AndoMedia has released a new ranker for June 2010 which resolves an ongoing issue that had prevented some key online only (or pureplay) stations from being presented in their domestic ranker. Digitally Imported, 977Music, and 1.fm had previously shown up in the All Streams ranker, but due to some technical measurement issues AndoMedia was unable to report on their US only streams. This month those stations debut in the US based streams report as well, joining AccuRadio and Pandora for a total of five online stations in the listing of the top streaming stations or networks measured by AndoMedia.
Pandora, which sits prominently atop the ranker with more than three times the average number of streams per minute (AAS) than the next platform (which happens to be CBS Radio, including AOL and Yahoo’s streaming radio platforms). Thanks to Pandora, listening to online only stations exceeds listening to broadcast streams on the top twenty domestic ranker as well.
Another highlight from this monthly ranker is ESPNRadio’s number, which reflects a huge increase thanks to massive listening to streams of World Cup matches. The average number of domestic streams for that service leapt from 10,103 to 16,758.
Various news sources are reporting that the radio industry, under pressure to pay performance royalties for over the air song plays, has come up with a proposal to pay – along with a list of demands. It’s a very telling list that exposes the radio broadcasting industry’s desperate desire to turn back the dial and ignore the growing popularity of online streaming and other digital platforms with listeners.
Realizing that they’re going to have to pay performance royalties, the radio broadcasters have come up with a proposal that offers a (1) tiered rate of 1% or less. In exchange for that they want the (2) Copyright Royalty Board’s jurisdiction forever removed from their rates, (3) lower streaming royalty rates, (4) inclusion of FM chips in cellphones, and (5) “AFTRA issues” resolved for streaming broadcast ads.
I get the relationship between #1, #2, and #3. They’re negotiating with the same folks, and they want to use their negotiations to improve and simplify their overall deal, including streaming. The CRB has been unfriendly in this regard, so they would like to take them out of the equation.
But what does all of this have to do with FM chips in cellphones? Nothing. Or AFTRA issues? Not much – performance royalties are paid to musicians, AFTRA monies are owed to actors and voice talent employed by advertisers and agencies to record commercials. These are pretty arbitrary demands.
So what’s so telling about this? It’s a list that is all about going backwards. Cellphones are already radio enabled – for streaming that is. Smartphones have proven to be enormously popular mobile streaming devices. Why fight a battle that’s already won?
As far as the whole AFTRA thing….I’ve gone on and on about this one, you can read some of my opinions here. Simulcasting over-the-air radio commercials on a streaming station is a BAD IDEA. It discourages advertisers and broadcasters from developing ads that have an online/interactive call to action. It encourages broadcasters to view their streams as simulcasts of their broadcasts. WHICH THEY ARE NOT. It’s the fast lazy train to ineffective online radio…
Last week I wrote about some differences in listening patterns to Internet radio between UK and US listeners, wondering why Brits are not as active as consumers in the US when it comes to listening to online radio and podcasts. David Van Dyke, President and CEO of Bridge Ratings, sent me a great explanation – here it is:
We work with a group of British companies in both the UK and Spain who have been struggling with their Internet radio business and here’s what we know:
- UK listeners perceive Internet Radio much like US listeners view satellite radio. Except for the price factor, the key to this statement is that since the UK has no satellite radio, Digital radio (as they refer to Internet Radio) serves that purpose. Interestingly, “Digital radio” in the U.K. has gotten far better marketing and in-store support than HD radio has here in the states.
- The tastes of the mass British consumer are very different from their U.S. counterparts. They are not particularly interested in niche programming and UK listeners have been brought up on a completely different set of entertainment resources than their U.S. counterparts and don’t see the purpose of Internet radio being as much a part of their weekly listening as we do here in the states. And because of the variety of content offered over the years on radio in the U.K., adults have little appetite for niched programming. Teens in Britain don’t have a use for it either as they are being brought up in a digital environment where they, like their U.S. counterparts, prefer control over their entertainment. Remember, there is no Pandora in Britain.
- UK programmers, in general, are out of sync with the tastes of their UK audiences. This was the third reason in our studies: generally speaking, there has been insufficient reason to spend the time seeking out Internet radio programming because word of mouth is not that favorable.
- Finally, Internet radio offerings are not well marketed in the UK. Without a Pandora there, top of mind awareness for any one Internet radio product is literally zero and there is little peer-to-peer viral discussion going on because of all of the previously mentioned factors.
Fascinating cultural differences.
Dave Van Dyke is President & CEO of Bridge Ratings, a company that specializes in media consumption analysis for clients in the radio, Internet, telecommunications and financial services industries.
The RAIN Internet Radio Awards, sponsored by Audio4cast, recognize the achievements and the best practices of the Internet radio industry. We invite you to create a RAIN Internet Radio Awards submission for your broadcast or webcast operation today, so that the accomplishments and hard work or your organization might be recognized.
It’s really really easy to enter. Just click here and complete a five question form, and use paypal to pay the $19 processing fee. It’s a great thing for our industry, and even better if everyone gets involved. Your participation in the contest is confidential (unless you win, in which case we’ll tell everyone about you).
So do it today. Thanks!
This is a first indication that Triton intends to combine the force of its ad insertion, audience measurement and sales divisions in deals with content services and in competition with other Internet radio sales organizations. Slacker Radio has previously worked with Targetspot on ad sales. There’s no indication as to whether Slacker’s new relationship with Triton is exclusive.
“We are focused on accelerating the growth and adoption of digital audio by creating dynamic opportunities for both traditional and new media clients. With an in-stream and mobile platform of more than 15 million registered users, Slacker further increases our digital sales footprint and brings highly compelling interactive opportunities to our advertiser and agency clients alike,” said Triton EVP Bill Freund.
AndoMedia, owned by Triton Digital, has had a relationship with Katz360 which left the audience measurement and ad insertion pieces to Ando, and the network selling to Katz. A year ago, Katz360 and AndoMedia announced a deal with Pandora which did just that. This deal with Slacker gives Triton the sales responsibilities and keeps it all inhouse.