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Archive for April, 2010

  • Apr
  • 9

9 out of 10 Adults Tune into Radio Every Week

Radio listening habit is ingrained in the UK population. Latest Rajar figures show that 9 out of 10 adults tune into the radio every week. The BBC takes the majority of these of these (55%) but commercial radio is stronger with its primary audience, taking a 53% share of 15-44 year olds.

Overall, commercial radio increased its share of listeners in the last 3 months of 2009, showing a slight rise from the previous quarter’s performance from 42.4% to 42.6%. Within this, national commercial radio’s share of overall listening fell back slightly quarter on quarter from 10.9% to 10.4% . Their loss was local commercial radio’s gain as it increased its share of listening from 31.6% to 32.2% both quarter on quarter and year on year.

DAB is gradually advancing with DAB set ownership increasing by 13% year on year and 17.1 million adults claiming to live in a household with a DAB receiver – a third of all adults. Radio listening via all digital platforms has increased 14% yr on yr to 20.9% of all radio listening hours, a 20% increase on the same quarter in 2008 but slightly down on the previous quarter’s figure of 21.1%.

Listening to the radio via mobile phone continues to grow steadily to 13% of all adults compared to 12.3% in the same period in 2009. Interestingly, whilst the younger age group, 15-24, has shown a decrease of 2.1% yr on yr, the 25+ demographic shows a steady increase of 13% yr on yr.

The number of people listening to radio via the internet and on line music-streaming services such as Spotify continues to grow, up 3% from 16.9% to 17.4% from May 2009.

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By: Graham Painter

  • Apr
  • 9

Digital Growth Can’t Stem Outdoor Revenue Decline

The Two Towers Digital Site in Hammersmith

The Two Towers Digital Site in Hammersmith

2009 started badly for the outdoor market with revenue in Q2 down a massive 21% period on period but as the year progressed, the decline slowed so that, by the end of the year, revenue was down 17% overall yr on yr to £782m. Hardly a buoyant picture.

This sharp decline has been largely due to traditionally strong outdoor advertising categories such as cars and finance cutting their outdoor spends by around half in 2009. As a direct result of these cuts, premium roadside formats have been hardest hit by the downturn in the economy although there are signs that that clients are moving back into this territory in 2010. However, the outdoor market has not been without casualties in this recessionary environment.

Having sold all its large format roadside holding to Primesight in 2009, Titan went into administration in January with JCDecaux buying its remaining assets thus taking its share of OOH to approx 30%. On a positive note for advertisers, all the major contractors have reviewed and refined their universe of sites over the last year, culling many underperforming and low quality sites. This has resulted in an improvement of all roadside formats and so far in 2010, this category is selling well.

Development of digital out of home continues apace amongst the contractors. Clear Channel launches “socialite” bar screens in 2010 and is expanding its mall digital 6 holding to 150 in 15 malls. Ocean continues its massive digital investment (C£1m per site) in 2010 with the new Two Towers site on the A4 in Hammersmith, the Ariel Way 3 sided screen at the roundabout at Westfield and more projected city centre landmark developments planned. Digicom move ahead with a strong growth plan in 2010, expanding their garage forecourt screens with the holding planned to grow to 1500 sites by Q3, growing their salon network to 3000 screens and looking at developing sites in GP’s surgeries, hospitals and airports through the year.

The digital sector is the fastest growing sector in OOH with its revenue up 24% yr on yr and now accounting for 11.3% of all OOH spend. Although growth slowed yr on yr, it is expected that as we move out of the downturn growth will be at a steeper rate as the opportunities and flexibility offered by digital attract advertisers who are keen to target the masses using OOH in an ever more “personalized” media market.

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By: Graham Painter

  • Apr
  • 9

Newspapers – Things Aren’t Getting Any Better

The bad news gets worse. If the impact of the internet is being felt across most media, it is having by far the greatest effect on newspapers. Classified advertising on which the economies of many national and every regional paper was based have been decimated by the web. Ever increasing numbers of people are not paying cover price and looking up what they want on the web. 60 local newspapers closed in the UK last year and those left are being consolidated into fewer and fewer groups. A sign of the times, the Guardian Media Group has announced the sale of its regionals, including the Manchester Evening News which it has owned for 150 years.

Circulation of the Daily telegraph dropped below 700,000 in January for the first time since its record began in 1962. Both the Daily and the Sunday Telegraph showed period on period falls of 6.77% and 5.73% respectively.

The Guardian, The Independent and the Times all plunged into double digit drops period on period – some of these sharp drops can be attributed to reducing the volume of bulks. The Times and the Guardian have both reduced their bulk sales to zero but interestingly, the Independent has increased its bulks figure.

In the quality Sunday market, the Observer remains the biggest sufferer showing a period on period decline of 15.92% and the smallest period on period decline went to the biggest seller, the Sunday Times with a 2.48% decrease. A new look Observer hit the newsstands on February 21, consisting  of 4 sections, substantially reducing the number of sections/supplements it had before but it remains to be seen if this will halt the Observer’s plummeting circulation.

Rumours abounded early in the year that Murdoch was in talks to sell the Times and Sunday Times. With the future of broadsheets in the UK ever adversely impacted by the excellent news service provided by the BBC staying “free”, it is perhaps not such an unthinkable idea as it once might have been. Maybe another oligarch or sheik can be convinced that the two Murdoch papers represent an amazing opportunity.

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By: Graham Painter

  • Apr
  • 9

News Weeklies Weather the Storm

The Week - Recession Busting Circulation Increase

The Week - Recession Busting Circulation Increase

The weekly news sector has been fairly robust because of the recession and the affluence of its readers. Its readers have wanted to remain informed about the state of the economy and politics and the depth of comment and analysis provided by these titles is arguably more thorough than that provided on line. The sector has, however, reported mixed results.

Private Eye continues to be market leader (206,550) posting increases both period on period and yr on yr (1.6% and 0.6% respectively).  The Week celebrates another successful ABC with a market-busting 10.3% increase yr on yr and still without a digital platform.  The Economist posted its 56th consecutive increase rising 2.6% yr on yr, boosted by a cinema campaign although the number of actively purchased copies was down 4.3% yr on yr (77% of its circulation). The Spectator posted disappointing results continuing its downward trend, it fell -2.7% period on period and -2.4% yr on yr which must be disappointing for the new editor, Frazer Nelson, who took over in September.

Newsweek, Time, and New Scientist all posted slight decreases.

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By: Graham Painter

  • Apr
  • 9

Men’s Fitness Titles Only Brightspot in Men’s Magazine Sector

Mens Health Overtakes FHM

Mens Health Overtakes FHM

The Men’s magazine market continues to decline overall with very few bright spots. Free weekly, Shortlist, remains in the top spot with a circulation of 510,720 and slight increases pop and yoy (0.9% and  6.1%).

Men’s Health reported an increase pop (0.1%) and yoy (2.1%), and has now overtaken FHM, circulating 15,220 more copies.  It seems the fitness led monthlies are faring well in the Men’s market with Men’s Fitness also posting increasing pop (1.2%) and yoy (3.6%).

With the closure of Maxim in April, the lads’ magazines continue to decline rapidly. Loaded and FHM performed particularly badly, Loaded posted -23.8% and FHM -16.2% decreases yoy.

The biggest disappointment was Esquire, posting a fall of -12.2% pop and -9.3% yoy.  Although with the efforts of Esquire ‘special issues’, such as the recent hard back September issue, the magazine hopes to re-gain circulation in the next ABC’s.  It is rumoured that Esquire will be re-launched this September, with the title ear-marked for investment by Nat Mag’s new Chief Executive, Arnaud de Puyfontaine. Its rival GQ was also down -7.7% pop and yoy.  A disappointing set of results for the men’s monthly magazine market overall.

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By: Graham Painter