MxMIndia

Tag: R Venkata Subramanian

  • While content on FM radio has been evolving ever since it came into existence, the question is whether the listener is listening

    Is there a market for radio plays and other non-Bollywood radio content?

    By Robin Thomas

     

    Tune into any radio station, chances are you would be listening to some offbeat programmes. Take for instance Big FM’s storytelling show – ‘Yaadon Ka Idiot Box with Neelesh Mishra’ which is already in its second season. What is even more interesting is the fact that it is aired during the primetime 9pm to 11pm, Monday through Friday. After the success of Ramayana, Fever FM launched a new radio play, Gandhi beginning March this year. Radio City only recently introduced ‘Freedom Hour’, a programme which plays only Indie music and aired every Saturday from 5 pm to 6pm across its 20 stations. These are just a few examples, even smaller stations like Radio Choklate and Tomato FM have been airing radio plays and other non-bollywood, non- music contents. While content on FM radio has been evolving ever since its existence, the question is whether the listener is listening to them or is there no scope for these contents on radio?

     

    According to Harshad Jain, Business Head, Radio and Entertainment – HT Media Ltd, the listener’s choice has been changing with the evolution of the radio industry. The radio industry is showing early signs of programming content that is beyond music. “Yes there is a market for non music / non Bollywood content in the FM radio space. Music has become a leveler for FM operators. The on-air treatment done through non- music based programming element like audio drama, sports, festival specials, are contents that differentiates any brand and Fever 104 FM is arguably the only station that has built a strong emotional connect with its listeners through these initiatives. Purely from an advertisers standpoint non-music content aims towards driving engagement and high interactivity.”

     

    Kartik Kalla, National Programming Head, Radio City believes that differentiating music is the need of the hour. “Music constitutes almost 75 per cent of the total airtime and hence it is the most important feature in programming. We have recently introduced ‘Freedom Hour’ on Saturdays between 5-6pm across all our 20 stations. This is an extension of the music that is played on ‘Freedom Radio’ on PlanetRadiocity.com. The listeners enjoy refreshing music which is a welcome change from the regular Bollywood music that’s played.”

     

    Besides playing Oriya music, every Sunday evening Radio Choklate is also said to air opera or plays called ‘Choklate Rangamancha’. Radio Choklate also airs a weekly interactive show wherein, letters from listeners are read out on- air and their questions answered. Monica Nayyar Patnaik, Joint Managing Director at Eastern Media Ltd was of the opinion that radio programming has been constantly evolving over the years. Earlier FM stations would play only songs, then they emphasized more on RJ talk, then they went onto non- stop music and so on. The response from listeners, particularly for offbeat radio programmes like radio plays have been very good, it also affirms that there is a market for non-music contents.

     

    R Venkata Subramanian, Senior Director-Investments, MPG India pointed out that while non music or non Bollywood programmes create differentiation, a listener however mainly tunes into radio for music. I believe that these shows will be able to build their properties for a longer period of time only when they are associated with brands. In addition to these, radio programmes also need to be more interactive and engaging which would click with the listeners.

     

    Industry players are of the opinion that while content in radio has been constantly evolving on radio, there is a market for non- music and non- Bollywood radio programmes, but it must be highly interactive and engaging with its listeners. Despite government restrictions, FM radio has been constantly finding newer ways to engage and interact with its listeners. FM Phase III rollout is expected to witness further innovation and differentiation in radio programming, especially with multiple frequencies which is expected to introduce new genres of FM radio.

     

  • Most big advertisers are shifting their focus beyond metros, particularly towards the rural markets, where radio is seen as delivering better ROIs.

    FM players expect boom in small-town India

     

    By Robin Thomas

     

    Radio has come a long way since the transistor era. Today, listeners have multiple access to FM radio through mobile phones, in-car listenership, particularly during drive time, restaurants, coffee shops and public transport to name a few, an FM radio phenomenon that’s peculiar to urban India.

     

    In addition to this, FM stations are said to earn huge chunk of their advertising revenues from the metros. But all this could change with the soon-to-be-launched Phase 3 that will witness the addition of 839 FM stations in nearly 300 new cities having a population of one lakh and above. This is expected to further increase the reach of private FM stations across the country, which, in turn, will lead to a spike in the advertising share of the medium.

     

    While the metros are saturated with radio players and with advertisers looking for options to widen their nets, industry observers are of the view that the next phase of growth in FM radio will come from the tier 2 and tier 3 cities. This phenomenon, they say, will explode in a big way once Phase 3 becomes a reality.

     

    But before one proceeds to identify how lucrative these markets could turn out to be, it would be ideal to verify the effectiveness that radio stations at these small cities and towns display and whether they carry a certain edge over the other sought-after mediums, television and print, in these markets?

     

    MxMIndia spoke to various industry players, including media agencies, to find out their views on the effectiveness of FM radio in Tier 2 and Tier 3 cities.

     

    Most industry players are of the view that time spent on radio in small towns and cities is much more than in metros like Mumbai and Delhi. Besides, most of the non-metros are said to face a lot of power cuts, hence more time is spent on listening to radio, which becomes an alternative source of entertainment and information.

     

    “Radio is extremely effective in Tier 2 and 3 cities. In the smaller towns, the share of radio is higher than what it is in the bigger towns. In some markets, the share of radio is as high as 20 per cent of the print market. This is a reflection of the effectiveness of radio” said Prashant Panday, CEO, Radio Mirchi.

     

    With such effectiveness in the smaller towns and cities, most big advertisers these days are shifting their focus beyond metros, particularly towards the rural markets. Radio is believed to play an effective and constructive role in delivering better ROIs (Return on Investment) for brands in these markets, particularly as other mediums are either too expensive or do not provide good reach.

     

    “Since the level of activity in these markets is lower than in metros, people have more time to spend with themselves. This is where radio fills the gap. An increase in number of FM-enabled handsets has further increased the consumption of radio,” pointed out Harrish M Bhatia, CEO, MY FM.

     

    “Radio measurement surveys conducted by RAM have proved that the average time spent listening to radio per day is 244 minutes in Nagpur and 206 minutes in Jaipur as compared to 127 minutes in Mumbai and 124 minutes in Delhi (Source: RAM Sweeps 1.0),” he added.

     

    According to Narendra Kumar Alambara, Vice President, Starcom Mediavest Group, Chennai, both retail and national brands will gain by using radio in the smaller markets. While retail will be able to gauge the efficacy of the medium in the market, national brands will be able to tap into these markets with more focus. “Radio is as good as any medium in smaller towns. Given the smaller geographies and the relative newness of FM in these markets, it has that edge, but ultimately the medium has to transcend from being just an entertainment/information media into being a medium that can deliver results for the brand.”

     

    While national advertisers are increasingly flocking to the tier 2 and tier 3 markets, local advertisers such as retail outlets, education institutes, real estate, auto outlets and others are also said to be increasingly advertising on radio. While metros may bring a significant chunk of revenues for larger FM stations, it is learnt that the advertising revenues from tier 2 and tier 3 markets are growing significantly year on year.

     

    The challenges, too, are many for FM radio in these growth markets. The challenges relate to filling up the entire available inventory. Local businesses are not strong enough to fill it up. So radio stations have to rely heavily on business from national clients. Apart from this, for some stations there is the constant battle to keep profitability intact.

     

    R Venkata Subramanian, Senior Director-Investments, MPG India noted: “The is no strong local media in many of these tier 2 and 3 cities, and this is where radio has the potential to be a highly effective and reach building medium. The challenges, however, include the emotional connect with the RJs and how effective the FM station actually is. There is a need for better radio commercials. One other challenge for the radio industry in these markets is the lack of a good credible measurement system, which will measure the effectiveness of radio commercials and listenership.”

     

    But a Big FM spokesperson countered: “The radio, as a medium, enjoys much higher visibility and it is the only medium that people can relate to as it is customized to those markets and hence it will have a much better appeal.”

     

    Nowadays, a lot of advertisers use television and print as a lead reach medium whereas radio is used as an amplifying medium. Industry observers are of the view that after Phase III expansion, radio is likely to be seen by advertisers and marketers as a reach medium, especially for the national advertisers. As a result more advertisers are likely to use radio-led advertisements instead of using it just a complementary advertisement medium.

     

    But Mr Alambara is of the opinion that most FM station in the markets have not been able to create and sustain a distinct local identity while maintaining their overall brand persona. “Media brands work best when they can relate to, and bond with, the local populace seamlessly,” he said.

     

    But the real magic of FM radio, its reach, effectiveness in metros, mini metros and rural markets is likely to be seen only after the launch of FM Phase III. As of now, the cities which do not have private FM radio are eagerly waiting to experience the medium.

     

    Big story image from Clipart, Microsoft Word