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Radio remains top music discovery method, Nielsen reports. Even with the number of ways to listen to music growing exponentially, radio remains the top method of music discovery according to a new report from Nielsen. In its 2014 Music U.S. Report, Nielsen calculates 51% of consumers use radio to discover new music and that 59% of music listeners use a combination of over-the-air AM/FM radio and online radio streams to hear music. The biggest music consumption trend of 2014 was the rapid growth of streaming audio. Nielsen reports on-demand streaming audio of music grew 60% last year to a record 78.6 billion streams. Counting both audio and video, Nielsen tracked 163.9 billion on-demand music streams in 2014. In a typical week, two-thirds of music consumers (67%) listen to music online via any form of streaming, the study found. But how music fans consume music varies greatly, depending on genre. Nielsen’s 2014 music recap found R&B/hip-hop is the dominant genre for streaming, accounting for nearly three in ten streams (28.5%), followed by rock (24.7%) and pop (21.1%). Music genres stacked up differently in 2014 when it came to radio listening. Across Nielsen’s PPM markets, CHR (8.3%) and country (8.2%) were the leading music formats among all listeners, followed by AC, (7.1%), hot AC (6.2%) and classic hits (5.2%). Among 18-34 year olds it was CHR (12.3%), followed by country (9.8%), hot AC (7.1%), rhythmic CHR (6.7%) and AC (5.9%).
Sirius XM agrees: web radio listening isn’t hurting FM/AM. Broadcast radio executives have told advertisers and investors alike: streaming pureplays like Pandora and Spotify are handy tools, but they replace a record collection, not radio. Now the industry is getting some support from a Sirius XM Radio executive who agrees streaming isn’t eating away at radio. “It hasn’t really affected radio listening whether it’s satellite radio listening, which is still growing very robustly or terrestrial radio which is maintaining its audience,” SiriusXM CFO David Frear said. He told an investor conference that streaming music services represent more of a “format shift” on par with the move from records to CDs or from CDs to digital downloads. “It’s just another way to distribute a personal music library,” he told the Citi Media Conference in Las Vegas. Frear also drew on the satellite company’s long history with carmakers to deliver a message of patience, telling investors the connected car won’t be showing up on dealer lots as quickly as they believe. “The car companies have been talking about connected car technology — but the industry is probably 25% penetrated three to five years into the dialogue,” he pointed out. Some analysts worry SiriusXM, like broadcast radio, will be under competitive pressure as more streaming music options show up in the dashboard.
Majority of drivers crave streaming radio while behind the wheel. What would you pay to listen to streaming radio in your car? A slight majority of Americans say they’d fork over as much as $1,499 extra when buying a new vehicle in order to get new connected car features. That’s according to a Harris Poll, commissioned by the car selling website AutoTrader.com. One of the things helping to push demand for the connected car forward is a growing interest in streaming radio. The survey shows a majority (55%) of car owners say that being able to access streaming radio services while in the car is something that makes the driving experience more enjoyable. That should help convince the car companies to put digital radio upfront in their connected dashboard. “We’re in the information era and shoppers are informed and they are adamant about the features they want,” says AutoTrader analyst Michelle Krebs. The Harris survey also suggests a closing of the gap in public opinion may be underway into whether consumers want a built-in system or prefer to plug in their own smartphone. The report shows 52% would prefer new cars to come equipped with the automaker’s own entertainment system while 48% would prefer car companies make it easier to integrate smartphones into a generic system. “Consumers are spending more
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time and money on car technology and they are particular about what they’re buying,” Krebs says. The survey found that only 3% of drivers report having Wi-Fi in their cars, but among that group nearly two-thirds use the connection on a daily basis. The Harris online survey was conducted October 15-20 among 1,033 car owners aged 18 or older.
Hyundai remakes its dashboard for a simpler, easier-to-use content experience. In a move to make the dashboard entertainment experience simpler and more user-friendly, Hyundai has redesigned its entertainment system and will start making the update available on 2016 models in the coming months. The new system works with Apple’s CarPlay and Google’s Android Auto. In a move to unclutter the dashboard, it will come without a CD player or embedded navigation system. Mapping on the seven-inch color touch-screen display will instead come from the features already built into CarPlay or Android Auto. Hyundai says all the apps are already integrated into each service, such as iHeartRadio, CBS News Radio, Stitcher, Pandora and Spotify. The carmaker’s engineers say their Display Audio technology will essentially “project” onto the dashboard whatever a driver has on the connected smartphone. While new technology typically first appears on the high-end models, Hyundai says this will show up initially in entry-level models arriving on dealer lots. “As affordable car buyers are often younger, Hyundai aims to provide what they want most in their car — all the latest smartphone-enabled technologies at a lower price,” says Hyundai senior group manager Cason Grover. While the CD player is vanishing, FM and AM radio will stay put, along with HD Radio and Sirius XM Radio. Hyundai spokesman Rob Lescaille says the automaker is working closely with Apple and Google to bring the features to consumers as quickly as they can. The company expects Display Auto will “quickly” become part of most new cars rolling off the assembly line over the next few years. Apple and Google have also been working with other car companies on similar changes.
ESPN podcast downloads soared in 2014. Will 2015 be the year that podcasts go mainstream? That’s the prediction some are making. But many in the podcast community point to growth numbers and buzzed about series like “Serial” from WBEZ, Chicago (91.5) as proof that podcasts are already bigger than what broadcasters give them credit for. The latest evidence comes from ESPN. The sports media giant says its portfolio of dozens of podcasts posted a 50% jump in downloads in 2014 to a record 302 million downloads. Suggesting on-demand audio is accelerating, ESPN says nearly a third of 2014’s podcast downloads came during the final three months of the year when 95 million downloads were recorded. Edison Research’s most recent report on podcasting found just 1.7% of the average American’s audio day is spent listening to podcasts. But those consumers who do partake in the format spend more than a quarter (25.9%) of their audio time with on-demand audio. In that crowd it’s nearly as big as FM/AM radio listening, which accounts for 27.5% of their daily audio diet. The firm’s 2014 Infinite Dial study showed weekly podcast consumers listen to an average of six podcasts per week, although 11% of users report they listen to more than 10 podcasts. For radio stations worried about losing on-air listening, Edison says podcast users are “super listeners” consuming 1 hour and 45 minutes more audio per day than the average American.
MRC blesses Nielsen’s fusing of PPM data into CNN’s TV ratings. Nielsen is taking one step closer to adding the PPM to the methodology it uses to measure TV audiences. The Media Rating Council (MRC) has verified the data fusion process Nielsen employs to combine in-home and out-of-home television ratings for cable TV network CNN. While the MRC evaluation applies just to the All Screen custom reports Nielsen creates for CNN, it bodes well for Nielsen integrating away-from-home viewing data captured by the PPM into its TV ratings. Radio broadcasters are hoping that could lead to larger PPM sample sizes. In a statement, the MRC noted it hasn’t done a “full-scope accreditation examination” of Nielsen Audio’s PPM television data, because Nielsen hasn’t submitted it for accreditation consideration. Instead the evaluation focused solely on how Nielsen fuses PPM data with that collected by its National People Meters. MRC says the data fusion process would “need significant methods changes” should Nielsen expand it to measure other TV programming or make it part of a syndicated service. That’s something Nielsen is keen on doing. In a statement, Nielsen EVP Megan Clarken yesterday called the MRC statement “an
PPM 360
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important step” in developing an industry standard syndicated service to measure out-of-home TV viewing. Not tracking away-from-home audiences caused CNBC to stop using Nielsen to measure its daytime audience. Its absence ignores a sizable audience for networks like CNN, which found out-of-home viewing adds an incremental 18% to its total day adults 25-54 audience. Nielsen is also eyeing the PPM to flesh out its local TV ratings service. In November, it completed an initial pilot test of PPM panels to include out-of-home viewing for local television.
Cumulus taps New York’s Kim Bryant to lead West Coast sales for Westwood One. Two years after Kim Bryant was named Cumulus Media’s market manager, she is returning to Westwood One, this time as an executive vice president overseeing West Coast sales. Based in Los Angeles, Bryant will manage the network’s spot, digital and event sales. Cumulus says it expects to name her replacement in New York shortly. Before heading to the Big Apple in January 2013, Bryant was a regional VP for Metro Networks/Westwood One in L.A. from 2008 to 2011. She earlier was iHeartMedia’s San Francisco market manager from 2003 to 2008, and a general manager for Entravision from 1994 to 2003. Bryant calls the opportunity to return to the West Coast “a dream” and says her New York experience has been “a real once-in-a lifetime opportunity.”
The Stern contract renewal drama will play out in 2015. The turning of the page to a new calendar year begins the tick-down of Sirius XM Radio’s contract with its biggest personality. Howard Stern’s deal with the satellite company expires in December. “It’s really hard to know because it’s a decision that’s in Howard’s hands,” CFO David Frear said, telling the Citi Media Conference no announcement is imminent. “Howard has a long history of addressing his contract towards the end of his contract,” he pointed out. Frear showered compliments on Stern, reiterating the satcaster’s hope to ink a new agreement. But he told the crowd of investors that there will need to be a “meeting of the minds” on the financial terms. Stern’s current deal pays him a reported $80 million per year, making him radio’s top-paid personality. For his part, Stern continues to use the wind-down of his contract as fodder for his morning show — which now begins at 7am ET. He tells listeners there haven’t been any formal discussions, predicting it will be down to the wire once again. For fans who’d like Stern to remain in place, those talks are opening on a positive note. Stern called SiriusXM chief Jim Meyer a “great guy” who personally approached him before the December holiday break and formally asked Stern to stick around. Stern suggested he may seek something shorter than his typical five-year contract. Frear signaled the company might be open to that, saying Stern — who’s now 60 years old – will need to decide what he wants to within the next “three to five years” of his life. The other big question will be what happens to the thousands of hours of Stern show content already in the archives. “Does he want to stop performing and let the library continue to perform? We’ll see where that goes,” Frear said.
Texas media shines spotlight on Amber Alerts. This year marks 19 years since the roots of what today is the Amber Alert were planted on Dallas-area radio stations following the kidnapping and murder of nine-year old Amber Hagerman. She was abducted while riding her bicycle in Arlington, TX. Today in Texas, media outlets will be putting a spotlight on the program as part of Amber Alert Awareness Day. Governor Rick Perry signed into law the first-in-the-nation statewide Amber Alert system in 2002 and today Texas has added 17 regional Amber Alert networks that work in conjunction with the statewide program. Perry credits Amber Alerts for the safe recovery of 129 children in the state so far. Nationally, Perry says more than 720 children across the country have also been recovered from Amber Alerts.
Las Vegas’ new ‘Star’ shoots for the hot AC ratings moon. After 2014 marked the best PPM ratings year ever for hot AC, the format has given birth to a new radio battle in Las Vegas. Beasley Broadcast Group ditched adult hits “Bob FM” yesterday, replacing Madonna and Mellencamp with Taylor Swift and Sam Smith. “Star 107.9” KVGS is aiming for what’s typically the top-rated station in Vegas, CBS Radio’s hot AC “Mix 94.1” KMXB. Europe’s “The Final Countdown” marked the end of Beasley’s 13-year run with adult hits on KVGS yesterday at 3pm PT. Declaring itself “the new soundtrack of Las Vegas,” the station is rolling 107-minute commercial-free music sweeps, positioned as “the best variety of the ‘90s, 2K and today.” Ranked 16th in Nielsen’s December survey with a 2.7 share, “Star 107.9” is gunning for a piece of the double-
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digit ratings KMXB has been posting with women 25-54 since last August. Beasley-Vegas market manager Tom Humm previously managed KMXB, which was programmed by Beasley VP of programming Justin Chase from 2001-2008. Chase says he and Humm “are excited to be back in the hot AC game in Las Vegas,” boasting that “we’re building the team to beat at the new Star 107.9.” Beasley is hoping to port disenfranchised “Bob” listeners over to classic hits sister KKLZ (96.3), which has boosted its ‘80s music. Promos on “Star” invite ‘80s music seekers to head to KKLZ. Veteran Vegas programmer Mike O’Brian is programming both stations.
Inside Radio News Ticker...Retail ad spending remains healthy...Perhaps it’s the improving economy, but the end of the holiday retail season didn’t seem to have a big impact on radio’s ranker of biggest-volume advertisers. Media Monitors says Walgreens, Home Depot, Sam’s Club, Walmart and JC Penney all made its weekly Spot 10 ranker of the top users of radio. Macy’s wasn’t far out of the top ten. The ranker also shows H&R Block moving up to No. 8 with 21,551 radio spots on monitored stations last week. Rival TurboTax was further back at No. 52...Freebies still rule at Spotify...Streaming pureplay Spotify reports it now has 15 million paying customers for its subscription service. That’s up from 12.5 million in November. The company also announced in a brief blog post that it has 60 million active users, an increase of 50% from the 40 million it announced last May. That signals most of its users are tuning to the free, ad-supported stream...CBS nets the Orioles for ‘The Fan’...The Baltimore Orioles are making a return to sports “105.7 The Fan” WJZ-FM as part of a multiyear agreement with the CBS Radio station. Most recently the games aired on Hearst’s “News Radio 1090” WBAL, but WJZ-FM carried O’s baseball from 2007 to 2010. CBS says the announcing team of Joe Angel and Fred Manfra will return for a 12th season together in the booth. CBS will also promote the Orioles on sisters AC “Today’s 101.9” WLIF-FM and hot AC “Mix 106.5” WWMX...CRN gives Huckabee a TV outlet...Following Mike Huckabee’s split from Cumulus Media and Fox News Channel in recent weeks, he’s been on his own with his syndicated daily commentaries. Moving him beyond broadcast radio, CRN Digital Talk Radio says it will air the “Huckabee Report” features throughout the day on its radio service distributed on cable and satellite television. CRN will give Huckabee an outlet in markets where he no longer has an affiliate. In addition to the conservative Huckabee, CRN says it’s also signed a distribution deal with liberal talker Stephanie Miller...People Moves...Spanish news-talk “Radio Caracol 1260 AM” WSUA, Miami hires Juan Fina as general sales manager. Service Broadcasting urban “K-104’ KKDA-FM, Dallas signs a new three-year contract. And CBS Radio News correspondent Lou Miliano is dead at 67. Read all the latest People Moves HERE.
Radio on itinerary for Hilton-Live Nation marketing partnership. Radio is among the media destinations for a major new marketing campaign for Hilton. Mining the intersection of live music and travel, the hotelier has struck a five-year strategic marketing partnership with live events promoter Live Nation that makes Hilton the official hotel partner of Live Nation. With music at the core of its creative message, the new Hilton at Play campaign includes radio as well as TV, print and online advertising. Hilton and Live Nation will offer “once-in-a-lifetime” artist connections, concert tickets and private hotel concert events, starting with a February 23 show with Grammy-nominated artist Paramore at the Conrad New York. Hilton HHonors members will be invited to redeem points and bid on experiences like sound checks and artist meet and greets. The alliance gives Hilton access to unique content from the hotel concerts and some artist connections, a digital media plan on LiveNation.com and Ticketmaster.com and “Where to Stay” booking links integrated on venue pages on both websites worldwide.
Corus CEO Cassaday to retire. Corus CEO John Cassaday, who oversees one of Canada’s largest radio groups, has announced he’ll retire at the end of March when his contract expires after 25 years in broadcasting. Corus COO Doug Murphy will assume the top spot following Cassaday’s departure. Murphy has been with the company for 12 years, and has overseen Corus Radio since 2013. He earlier spent a decade with The Walt Disney Company in a variety of executive positions in Canada, the United States and Japan. “With my current contract coming to an end, this is the right time for me to move on to other opportunities knowing that Doug is ready to take on the position,” Cassaday says. The company’s board says the two men have worked side by side for more than 10 years so they expect a smooth transition. Corus owns 39 radio stations in Canada.
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