million for one FM in LA today. Until the needed broadband devices appear, web radio is too fragmented to appeal to more than very nice listening. And when it has potential, the content providers will be radio companies. Internet, broadband and terrestrial have the same model, which is ad supported. The successful ones in any area will be the ones that are mass appeal and cut through the clutter.

From: irca-bounces@xxxxxxxxxxxxxxxx [mailto:irca-bounces@xxxxxxxxxxxxxxxx] On Behalf Of Kevin R. in Gilbert, AZ
Sent: Wednesday, November 23, 2005 5:14 PM
To: Mailing list for the International Radio Club of America
Subject: Re: [IRCA] IBOC/analog reception comparisons.

There is nothing wrong with the programming, as 95% of Americans will attest. The real issue is revitalizing an old, old delivery system in an era of digital devices.

Those with money are listening to XM, Sirius or internet radio.

Digital or not, terrestrial radio is mostly a dying medium. The quality of programming makes it so. Were it not so, there would be no need for satellite or internet radio as a medium. Money talks, and the people are paying not to listen to terrestrial radio. It has nothing to do with whether or not its digital or analog.

Kevin