Advertising in general expresses the positioning. Powerful advertising is the result of powerful planning. Great ideas and great ad campaigns don’t just pop out from no where, they are built on the key communication points that motivate sales. Radio is entirely a medium of sound, which evokes smells, sensations and visual images which brings the listeners imaginations into play. Radio advertising is one of the tools of advertising which is effectively used for communication and positioning. It is one of the foundations for effective and successful advertising. Radio can be used effectively for advertisement since it can target the large audience because of its high reach. Radio is good at increasing awareness about the brand and business and helping in building the brand image. But all this was only for pure academic purpose. With the advent of television radio lost its popularity and thus its purpose with the marketers. This led to sharp declines in the proportion of advertisement spending on radio as compared to other media. But then came the governments order on liberalization and privatization. This brought about loads of changes in the world of radio broadcasting in India. Prominent and established companies entered the business of FM Broadcasting. FM broadcasting has breathed a new life into the medium of Radio in the past few months. Could radio now think this as a new phase of its life or a re-birth? Of course yes, people are today talking only Radio---- Radio Mirchi, Radio City, RED, Go and WIN. One will find people with radio sets of different shapes and sizes listening to their favourite music on roads, in hotels, even the bidi shops aired on any of the music channels. The radio channels are now vying against each other to provide their best to the listeners
However one can see that although radio is an excellent medium it has been used to its full potential and various efforts should be taken to improve it as with proper direction radio can reach heights as it is the cheapest and a very good medium.
Through this project my objective has been to understand the following • • • • • To find out about the current scenario of the radio industry. The reasons for a stunted growth of the industry The various steps in radio advertisement Realizing the needs and wants of consumers and fulfilling them What the various radio stations have to offer the masses.
Through this project I have made an effort to understand the advertisng tool called radio advertising which is being increasingly recognized by marketers as a powerful tool that helps in finding new customers and retaining the existing ones at a much lesser cost.
The aim of primary research was to understand radio advertising as it is seen in the corporate world. To understand this I have taken two interview from different fields. Mr. Madhav Joshi who is currently working in Leo Burnett who helped me understand what all goes into the making of a radio advertisement. The mode of interview used was an informal one where he answered my questions on one to one basis. Also Mr. Sudarshan Sahe the senior marketing manager of Radio City gave me an interview and helped me in trying to understand as to how the station works and looks after the needs of its consumers
The aim of secondary research was to understand as to why radio advertising has been able to grow at a considerable rate as compared to the other media.also the fall out of radio in the last decade . It was also undertaken to understand how radio advertising is done and what re the current players in the market. Secondary data collection method: desk research Secondary data collection sources: internet, books, newspaper articles
Globally depending on each country. as advertisers will expect media players to put their money where their speakers are before they commit large sums of money towards radio advertising. down market and not so cool. much like satellite channels did to the quantum of television advertising in the country. outnumbering television sets 3:1. Media owners dealing with new markets will virtually have to draw up their strategies as they go along. in its new avatar-fm-radio is all set too become the hippest. The other challenge for radio in attracting advertisers is the nature of the medium-radio has always considered being a reminder medium. But FM presently covers only 17 percent of the area and 21 % of the population of India through transmitters. But thanks to technology radio is making a comeback. Television and later “new media” were touted to being the media of the future. The involvement of listeners to radio is low. radio has a 5 % to 12 %
Old media don’t’ die! They just bounce back in new avatars. create programming that is new. The geographical area covered by radio in India in India is as high as 98 percent and the penetration level is approximately 97 percent. That should open up a vast new market of consumers-100 million Indian households own an estimated 150 million radios. innovative and grab away eyeballs from TV sets and make them tune into their radio sets. Currently radio has just 2 percent of the 9000 crore Indian advertising market according to an Arthur Anderson’s survey. Vis a Vis television or print media. coolest and most with -it medium. It’s a whole new challenge and competition is never far away. In fact. Not so long ago radio had been written off as fuddy-duddy. Ad revenues will also not be easy to come by. FM radio is a new entity altogether and has to deal with new market dynamics. However in spite of the various challenges the emergence of private FM stations is certain to increase the quantum of radio advertising in the country .
Canada with 12.
. This would be the key when evaluating the medium. They have also forecasted that revenues from radio advertising in India will be Rs. FM station executives are not forthcoming on multi-platform strategies as yet. Thus the potential if FM is better is bigger town. Rs. Also advertising of certain product seems to work very well while some might not. cellular phone service or auto related products would have a good impact when advertised on radio is primarily known as a “drive time” medium most people who turn in are doing so while commuting. as the car population is much bigger.FICCI estimates FM’s share up from the present 1. Given that radio has penetrated into 100 million homes and a FM set costs around Rs. radio is personalized.Radio Advertising of the advertising cake.7% and Spain with 9. Also one must not forgot that radio continues to be a medium that has tremendous reach among the poor and marginalized sections of society. 1200 crores by 2005 and Revenue of radio services is expected to rise to Rs 689 crore by 2008 at a CAGR of 30 per cent. For example. With the coming of more channels. 50/. radio will become a push and pull medium. As said earlier. On the higher side are countries like the United States with 13 %.1%.5 percent to 5 % in five years. and the emergence of lifestyle advertising. is not just making a comeback but is being reincarnated into a new avatar. While TV is a family medium.
This band of the radio spectrum is used for no other purpose but fm radio broadcasts. "you are listening to 91. pictures for a TV set.000 cycles per second. When you listen to a radio station and the announcer says.5 megahertz" means that the transmitter at the radio station is operating at a frequency of 91.535 kilohertz to 1. FM radio was invented by a man named Edwin Armstrong in order to make high-fidelity (and static-free) music broadcasting possible. All fm radio stations transmit in a band of frequencies between 88 megahertz and 108 megahertz. Your fm (frequency modulated) radio can tune in to that specific frequency and give you clear reception of that station.5 fm “what the announcer means is that you are listening to a radio station broadcasting an fm radio signal at a frequency of 91. data for a radio modem or whatever).5 megahertz. hence the relatively low frequencies for AM radio.Radio Advertising
Some Basic Technical Knowledge
Any radio setup has two parts:
The transmitter The receiver The transmitter takes some sort of message (it could be the sound of someone's
voice. but FM did not become really popular until the 1960s. The first radio broadcasts occurred in 1906 or so. Both the transmitter and receiver use antennas to radiate and capture the radio signal. In the 1920s." so "91. He built the first station in 1939.88 megahertz to 108 megahertz
AM radio has been around a lot longer than FM radio. The receiver receives the radio waves and decodes the message from the sine wave it receives. radio and electronic capabilities were fairly limited. encodes it onto a sine wave and transmits it with radio waves.500. and frequency allocation for AM radio occurred during the 1920s.
.7 megahertz FM radio . Common frequency band includes the following…
AM radio . Megahertz means "millions of cycles per second.
A Licencee pays Rs. 1000 an hour. 100 per hour. 1. One minute is reserved out of 10 . 10 . so the question of royalties is relevant.
Cost . The IPRS is demanding Rs. 9000/.500/. Another estimate puts the production cost of an hour long programme around Rs. Besides the tariff card should be modest. Studio hiring costs are between Rs.seconder costs Rs. Add Rs. 10. 100 per hour.per hour.500. An hour long show thus costs Rs..000/. advertising time available for sale is 9 .minutes for social awareness advertising. PPL is demanding a royalty of Rs. This is the high target. The total expenses are thus Rs.for the technology. The Indian Protographic Record Society (IPRS) and Phonographic Performance (P) Ltd. The IPRS claims royalty for the original composers and authors of music. 6. at which they are supplying music to AIR). They are demanding Rs. 500 at prime time for 18 such spots. 6. 3. 1. 500 . 12.Minutes have been set aside for advertising.500 to Rs. the total revenue generated is Rs. salaries and other expenses.
. (PPL) are supposed to hold all the rights of royalties.500 per hour (as against Rs. the actual duration of a piece of music.for the music. Thus.000/. 13. Add Rs. 18 advertisements each of 30 seconds can be accommodate in an hour. Add Rs.000 per hour.Rs. 250 per hour of needle time. 6000/. considering the limited range and listenership supposing a 30 .minutes.of the licensee fee to AIR.Radio Advertising
FM is primarily a music channel. In other words.
Radio became the first medium delivering entertainment to the masses in their homes. experts give a lot of credit to David Sarnoff who actually conceived what is called as the "radio music box".
. live musical recordings would be presented in 30 or 60-minute programs.Radio Advertising
Advent of Format Radio
The arrival of 'Moving Pictures' with sound and then 'Television' were expected to be the death knell for 'Radio'. It was Sarnoff who suggested that radio should be mass-produced for public consumption. Audiences were charmed by the audiovisual experience of TV. That was not all. This era was characterized with 'block programming' wherein radio offered something to everyone. sports. Then in the 1950s TV began to catch the public's attention. A large number of popular shows moved from radio to TV. However. People in households would gather around the radio to listen to their favorite programs much as they do today with TV. This saw the beginning of what was later looked on as the 'Golden Age of Radio'. What allowed Radio to accomplish this feat? Read on for the long journey the Radio industry has covered thus far. His persistence paid off in 1919 when such sets were available for general purchase. It was way back in 1895. a Queens based Real Estate Company. It has benefited listeners and advertisers alike and earned the status of a 'Constant Companion'. However Radio has not just survived repeated predictions of its demise but grown tremendously. as the radio industry was also losing a large number of talented staff to TV.. A network soap opera could be followed by a 15-minute newscast followed by one hour of a concert. drama. News. The 1st paid announcement on radio was a 10-minute capsule from Howthorne Court. that Guglielmo Marconi invented an antenna to send and receive radio signals. It took quite a while before Reginald Fessenden developed the first radio receiver in 1913. Early 1920s saw the launch of commercial radio..
They observed that the customers would usually come and play the same songs that they liked. Storz and McClendon used to frequent a local malt shop. format radio definitely made radio not just survive the onslaught of TV but also made it grow tremendously. it had to be relevant to the listener at every point of time in the day. throughout the day.From this insight emerged the "Top 40" format or the "Contemporary Hit Radio (CHR)" format were the most popular hits would be played on a higher rotation. it could update you about your world throughout the day while providing you with the entertainment you like all the time. The shows therefore had to be reflective of various day parts in the life of the listener. It also led to a shift in the way radio programs were scheduled.at that time a radio receiver used to be a status symbol in this country. Radio became "The Constant Companion". But today its possession is taken for granted. As radio was being used as a background medium of entertainment. As the story goes. They realized that radio was the only medium that could be used while doing other things. cooking a meal. studying and more. there are radio sets in about 105 million households in the country. 9
. In fact. the staff serving these people would end up playing just the same songs even when the shop was closed. traveling to office. The total number of radio sets at the time of independence in 1947 was a mere 275000. Radio turned 'local' and moved to what is known in the industry as 'Format' programming. seven days a week. radio experts discovered an opportunity that only radio could provide.Radio Advertising At this point in time. Being the only medium that could be carried and used wherever you are. This led to a change in the way radio time was being sold. Format radio strategy was based on providing the same kind of entertainment to a selected audience. According to estimates. Irrespective of the form it came in. over and over again. which had a jukebox. Sales people shifted from selling programs to selling commercials. This era also spawned two of radio's greatest strengths: immediacy and local service. like getting dressed for work.
unable to shell out the high license fee. July 6. the Government allowed private FM operators to 'buy' blocks (chunks) on All India Radio. (1997-98). the Government gave the green light to privatize radio in India. So. In 1993. the bidding price for the Mumbai license was reportedly to the tune of Rs 9. And in 2000. 93 crores with Times of India's Times FM & Mid-Day Group's Radio Mid-Day becoming the main players. In response to the Government's offer. the FM Radio advertising and sponsorship business grew to Rs.Radio Advertising
History of Indian Radio
For more than 4 decades.
. And the focus on metros was evident in the bidding. book commercials from advertisers and broadcast the whole lot.Not surprisingly. in June 1998 the Government. Expecting to collect Rs 800 million from auctioning 108 licenses. Others dropped out saying the business was not viable. Then. the competition shrank. the Government auctioned licenses for private FM channels to bolster the revenue. Many gave up. But the going was not so easy. 1999 was the historic day when the Government announced that 150 new FM channels would be licensed across 40 cities . players consolidated and the Government extended its deadline. the Government of India did not permit private radio stations to broadcast in India. prepare programming content. through its electronic media regulatory body Prasar Bharti. For instance. A handful of serious bidders chose to remain. the advertising revenue fell by 50% within a year! This time. in effect. the government had to actually face mass withdrawal of bidders because of the huge license fee. there are roughly 10 players who will operate approximately in 37 cities across the country. many companies bid for the licenses to operate in key markets. decided not to renew contracts of private FM operators. Then history changed its course. Today.75 crore. Within 4 years.
won the largest number of bids. The government got the highest bids .for 76 channels in 26 cities. a Zee Group company.2 million and Rs 74 million.Radio Advertising The government collected close to Rs 4. which grew rapidly following the entry of private players Currently.6 billion as license fee for the privately run FM radio channels in 40 cities. respectively. garnered close to Rs 3. the bids for Hyderabad and Nagpur came next. compared to 89% of All India Radio (AIR). while the bids for Delhi were Rs 71. Interestingly. each for Rs 77.2 million each
Radio is expected to follow the growth of the Television industry. New Media Broadcasting.for stations in Mumbai. which focused mainly on the smaller towns.5 million from each of 10 broadcast companies .Rs 97.5 billion. The first round of bidding . FM coverage in India is restricted to just 17% of the country.
Sumangali Publications . Mumbai. Chennai
Hitz FM India FM Living Media Mid Day Broadcasting Millennium Broadcasting Music Broadcasting
1 1 3 3
1.00 17. Chennai.87
Entertainment Network [India]
20. crore) 43. Pune Calcutta Calcutta Delhi.Sun TV Vishakapatnam
0.Sun TV Vertex Broadcasting
Players in Different Centers
Company Location of Centers Number of Centers Bid amount for first years license (Rs. Coimbatore. Bhopal. Bhubaneshwar. Jabalpur.87
Calcutta. Lucknow. Bangalore. Hyderabad.17
Udaya TV . Indore. Mumbai. Mumbai. Music Broadcasting became the first firm in India to commence private FM broadcast from Bangalore in July. Calcutta Delhi. Vishakapatnam
2. Ahmedabad.87 20. Cuttack.17
Delhi. Mumbai. Lucknow Chennai.00 1. Nagpur. Indore.50
Incidentally. Mumbai. Calcutta. Patna. 12
It has also recommended to the government to release additional spectrum for the use of FM radio companies so that the number of companies operating in one centre can go up. The objective is to “make FM radio a success story”. which go up by 15 per cent every year. Revenue-sharing figure is quite low at around 4 %.
Setting up new radio stations
After the second round of privatization. However. Revenue-sharing will follow payment of a one-time entry fee through a process of bidding. Private FM radio sector would shift to a revenue-sharing model from the existing licence fee regime.Radio Advertising
Licence Fee and revenue sharing model
Future of Radio Industry
. it is firm on revenue-sharing now. the panel has fixed it at 4 per cent. It’s better to keep the revenue-sharing figure low than to have a failed project. the number of FM radio stations targeted is around 300 to 400. There has been debate on whether to recommend a revenue-sharing structure or a fixed amount for a period of 10 years.5 per cent. revenue-sharing also exists in the media sector. The panel also suggested that players wanting to enter the sector in the second round of licensing need to have a technical viability clearance by a financial institution on the financial viability of the project. FM players pay annual licence fees. While the private FM players had sought revenue-sharing in the band of 2-2.
. employment & career options.Radio Advertising
FM Radio can play its part in building a stronger business future for India. Also.6 billion industry is reported to be growing by 31 per cent every year and should touch the Rs 6. The new India deserves an active private FM radio sector. for advertisers. though radio has only a 2 per cent share in the Rs 6. With more players in the fray the FM radio industry would grow and also enhance the government’s yield from licensing radio naturally. It is on the basis of these key drivers of growth.000 crore Indian advertising market. various radio stations are coming up with IPO for example Radio Mirchi thus helping them expand. It can provide a level playing field with benefits for listeners. each radio station is reeling under the brutal financial impact of high costs. But at current levels of advertising support. There are an estimated 150 million radio sets across the country. The future looks bright as the reach of radio is expected to raise post the increase in the number and quality of players in the industry. With the government ready to reduce the license fees it will help in attractingnew palyers like reliance which had earlier backed out only due to the entry fees. community announcements and public service messages provide a real value-added service. advertising spending is expected to amount to Rs 500 crore this year.also government allowing foreign players to enter he Indian market it will help the industry grow. it is being predicted that radio's share in the total advertising pie will see an increase in the medium term. with revenue rising at 23 per cent annually.2 billion by 2007. Virgin group has already started exploring the Indian market for suitable partners. Providing free-to-air local broadcasts of music and entertainment. Spearhead the government objective of growing the FM radio business in India. helpful information traffic advisories. The Rs 1.
brochures Radio is considered as a background medium. and reveals that radio listenership habits have changed considerably. the government has agreed upon revenue-sharing model. because people can listen to 90% of India has access to radio which is unmatched by any other media. At the places where the literacy rates are low where people hardly read newspapers and radio is the only medium that they can understand. Radio offers its reach frequency and selectivity at one of the lowest costs per thousand and radio production is relatively inexpensive. are welcoming the opportunity. It is also a free medium. • Radio is the least cost medium and it helps to reach mass audience with various backgrounds. not only are listeners tuning into it more often but also sticking to radio for longer hours everyday. They can’t afford a TV set.
. Therefore. • • • • The advertisers. • • Radio is considered as a medium where the “Proximity to purchase” is very Radio is a complement to another media. So that they can develop themselves well because this industry is still in an introduction stage. Therefore radio is more popular. advertisers or agency can use this medium for brand recall. pamphlets.Radio Advertising
Strengths: • Recently. which is 4 % for the growth of the radio stations. Radio also reaches to uneducated village folk who do not read print or ads in local supplements of newspapers.
publications. who would depend on word-of-mouth. • The success of private FM stations. radio anytime and anywhere they want. other media or the high.
And therefore. • Radio-only nature of radio communication is a tremendous creative compromise.research is very important for any advertising segment. Research is the main base to attract client and get more revenue. Short commercials
Opportunities: • Getting copyright licenses from the government for running mega events which are aired on the AIR radio station and have been restricted to be aired on other private stations. But. • • • Launching a radio station with 24-hour news channel Tie-ups with BEST or railway authority for playing the FM in train and in bus. An advertiser whose product depends on demonstration or visual impact is at a loss when it comes to radio.Radio Advertising
Weakness: • One of the major weaknesses of Radio is that there is very less differentiation in the programmes that are aired. the percentage of listener tuned to anyone station is likely very small. Many advertisers think that without strong visual brand identification the medium can play little or no role in their advertising plans. Many stations are conducting their own research which can be biased. And like its radio message creates a fleeting impression that is often gone in an instant. • Fragmented Audience .the large number of the audience in India is fragmented in various remote places. • • Increase in listenership numbers but no increase in ad revenue. • No proper research available . in India there is no proper research is available. Most of the stations plays much of the music that is played consist of Hindi Film songs. and therefore it is difficult to differentiate between the programmes of the different channels. This is the situation that every radio channel is facing. The launch of Private Radio FM has managed to create a set of ‘New Listeners’ for the medium 16
So. • Leaves huge scope for innovation in local market
Threats: • The biggest threat to private radio industry players is ALL INDIA RADIO. government channel etc… • Because of the new government policies there will be more number of stations and then competition will also increase. and that is the challenge. and gung-ho about this whole enterprise.Radio Advertising • The new radio stations which will come in future they can have venture with the college or university campuses. there is a fear of losing its brand loyalty. At the same time.
. Brand building is thus much more difficult. like. AIR is the biggest player in India because of its reach. This is one of the biggest threats it faces. • • Allowing private FM players to start news and current affairs programmes. • With the coming of the many more new players in the radio industry each channels can position themselves quite different from others. low charges. One has to constantly innovate. And can play their station which will exclusively provide with the information relating to that university/college campus. And then it is easier for the advertisers also to decide on which channel to advertise. With no particular differentiation in the music. if some station is targeting the health conscious people then their programming strategy will vary accordingly. we are very bullish.
34%.2% to reach Rs. There is a correlation between the economic growth rates of a country i.e. with a nominal GDP CAGR of 9. which lags behind other developed and developing countries
During fiscal 2005.9%. 127 billion by fiscal 2006
. is 0.636 billion. and is expected to grow at 14. According to CSO estimates nominal GDP growth for fiscal 2006 is estimated at 10. and growth rates of the advertising industry The Indian advertising spends. the gross advertising spend in India is estimated at Rs 111 billion. The nominal GDP for fiscal 2005 was Rs. 30.94% over the last 10 years (1995-2005).Radio Advertising
Advertising in India
India has been among the fastest growing economies in the world. the nominal GDP growth rate. as a percentage of GDP.
6% 41. Thus. radio.5% 6.5% 7.7% 2.6% 46.4% 0. and outdoor.5% 2. which saw the beginning of satellite broadcasting in India.4% 0. cinema. especially since 1991.9% 0.4% 0. the television broadcasting business.7% 0.9% 43. Reforms and proliferation of private players were the key reasons for this rapid growth of the share of television in the advertising industry.9% 2.5% 0.7% 0.3%
The Indian television industry has grown rapidly. now has over 300 channels covering the Indian footprint.0% Internet 0.2% 46. which started off as a single government controlled television channel. resulting in growing ad spends on this medium.9% 2.4% 47. This growth was also aided by the economic liberalization program of the Government. television.6% Outdoor 8.4% 0.0% 6.Radio Advertising
Segmentation in advertising
The five key industry segments comprise print.7% 2.
.0% 48.0% 43.3% 0.3% Media Spends as % of Total Ad Spend TV Radio Cinema 39.3% 40. The growth of the satellite television audience saw proliferation of a number of satellite television channels offering more choices to media buyers and consumers of entertainment.4% 7. These different segments within the industry are at varying stages of growth and corporatization
Year 2000 2001 2002 2003 2004 Print 49.
5 or Radio City. Go 92. Amul.1 per cent. with 12. Today. Parle. Putting it bluntly. it is undeniable that radio can be integral in exposing a new artist. it can take a great deal of time to make all the contacts and connections that are required for successful radio promotion. Britannia. It is a known fact that retail advertising will grow because radio presents the perfect advertising medium for local businesses in a local environment. depending on country. Globally. new product or services to new fans and taking a local market to a national level. On the higher side are countries like the United States. it is extremely difficult to obtain meaningful airplay. The best way for a new band to get heard by the public and record label executions is over the airwaves. Dr Morepen.9 per cent share of the total advertising pie in India.Radio Advertising
Radio is still the king when it comes to getting your music.5 Red 93. Paradoxically.
. radio currently has only a 2. Radio promotion is an art that demands a certain style you may simply neither have nor desire to cultivate. successful radio promotion revolves around making and managing relationships. Canada. DSP Merrill Lynch etc are dominating the advertising on each one of the FM channels. Nevertheless. if not more. They have people who love to make television commercials. national advertisers and the balance 30 per cent comes from retail. Companies that advertise on FM channels today such as Hindustan Lever (HLL). Advertising agencies that control the national picture will be slow to move on to radio for creative reasons. be it Radio Mirchi. Castrol. implying that it is as important to them as it is to a retail advertiser.7 per cent and Spain. But national advertisers are also operational in the local market. with 13 per cent. On top of that. Santro. 70 per cent of the advertising comes from big-budget. with 9. Accordingly. radio has a 5 per cent to 12 per cent share of the advertising cake.
to Rs 808. e. but the advertising is not . wants to target a specific audience.
.little or no specific detail remembered Sonic Brand Triggers: Much evidence of children's ability to pick up on musical Sonic brand Triggers (SBT’s) and sing them out loud. & Rs. that most advertising is aimed at adults. Radio is the best bet for such small-scale promotions. cars and insurance companies . they have to sit through the full length of any ads which are for irrelevant products.Radio Advertising but don't have anybody who knows how radio works. money from advertising has gone up.4 million in 2000. all of that went to ALL INDIA RADIO. only about 2. like a food chain that is opening an outlet in Mumbai. Here. This makes sense if the advertiser. However. In such cases. in revenue terms. There was evidence of three sorts of memories: Relevant : This includes Ads which mentioned areas or names of specific interest. representing a growth of about 7.
The evidence from the qualitative research is that young people feel their local FM station is aimed at people like them. it has tremendous potential to eat into local mediums. 600 crores in 2002. and up till now. concerts Vague/ not relevant: This includes memories of ads for local garages. Because radio is a real-time intrusive medium. probably quite correctly. Revenue from commercials on AIR. including on Vividh Bharti and Primary Channel (including FM) rose from Rs 393 million in 1990. A clear advantage that radio has is that it can easily target city-based audiences. It is also aptly suited for local promotions. and the print medium is too expensive.9 per cent of the money spent by advertisers goes to radio.g. outlets selling favoured brands. films. it does not make much sense to advertise on TV. and once audiences can be targeted.5 per cent per annum.they feel.
90% of India has access to radio which is unmatched by any other media. educational level or special interest with a format that adds even greater dimensions to its already strong personal communication environment. Radio also reaches to uneducated village folk who do not read print publications. There is no one medium which is ideal for advertisers or every situation. The average adult listens more than 3 hours a day. there are certain disadvantages of this media which need to be considered. employment category. radio builds a large audience quickly and a normal advertising schedule easily allows repeated impact on listener. ethnic or religious background.
Advantages of Radio
1. Therefore radio is more popular.
. income group. Broadly Selectivity
Specialized radio formats with prescribed audiences and coverage areas enable advertisers to select the market they want to reach. From a marketing perspective. Also. Largest Reach and Frequency
Radio offers an excellent combination of reach and frequency. At the places where the literacy rates are low where people hardly read newspapers and radio is the only medium that they can understand. age group. Radio is not only the medium of hearing news but also is a source of entertainment and advertising for the rural masses. Radio has a number of characteristics that makes it an ideal vehicle for numerous advertisers as either a primary or secondary medium.
2. They can’t afford a TV set. radio has the ability to reach prospects by sex.Radio Advertising
Pros and Cons of Radio Advertising
Every medium has special strengths and weaknesses that makes it more or less suited to special marketing problems of specific advertising.
Radio Advertising Radio’s high overall reach and its ability to provide numerous formats make it a multifaceted medium.
3. immediacy. National spots can be produced for about one tenth the cost of a TV commercial. makes radio the choice for numerous product categories. Cost –Efficiency
Radio is the least cost medium and it helps to reach mass audience with various backgrounds. and local stations often produce local spots for free. The personal nature of radio. combined with its flexibility and creativity. Copy changes can also be made very quickly. a strategy that would normally be prohibitively in television.
4. Radio has been described as the theatre of the mind. Creativity and Flexibility
Radio is the most flexible medium because of very short closing periods for submitting an ad. The musical formats that attract audiences to radio stations can also attract attention to radio ads. radio ads can be produced very quickly. it can still have powerful creative impact. Radio offers its reach frequency and selectivity at one of the lowest costs per thousand and radio production is relatively inexpensive. Audiences that favor certain music may be more prone to an ad that uses recognizable. local relevance and creative flexibility. popular songs. Because of the relatively low cost of production. Also. With this flexibility of simple formats such as voice only can be created almost immediately to reflect changing market conditions or advertisers can take advantage of special events or unique competitive opportunities in a timely fashion. Radio also offers timeless. While radio may be one-dimensional in sensory stimulation. advertisers are able to adapt commercials to the various stations then buy. This means an advertiser can wait until close to an air date before submitting an ad.
evoke their emotions.home audience gives the medium an advantage enjoyed by few other advertising vehicles. As a result many advertising agencies will move their budgets into radio.
7. radio is the primary medium for local advertisers. A fundamental marketing strategy for radio has been its ability to successfully work with other media to increase reach and frequency or to reach non-users and light users of other media.
6. voices. music. In the competitive environment facing most companies. it is imperative that brands achieve consumer reinforcement as near as possible to the purchase decision. However for national advertisers and most large local and regional firms. Radio gives the advertisers the opportunity to take advantage of the right combination of words.of . and persuade them to respond. Radio’s daily frequency offers scope for continued messages and hence the consumers are more likely to remember that product and consumer lend up buying that product.
. As a Complement to Another Media
In some cases. Proximity to Purchase
The mobility of radio and its huge out .Radio Advertising
5. A personal medium
The human voice is the most personal means of communication. radio is most often used as complementary medium to extend the reach and frequency of primary vehicles in their advertising schedule. Radio can be targeted by lifestyle formats and is more efficient than other media from a cost and production standpoint. The radio industry realizes that the bulk of its revenue comes from advertisers who use radio as a secondary medium. and sound effects to establish a unique “one-on-one” connection with prospects that lets you grab their attention.
2. some advertisers wonder if radio is offering too many narrowly defined options. advertisers who want to blanket the market have to buy multiple stations. When a consumer is listening while doing some work or traveling in a car. it is difficult to gain effective reach and frequency without buying several radio stations and networks. This could involve dozens of different negotiations and individual contracts. he or she often switches stations when an ad comes and divides his or her attention between the radio and road. which may not be cost effective. However.
. in radio’s quest to continue to fine tune its reach.
3. If a large number of radio stations compete for the same audience. as it is audio as well as visual. an advertiser has to buy time in individual markets on a station-by-station basis.Radio Advertising
Disadvantages of Radio
1. Poor Radio Attentiveness
Just because radio reaches audiences almost everywhere does not mean that everyone is paying attention. In television the chances of such misconception is less. Fragmented Audiences
The large number of stations that try to attract the same audience in a market has created tremendous fragmentation. the buying process can be sheer chaos. Misunderstanding
Sometimes there might be a misconception regarding the radio ad as it is only heard. For those product categories with broad appeal. Chaotic buying procedures
For an advertiser who wants to include radio as a part of national advertising program. Since national networks and syndicated broad cast do not reach every geographic market.
a drawback if the product must be seen to be understood.Radio Advertising
5. Only 20 % of time availability restricts the frequency of message exposure.
8. Some agencies think radio restricts their creative options.
9. Short Lived and Halfhearted Commercials
Radio commercials are brief and fleeting. Sometimes the voice really matters. They can’t keep like a newspaper or a magazine ad. which will be very helpful for the advertisers to decide them on advertising plan and budget and other matter. Many advertisers think that without strong visual brand identification the medium can play little or no role in their advertising plans. No proper research available
In India. there is no proper research has been available on the area of radio listening. Radio must compete with other activities for attentions. Limitations of Sound
Radio is heard but not seen. An advertiser whose product depends on demonstration or visual impact is at a loss when it comes to radio. Creative Limitations
The audio-only nature of radio communication is a tremendous creative compromise.
7. RJ needs training
It is very important that the Radio Jockey is trained enough to deliver the ad. and it does not always succeed. there could be a problem for the marketers in the sense that they might advertise on wrong channel at a wrong time. If the voice is irritating then there is a chance that the campaign may flop. Therefore.
4. They can tailor commercials to the local market and put them on the air quickly – some stations will run a commercial with as little as 20 minutes lead time. Radio advertising is either live or taped. Most radio stations use recorded shows with live news in between . stations. Sponsor Programme Here the advertiser sponsors the whole or part of the programme. Local Radio Local times denote radio spots purchased by a local advertiser for local market. The advantage is less paper work and lower cost per station. sale. Disadvantage includes lack of flexibility in choosing affiliated stations the limited no. RJ Mention/What’s On Mention Here the Radio Jockey [RJ] informs the audience the information given by advertiser about the new product launch. Spot Radio Spot radio affords national’s advertiser’s great flexibility in their choice of markets. 2. of stations on a networks roster and the long lead times required to book time. and copy. Network Advertiser may use one of the national radio networks to carry their messages to the entire national markets simultaneously via stations that subscribe to the networks programs. exhibition going on at certain place etc. The RJ informs the audience about the sponsored company throughout the programme.Likewise.
. It involves the same procedure as national spots. Networks provide national and regional advertisers with simple administration and low effective net cost per station. airtime.Radio Advertising
Types of Radio Advertising:
1. 3. 5. nearly all radio commercials are pre recorded to reduce cost and maintain broadcast quality.
Radio stations divide their rate cards into dayparts . This information is important to advertisers because usage and consumption vary for different products.Friday). an advertiser orders spots on a run of station (ROS) basis. For the lowest rate . similar to the ROP in newspaper advertising . which guarantees a certain percentage of spots in the better day parts if the advertiser buys a total package of time.
. For example. this leaves total control of the spot placement up to the station. so its great time for advertising coffee brands. 6 am -10 am 10 am – 3 pm 3pm – 7pm 7pm.However.Radio Advertising
Radio Stations Divide Their Days And Their Rates.12am 12am – 6 am Morning drive Daytime Afternoon drive Nighttime All night
Rating services measures audiences for only the first four day parts because all night listening is very limited and not highly competitive. So most stations offer a total audience plan (TAP) package rate. fresh cup of coffee.The exact divisions vary from station to station. Heaviest radio use occurs during drive times (6-10 am and 3-7pm) during the week (Monday. radios morning drive time coincides with most peoples desire for a steaming.
sometimes seem a bit too long.
. the announcement of a new or little-understood service. and a. unless very well written and well produced. you may find that 60s. the more chance there it that it will be heard. 60 around 150 to 160 words. this is one case where you might want to use a: 60 to take advantage of the “free” air time. 20 sec. you’ll see that quite a lot can be accomplished in a short time. 30 is usually 70 to 80 words long. A 60 does allow you more variety in music. 10 second spot should contain 25 words 20 second spot should contain 45 words 30 second spot should contain 65 words 60 second spot should contain 125 words If you’ve never written a spot. In other words. Those however are rare. sound effects. and voice and can be useful for political message. 30 seconds sounds like an impossibly short time to get your message across. they charge a unit rate. Research on television commercials proved that this theory holds true for the medium television: a doubling or tripling in spot seconds results in duplication in recall.Radio Advertising
Length of Spots
The radio commercials in the test reels consisted of several different spot lengths. a: 30 costs the same as a: 60. The spots for advertisement can be for 10 sec. The longest commercial played on the radio is 120 seconds. the better it will be remembered or at least. Obviously. Check the rate cards of the stations you are interested in. or ask your sales rep. The cost of a: 30 is usually about 60% to 75%. or other sports with a information/education content. ranging from 15 to 60 seconds. But take a stop watch and time some spots on the air. Instead. Some stations no longer charge a separate rate for: 30s and: 60s. one could assume that the longer a spot. 30 sec and 60 sec. In General. In fact. In theory.
Drive-times dayparts attract a mostly male audience.
2. About 80% of annual radio advertising is placed locally. Your Dayparts Buying Options
Most stations offer several options for buying air time: a) Buying by specific dayparts b) Buying packages c) Buying sponsorships or adjacencies
a). while daytime primarily female and nighttime is mostly teen. guides an advertiser in a buying decision. There are five basic dayparts on basis of which advertiser can choose. Station Rates
While buying procedures to achieve national coverage may be chaotic. Although the actual buying may be time consuming and expensive if many stations are involved. Buying specific dayparts
This relates to the time period of purchase. Advertiser may use one of the national radio networks to carry their messages to the entire national markets simultaneously via stations that subscribe to the networks programs. this does not mean they are completely without structure. syndications. About 15% is allocated to national spot placement and only 5% is invested in network broadcasts. Many stations have local rates for Individual Business and National Rates for Agencies. This information combined with programming formats.Radio Advertising
Buying Radio Time
1. Advertising time can be purchased from networks. the structure is actually quite straight forward. Networks provide national and regional advertisers with simple administration and low effective net cost per station. Advertisers generally invest most heavily in local placement. The time period decision is based primarily on a demographic description of the advertisers target audience. or local radio stations.
Buying packages is an easy. Weekend sports can also effectively reach teens. adjacent to) the program you specify. your ad will run every day just before or just after (in other words. spending less to achieve the same impact. Stations will usually guarantee to divide your sports fairly between drive times and other dayparts. adjacencies. Sponsorships on top-rated shows can cost up to twice as much as other spots in the same dayparts. Total Audience Plan (TAP). Other fixed-position spots are also available. Buying packages
As with magazine buying. Sponsorships or adjacencies
A sponsorship is just what its name implies. Sponsorships. every Monday. and fixed positions go for premium rates. “……………. and these premium spots can be so powerful that you may be able to run far fewer spots than you otherwise would. If you buy an adjacency.Radio Advertising Putting half your sports into drive time and half into midday is a very safe strategy.
b). radio advertising time is purchased from rate cards issued by individual stations. or Best Time Available( BTA).ads that stations choose when to runcost less than ads scheduled during a specific dayparts. Marking a package buy is called buying Run of Station (ROS). You are associating your company name with a specific program. For example. you may specify that you want your spot to run at 6:13 a. The price can also increase if an advertiser wants the ad read live on the air by a popular local radio personality hosting a show during a day part. Having your name associated with a particular show or event can do a lot to reinforce your positioning. usually low-cost method. The advertisers sponsor the whole or part of the programme. Run-of-stations ads. Wednesday. The RJ informs the audience about the sponsored company throughout the programme. Is brought to you by………” An adjacency is the next best thing to a sponsorship. and Friday. This means simply that you pay to buy a package of sports at a flat rate and the station decides (within certain specified limits) when the sports will run.m.
you should also not run on too few stations. These surveys break the audience down by age and sex. Similar survey on listenership has been conducted by IMRB (Indian Market Research Bureau)
.Radio Advertising Sponsorships are like marriages. There are. but that varies depending on your audience and the number of competing stations in the market. But how many is enough?Generally.”)
4) How many stations do you need
Just as you should never run too few spots. break the listening week down into segment. and then tell you how many listeners each station had in each category. that may be all you need to succeed. you should run on at least two or three stations. If your target and audience includes both younger and older people. six months out of the year. like most media. and you can afford to buy drive time on the dominant news/talk station in the market. you may need to buy two or more stations with widely different formats. A flight is a group of ads. a minimum of 20 spots per week should be aired. times when one station will suffice. To really learn who is listening to your spots. survey the local market. Flight and schedule are two words you may hear your radio sales representative use when you plan your advertising.
Radio. however. requires repetition to have impact. (“I’m running a flight of 80 ads this month.”) A schedule is the long-term version of a flight. (“I run a schedule of 20 ads a week. they’re only for people who are ready for a longterm commitment. As a general rule. If your audience is business people. There are scheduling strategies that help increase the impact of the spots you place.
a) Using local radio talent
. Your spot can be clever or straightforward.equipped to produce spots. Production can be done in the station’s own studios or in an independent production house. First. It can also be simple and inexpensive. and sound effects. and one higher. Stations are usually well. and they often employ young. but it must grab the listener’s attention in about three seconds. which means not just the words. All these are part of the script.
1) The Voice
There are two factors concerning voice. and it must not leave the listener wondering. you should use a voice that is appropriate for your image. There are three basic elements to work with: the announcer’s voice. music. music. creative people whose fresh ideas will keep your spots from sounding like everywhere else’s. “whose spot was that.cost options for achieving this. and sound effects. but the combination of words. It all begins with a good script.Radio Advertising
Producing Radio Commercial
Producing a radio spot can be a lot of fun advertisers often say it’s the most fun they ever have in advertising. anyways?” The following are some of the factors you should have in mind from the first moment you sit down to plan your spot.cost option: a) Using local radio talent b) Using an amateur voice c) Hiring professional voice talent. There are two good. low.
b) Using amateur voices
One great thing about radio is that even an untrained voice can be very effective. b) Use free music from the station’s library. Music
The power of music can’t be overemphasized. c) Get permission to use an existing recording by a known artist.Radio Advertising If station produces the spot. Celebrity voices can sometimes be hired.
c) Using professional voice talent
If a very sleek production value is needed hire voice talent from another station.
. in larger markets.
2). In fact. A woman’s voice. (But It’s difficult and expensive to obtain the rights). or even your own can make listeners stop and pay attention simply because it’s not what they’re expecting to hear. d) Buy canned music (sound alike) in the style of many popular composers in all large markets who supply such productions for a modest charge. from a talent agency. Listeners will be less likely to tune it out. one can have the midday announcer do the honors. Get the least familiar voice available. the less the voice sounds like one of the regular announcers. A word of caution: Amateurs can sound stiff and false. but only a small (but increasing) percentage of all broadcast sales presentations are made by women. Female announcers can also be used. the better. the local community theater or. a child’s. one of their on-air people risk having the voice be so familiar that the listener doesn’t pay attention. There are several options for putting music into your commercials: a) Have original music produced. Studies have shown that women presenters are just as effective as men. If the ad runs only in drive time.
are available at the local radio station. an engineer will record the spot while you and the announcer concentrate on the reading. A catchy jingle helps potential customers remember you more than almost anything else. whistle etc. ho ho ho. and it can be a very worth while investment. ding dong. and sound effects. voice. The sound of waves on the shore can help sell your vacation package and bird song can put people in the mood for your spring sale. will be more involved with your ideas. You should also understand. Radio is entirely a medium of sound. The cost runs anywhere from Rs. music.
4. the announcer will operate the equipment. The tapping Session
Once the decision is made about the script. you bring the listener. When you use sound to evoke smells. At large stations and professional recording studios. Sound Effects (SFX)
various onomatopoeic sounds like eeek. can be done having a jingle product. and don’t expect a performance that could only come from someone reading your mind.
. At may be just you and the announcer in the studio.
3).Radio Advertising A lot of radio or TV advertising. and visual images. it’s time to record. sensations. more involved with your spot. Be aware that the announcer may have slight interpretation of the reading than you do.600 to a few thousand rupees.
.6. while the client’s goal is to move product. Dayparts 6 a. As all radio stations are perceived to be same it is important to build value into the radio station by offering credible benefits that produced results and solutions for prospective clients. radio prime time and same as morning drive time News.00 p. The successful ones begins with the clients problem and sales objectives an move systematically to a solution.m.m. or all-news Afternoon.m. Characteristics Drive time. Radio salesperson must begin with the client’s needs and marketing goals. The radio salesperson must be aware that everyone involved in the transaction is looking for different results. breakfast audience.m. . 3.m.00 a. talk shows Music.m. The media buyer is looking for efficient cost per point.00 a. talk . drive time .7.00 a. c) The radio representative may have to show how radio fits into the media mix currently being used by the advertisers.m.Radio Advertising
Selling Radio Commercial
Selling radio advertising involves a number of steps.12. . Radio advertising faces challenges both from within the industry and from other media as it competes for advertising price. b) The salesperson must move from the general advantages of radio to the advantages of specific station. 12. .10. The first step in the process is to meet the client to gain as much information as possible about the client and his or her business. music.00 p. Often the job of the radio sales person must be conducted on a number of levels. . a) An advertiser who is not currently scheduling radio may have to be convinced that the medium in general is for a particular product. music.3.00 a. 10. program characteristics of station.00 p. the next step is to prepare a proposal. talk shows
Elements of good radio commercial
.00 p. After the salesperson has a firm grasp of the advertising problem.00 a. interested chiefly in news Daytime.m.m. 7.m.
Understand the environment 2. Keep it simple 5. emotional. The consumer should not be burdened with too much information. Meaningful statistics can give substantial support to your massage. Plan your production 8. Production values are important 7. focused. Be a clear communicator
Creative Radio Advertising
These are some guidelines for producing creative radio advertisements:1. Dare to be different 9. Laughter. Always relate the brand to customers wants and needs. but they rarely related their features and benefits to factual data. Take it seriously
Steps in Radio Ad Production
. Judge what you hear. conversational English. The central idea should be highlighted. or mental exercises of a consumer during a radio spot help seed the memory and aid messages retention. The effect of a commercial can be multiplied by achieving extension. Engage and entertain the listener 4. not what you read 6.Radio Advertising ⇒ Be single-minded. ⇒ Produce an immediate physical. or mental response. A clever phrase or execution can have consumers asking other people if they have heard the spot. D ⇒ Generate extension. Prioritize the copy points. a tug on the heartstrings. Speak the listeners’ language 3. ⇒ Relate to the consumer. Many clients keep tabs on their competition. ⇒ Use plain. ⇒ Research your product or service.
6. a rehearsal is held. The producer sees that the master tape is prepared for distribution on either tape or cassettes and shipped to stations. If music is to be included. the producer selects a musical director and chooses the music or selects stock music. With the aid of the casting director. the producer selects a recording studio 4. The studio mixes music and sound with voices. if one is needed. The producer prepares cost estimation 3. If necessary. The studio tapes music and sound separately 8. 7. the producer casts the commercial. 5. You are on the air!
Measuring the radio’s effect
Effectiveness research requires clarity of objectives – what are the agreed objectives of the overall campaign and of the radio campaign within this? Radio 38
.Radio Advertising 1. An agency or advertisers appoints a producer 2. 9.
what are you aiming to measure? In broad terms.e. However cases where other media are to be included in the research it might be more appropriate to use face-to-face interviewing. particularly TV. Below are some typical examples: 39
. Commercial recognition is a valuable technique – i. Radio research can successfully be done using telephone interviewing – ads can be played down the line. This way. In other words. and avoids problems of trying to describe the ads. Brand names can be bleeped out of the commercial. if the increase in advertising awareness is greater among listeners than it is among non-listeners. to test whether the campaign is linked to the brand. playing the ads to consumers. the post-stage in the week after the campaign finishes. then the effect can be attributed to radio fairly confidently – even if the listeners think the advertising was in another medium. This is particularly likely to happen where there is a strong executional link between the two media and/or where there is an history of TV advertising for the brand. Consumers tend to misattribute radio-advertising memories to other media. It provides a more robust measure of whether they have heard the campaign.Radio Advertising effectiveness can be measured either using continuous research or in stages (“pre & post”) – the pre-stage is normally the week before the campaign. radio advertising research aims can be categorised into two types: ⇒ Marketing issues – to what extent has radio helped to achieve the campaign aims? ⇒ Media planning issues – what effect do different media strategies have on the performance of the campaign? Marketing Issues:.
1) Defining the research objectives
The key to any successful research is to have a clear understanding of why the research is being conducted in the first place.These vary widely and there can be often more than one objective set for a campaign. This tendency to misattribute can be offset by using matched samples of listeners and non-listeners.
Media Planning Issues: . when testing different media strategies. If you do intend to test a particular media strategy there are three important considerations to note. Whatever your research objectives.Use of different day part strategies. if you are testing a number of media strategies simultaneously.Effectiveness of different spot lengths . you will need to be able to separate the effects of each using a separate.Burst versus continuous activity . Lastly. for example: . once you have defined them make sure that they form the core of the questionnaire you use.In addition to tracking radio’s contribution to the success of a campaign. you must gear the campaign so that you can test the particular media strategy in which you are interested. Secondly. balanced research “cell” for each media-variable. as a secondary aim you might also be trying to test and evaluate the effects of using different media strategies.there are specific tools available for measuring sales effects for example.Radio Advertising . Any other questions are of secondary importance
2) The Importance of Split Samples
. Firstly.Increase sales Increase footfall / store traffic Increase brand awareness Change consumers’ perceptions about a brand Broaden consumer appeal Not all of these aims are best evaluated with consumer survey research . and most obviously. bear in mind that you will still be judging the effects in terms of the overall campaign objectives.
It is particularly important to use split samples where radio is part of a mixed media schedule in order to gauge the true radio effect. with the result that campaigns in all other media are. Avoiding Misattribution: Using Split Samples:The simplest solution to the problem of measuring true radio awareness is to split your sample into two parts: listeners (target consumers who have been listening to the radio stations which carried the advertising) and non-listeners (people who do not listen to those stations. as the medium with the most active expectations. 41
. Local distribution levels for the brand will also be the same. If the only difference between the two samples is their radio listening. Which Option Should You Choose:Neither of the two approaches above is necessarily better than the other. This misattribution is disproportionately likely to happen with radio and is still more likely to happen when radio campaigns are creatively synergistic with TV executions. tends to dominate memories of advertising.Radio Advertising Misattribution of Advertising:When asked to consider advertising. to varying extents. Television. then any differences in their awareness or attitudes to the advertised brand can be reasonably attributed to radio – regardless of where they think they have seen or heard the advertising. the second method has the advantage of questioning people who will have the same history of exposure to the brand. attributed to television in the consumer’s mind. but who are the same as the listeners in all other respects). However. consumers will turn their thoughts to the most salient source they can think of – this tends to mean TV.
thus giving you a measure of radio’s effectiveness. In this way. It is important to match the media consumption of the samples (e. the other in an area where no radio advertising ran. The two geographical areas should also be comparable – (or “typical”) in terms of media and product consumption as a whole. it will be possible to compare the results among those who have been exposed to the campaign with the results among those who have not . as this could affect response. how much TV they watch etc) as well as their demographics.
3) Where to do the research
Test And Control Samples In Different Areas:This involves taking two matched samples of respondents in different geographical areas and comparing their advertising responses – one sample will live in the advertised area.g. This ensures that any differences can confidently be attributed to radio ad exposure.
. media consumption and weight of exposure to the brands’ advertising in other media.Radio Advertising The key point is that the listener and non-listener samples must be matched as closely as possible in terms of demographics. It is equally important to ensure weight of advertising for your brand in all other media is the same for both samples.
Often. since this allows movements in advertising response to be compared directly to current advertising activity. however. In this way it will be possible to compare the results of those who have been exposed to the campaign to those who have not giving you a measure of radio’s effectiveness. continuous radio research is impractical on grounds of cost unless it forms part of ongoing advertising tracking.
4) When to do the research
The ideal research method is to monitor advertising activity on a continuous basis. whilst the other part of the sample will comprise people who do not listen to any station on the schedule. One part of the sample will comprise people who do listen to the station(s) on your radio schedule.Radio Advertising
Test and Control Samples within the Same Area In this second approach. all of the research is done within the same area. Typically. radio research is conducted in two stages .a pre-campaign and a post campaign study.
. having done the post-research. ⇒ The post campaign study should be conducted as soon as possible after the radio campaign has ended – ideally during the first week after the campaign has come off air. This will establish the base levels of whatever is being measured (eg brand awareness). the cost of an increased sample size becomes cost prohibitive and contributes little extra to statistical robustness. Face-to-face interviewing may also be preferable if respondents need to be shown visual ad material such as stills from TV ads.
5) The research sample and sample sizes
Sample Sizes Generally speaking. Radio ads can successfully be played down the phone to respondents. In some instances one considers conducting more than two stages of research. the larger the sample the better. say. to track decay in brand awareness. However at some point.
6) Method and questionnaire
Telephone research is often used for assessing the effect of radio campaigns: the method is adaptable and can often be cheaper than face-to-face interviewing. consider adding an additional stage of research some weeks after a campaign has ended in order.Radio Advertising ⇒ The pre-campaign study should be conducted as close to the start of the radio campaign as possible – preferably during the week immediately preceding the radio campaign. it might be worth slotting in an additional research phase during a particularly long advertising campaign or sponsorship. For example.
A fairly straightforward questionnaire will take around 10-15 minutes to run through – much longer and respondents will begin to lose interest and concentration!
. attitudes to the advertising/feelings about the proposition). It also delivers a larger sample of people who are identifiable as having definitely heard the campaign: this is useful when analyzing them for their attitudes to the brand. ⇒ Branded .e. it is possible to see whether creative treatment has successfully linked the message to the brand. When playing the radio commercials in order to measure commercial recognition. whilst giving a true measure of ad recognition.Radio Advertising Commercial recognition is a valuable technique – i. ⇒ Blind By bleeping out all brand references in each execution and asking whether the commercial has been heard before and then asking for the brand name.g. playing the radio ads to consumers – as this is the best “memory jogger” of all.this allows prompting for brand-specific data. (e. two different approaches can be taken: blind or branded.
In communication:Given that Radio is perceived as personal medium. demonstration.Radio Advertising
Radio with other media
Most brands tag radio to their existing communication plans. Reason enough for us to study the role of Radio vis-à-vis other key media. This is mainly because it does most things well . radio has a culture of response where listeners frequently interact with their station which they see as accessible. b) Communication and c) Detailing of communication points. persuasion. radio can be used to reach light viewers.
Radio with Television
Characteristics of Television TV has traditionally been the most powerful and popular advertising medium for people in the media business. it extends TV messages to key times of day when TV audiences are lower or when product relevance is higher.a) Planning. frequency. radio also allows tighter targeting against audiences thus reducing wastage. Traditionally a high-cost medium. impact etc. radio can bring brands closer and speak to the consumer at their level.coverage. either in the same period as the TV campaign or later to extend the campaign over time. image.
. production costs are extremely high and viewers are increasingly avoiding ad breaks. the downside with TV is that the audience is now fragmented across many different channels. What radio can add: In planning:Radio's main contribution is a dramatic increase in frequency of exposures. radio can be used for regional or local exposure booster. 'what Radio can add' to each medium on three key parameters .
Example of powerful SBTs: "Britannia Ting Ting Ting" They help to ensure that TV and radio advertising is well branded. can be transferred on to radio. 47
. What radio adds: In planning:Radio adds frequency. They leave a brand impression with even the most passive TV viewer or radio listener.Radio Advertising In detail:Radio allows activity to be geographically varied. which may seem flat on the page. low production costs mean multiple copy messages can be varied round the core TV communication Sonic Brand Triggers. radio also reaches non-readers so it can significantly increase coverage. adding radio also means increased share of voice thus overcoming clutter In communication:Radio brings intrusiveness to a press campaign. A sound. and this is real frequency in that exposures take place in real time. Sonic Brand Triggers are sounds. Radio brings brand messages closer to the individual. which are absorbed at very low involvement levels. which consumers recognize and associate with certain brands. the national press suffers from clutter and from the fact that the reader can and does edit ruthlessly to avoid advertising. radio allows brands to emphasize specific key times of day. it can bring to life ideas. which has been successfully established on TV. speaking in a more personal way than press. radio can allow a fast turnaround for new initiatives. Newspapers also have the authority of the written word. As a print medium. as they tend to rely on rhythm and music. and there is less ad avoidance. radio can more strongly convey the brand's tone.
Radio with Newspapers
Characteristics of Newspapers Newspaper brings 'immediacy' to a communication. and are good at presenting detail. in most sectors.
. as listeners identify with their radio station and see it as aimed at people like them. radio brings brands closer. What radio adds: In planning:Radio adds real frequency. In detail:Radio offers speed of production compared with the lengthy process of poster print deadlines.within time of day. Like radio. striking ideas to be effective. in the sense that additional exposures to the advertising are played in full rather than having the listener look away or ignore.and it suffers from relatively expensive production.
Radio with Outdoor
Characteristics of Outdoor The strength of outdoor advertising lies in its ability to suddenly confront the consumer with an idea or a challenge. radio also offers tighter timing . in a very public way.typically travelling time. radio is better able to communicate the tone or character of a brand. posters also operate within time which people think of as free . it uses extremely simple. The weaknesses of outdoor advertising mainly stem from three issues: it has no editorial context. radio allows multiple copy. which is useful for explaining or persuading. radio offers far tighter targeting which means reducing wastage.Radio Advertising
In detail:Flexibility means radio allows geographical variation on top of a national press campaign. day of week or even week of month. it also allows localized copy variation relating to a national poster execution. In communication:Radio allows more information to be conveyed.
the high levels of clutter. It allows brands to speak to consumers close to certain activities .driving. and the opportunity for geographical variations. In communication:Radio brings intrusiveness to a magazine campaign. housework etc In detail”:Radio offers fast turnaround within the long copy deadlines of magazines. who consume them in a personal way. radio can more strongly convey the advertising tone of voice. cooking. radio can bring to life ideas which might seem flat on the page. At the post-stage. Weaknesses of magazines include the fact that lead times can be very long depending on the title's frequency of publication. They allow targeting by lifestyle and interest group.time of day. radio also offers a greater share of voice for most categories. ⇒ Thoughts on what the main message of the ads was
. In many magazines the ads are seen as part of the magazine experience. ⇒ Recall of advertising.Radio Advertising
Radio with Magazines
Characteristics of magazines Magazines are useful to advertisers because of the relationship they have with the readers. day of week etc. which means overcoming clutter. ⇒ Commercial recognition – playing the ads to respondents. radio allows tighter timing . and there is less ad avoidance. you will be seeking to detect spontaneous and prompted awareness. and the reader's inclination to simply turn the page. What radio adds: In planning:Radio adds frequency and also extends coverage well beyond the magazine readership.
The findings have helped many radio stations to develop. When the questionnaires are filled.000 households and 3.the continuous radio audience measurement system in Mumbai. IRMB believes that time is ripe for a continuous Radio audience measurement system. or on particular request by a company.Radio Advertising
Creating the right mix
A fieldwork was conducted by IMRB(Indian Market Research Bureau) to know about the listeners which encompassed the entire Mumbai urban agglomeration through a random sampling of 6.600 individuals. All the interviewers are informed of the above and a questionnaire is given. The following is the standard procedure involved in calculating the listenership of a radio station. they are complied and sent to the analysis department
. • • • • • Then the analysis findings are forwarded to the research department and published A project is selected and a deadline is given. With the growing salience of Radio. The research can be undertaken by the research agency voluntarily to be sold later to companies. IMRB International decided to launch RADAR RADIO LISTENERSHIP SYSTEM . A sample size is decided which is spread all over the target city / town etc.
5 SLBC World Space VOA
At the country level:
Total awareness of radio stations
Gender of radio audience Female 42%
.6 Go 92.100 90 80 70 60
50 40 30 20 10 0 AIR FM1 AIR FM2 Vividh Bharati Radio Mirchi Radio City
M ale 58%
BBC AIR Primary WIN 94.
7pm . Prasar Bharti(AIR) has the highest awareness which is due to the fact that it is a government channel with a pan India coverage and enjoyed monopoly when the radio space was shut for private players.11pm
8% 6% 4% 2% 0%
% liste n e r s
Socio Economic Classification
Listenership by time slots Analysis
While the overall reach of radio in India is high it can be seen above that awareness of private radio channels is not much.30 .11.7am . Being 52
16% 14% 12%
D/E 10% 45%
Which is why the new entrants are vying for their share of the pie and encouraging the government to release more airwaves for them.Radio Advertising the only service provider it was able to penetrate deep into the Indian market. While the sec A. As the 7.30 to 11 slot is the most important slot because many listeners are tuned in the shows are generally family oriented as everyone mostly listens to them and news programs on government owned stations. The private fm players mainly having license for big cities and towns although are gaining awareness in cities and towns they are still in their growth stage and for them to be known everywhere they have to diversify geographically and reach the rural population where the radio is a very important medium of entertainment.50 which make it very affordable. Based on these findings most of the radio stations have categorized their shows and advertisement rates to meet the needs of its audiences which can be seen in the various positions of the stations. For marketers it then becomes necessary to identify the audience they want to target and respectively book their airtime so as to reach the right audience with the right mix at the right time
. Various shows are held by the radio stations. specially the teenagers ! When an advertiser places an advertisement he has to make sure that his target audiences are met through this medium. In order to meet the requirements of its listeners and its corporate audiences. on the other and the 11-2 slot has the women segment listening while the nights are more concentrated on teens. giving the advertisers a vast array to meet their specific target markets. Radios are now available at prices below Rs. However with new players entering the market and providing them with the content they want the trend is now changing more people are switching on their radio sets even in these categories. B have a wider variety of entertainment available to them radio is not widely used. Radio is very popular with the sec D/E market due to its cheap cost.
Sound broadcasting started in India in 1927 with the proliferation of two privately owned
. developed and operated by the Ministry of Information & Broadcasting under the Government of India. which is a national service planned.Radio Advertising
All India Radio
When India attained Independence in 1947.I. educate and entertain the masses.'s coverage exceeds 90% of India. 50 high frequency (SW) transmitters and 87 FM transmitters. For FM it has other ideas . plays. spoken word and other topical programs. sports. All India Radio is one of the largest radio networks in the world in terms of reach. newsreel. 1988. Add FM radio and you have a formidable arsenal. music. namely.
New initiatives by AIR
Change is in the AIR. A. All India Radio has a network of 283 broadcasting centers with 146 medium frequency (MW) transmitters. reaching over 98% of the people in the largest democracy of the world. Prasar Bharati now plans a 24-hour news radio station not on FM. Including North-Eastern Service at Shillong disseminates the vibrant and radiant cultural heritage of the Northeastern region of the country. The Regional Stations in different States form the middle tier of the broadcasting. AIR had a network of six stations and a complement of 18 transmitters.Radio Advertising transmitters in Bombay and Calcutta.classical music channels to start with in Bangalore and Lucknow and to be extended across the country later.
. With broadcasts in 24 languages and 146 dialects (home services). through its transmitters at Nagpur. but on shortwave. It caters to the needs of the people.R. It transmits centrally originated news bulletins in Hindi and English. Mogra and Delhi beaming from dusk to dawn. regional and local. and another 10 foreign languages in external services. It was changed to All India Radio in 1936 and it came to be known as Akashwani since 1957 to inform. AIR has a three-tier system of broadcasting. national. National channel of All India Radio started functioning on May 18. to nearly 76% of the country's population fully reflecting the broad spectrum of national life.
The service. Chat shows. setting up radio clubs and maximizing AIR revenue. Prasar Bharati is positioning AIR FM Rainbow as a channel offering a buffet fare .K. The entire publicity campaign of AIR is being designed by Prasar Bharati's ad agencies.Mittal. AIR planned and developed special packages for the North East and J&K. recommending a suitable positioning for AIR Channels. Prasar Bharati is also planning to fill the vacancies in regional stations. family and Associates. a venture promoted by Star and Music Broadcast Private Ltd (MBPL). Western Music. a marketing plan and publicity plan with suitable media mix.Hindi Music. especially in North East and J&K. Kolkata and Delhi at different numbers. Prasar Bharati is set to launch a major campaign aimed at repositioning and total branding of the two FM Channels of All India Radio (AIR). It will promote and publicize sports events covered by AIR besides popularizing existing services like Radio on Demand and News on Phone. The ad agencies have been asked by the Prasar Bharati to make a strategy presentation. was launched on 21st May 2002. AIR as the radio network that communicates with people in their language broadcasting in 24 languages and 146 dialects contributes to the enrichment of Indian classical music and broadcast fast and accurate. will also cash in on phone bulletins. which produces more than 300 bulletins daily. The publicity campaign of AIR is focused on projecting AIR as the world's oldest and largest radio network both in terms of geographical and population reach and the only source for news and entertainment for people in remote places. Helplines etc. will be launched across the country with a four-digit common number.Radio Advertising AIR.
RADIO CITY [91FM]
Radio City. focusing on the rich cultural heritage. Hyderabad. The company has received the license to set up radio stations 56
. development of infrastructure and the changing scenario in the state. and for this it is launching a campaign in select cities. which is on in Patna. MBPL is a company backed by P.
1. The channel is into sponsoring events especially college festival around Bombay city. in mix of Hindi and English For corporate and retailers: . The idea is to create the brand and then to move on to specific target programming. Intensive research is being carried out to ascertain demographic profiles of radio listeners.Music. This is thanks to its promotions. Patna. so as to enable more targeted programming in the future. marketing and programming.
Radio City is not looking at any particular segment to target. On the promotion front.Bangalore. Hoardings all over the city. Radio City aims to reach out to listeners across demographic barriers.Bangalore. the channel undertook huge promotion campaign in the initial stages of its launch. and is trying to create a brand name. 2. Nagpur and Lucknow. a perfect blend of English and Hindi music. information. a portfolio of entertainment programming 24 a day. Nagpur and Lucknow. Delhi.The airtime. Mumbai. STAR India’s radio division would provide or take charge of advertisement sales.Radio Advertising across the country in six cities . The Mumbai license was secured for Rs 10 crores. Radio City’s market strategy is backed up by six months of intensive research in Bangalore. vivacious RJ’s. Mumbai. Price: Advertisement rates Promotion: Radio city is one of the top 3 stations in the city. The Television “fun ka doze har roz” ad campaign. Selective in the sense that it has set up radio stations across the country in six cities . Delhi.
The 4 P’s
Product: For listeners . Patna. Place: Intensive (all over Bombay) also. teamed up with professional. hours
IBM and HLL. Radio city is trying to drive the market by encouraging the ad spends on radio to increase from two per cent to the world average of 10 per cent.Radio Advertising
Advertising with Radio City
Radio City also hopes to provide an effective advertisement medium.
GO [92. This is to fulfill the aspirations of national advertisers seeking vast local reach as well as to local advertisers to access an organized medium for projecting their products and services. from small local stores as well as big brands like Tanishq. it is a question of marketing a new medium and educating people about it rather than having to explain the concept of advertising per se. make them listen to it. The process is pretty lengthy. The retail market. and of breaking new ground whereas with national advertisers. probably create a radio spot. Hence. Radio City will have a four-hour slot in its 24-hour broadcast for advertisement. breaking to a 10-minute projection in every hour's programmed. involves one-on-one sales and education as to how advertising will help the brand. sales and marketing support. Because of this the strength of our retail sales team is three times that of our corporate sales team because in retail sales there is this job of exploration and education. the success rate with national advertisers is a lot higher than in the case of retail advertisers. Radio City has managed to attract advertisements. So they talk to them about radio.5FM]
. besides advertising. Star India is in-charge of providing the content. tell them this is how the brand will sound when on radio. National advertisers are all familiar with the concept of advertising. on the other hand.
They are clear on their strategy and have already started catering to a certain set of audience that is mature. with a heavy local flavor. Therefore. target audience is young.5 FM was launched on 10th May’2002 by mid day group. white collar executive whose needs are clearly English music and programming.5 FM now targets only the socio economic category (SEC) A and B1. trailblazing media company. It primarily plays English music.
Mid-Day's Go 92. Radio Midday seem to have found a niche for themselves and clearly positioned themselves as 'the English Channel with a local/Indian image'. belting out the best hits non stop 24 hours a day. the channel targets the age group of 15 to 45 year old. white-collar and upwardly mobile. The wonderful world of Go 92. It does not only concentrate on Hindi or English but emphasizes on the attractive blend of both the world.5 FM. entertainment and business. Corporate aiming to serve the cream class of Mumbai can select go92. educated.5fm as a part of their communication programme. Not to say that big Indian artists with big fame do not feature in their mix. and more westernized. along with sports. So if the advertiser wants to target a niche population with a fastidious ear for English music you know where to be! It delivers the best international chart topping hits and the most with – it bollywood sounds. Providing an attractive blend of 50:50 Hindi & English programmes.
The 4 P’s
Product: For listeners: the station is focusing on music of course. Go92. a focus on international artists popular in India. to get an edge. For corporate and retailers: The airtime 59
.Radio Advertising GO 92. “The Sound of Mumbai” from Mid Day multimedia limited.5 FM targets the upscale Mumbaikars.
At that time. Wherein auditions would be held for potential talent and the finalists would then be exposed to in house training sessions. So. Not just a LG CDMA but a LG refrigerator and AC can also be advertised. First. Second.5. which was presented by Colgate Fresh Energy Gel. Then they figure out how do they juggle it.Radio Advertising Place: Intensive in Bombay and exclusive because it does not have a presence in any other city. In complete tandem with the festivities. their immediate reaction is ‘yes’. the station had also launched a 13-week College Radio hunt some time back. they can have consumer durables on the channel. there are many new clients that will come in. how they’ll fit it in and this programming mantra helps them in that. Price: Advertisement rates (Refer to annexures) Promotion: its presence is made known through hoardings. especially with the coming in of the 11-2 afternoon slot. displays at traffic signals etc. They have a classified section on
Advertisements with GO 92.5FM
GO 92. That is by virtue of the audience profile that Go are bringing. Go is a youth-centric station and they felt that better way to make their presence better to partner with college festivals
Go 92. it is a double positive impact on advertisers.5 has in fact re-christened itself as Mumbai’s College Radio station. when the client presents the germ of an idea. indulge in experimental big stuff. 90% of their advertisers are the large tickets. They have retailers also. which would equip them with the capabilities of hosting radio programmes of their own. There are two effects of this kind of the new programming. That ways they try to be the preferred destination when an existing client wants to sponsor an event or a radio property.
BPL Mobile. Go does not plan to hike rates because they are looking at consolidating at the current rates and also trying to minimize the discounts they give to our clients on the rate card. Tata AIG. Timex watches. Alitalia airways. Orange. Zee English. McDonald.5 and they have had the majority of the revenue coming in from niche English channels such as Star Movies. Kellogg’s. The top advertisers on Go 92. Zee MGM. HLL. STAR network that is star world and movies.36 crore. Cadbury. AXN and Discovery. But those are basically the advertisers who are very keen to be on the station. Discovery. Asian Paints. Other advertisers are Tata Motors. the station has garnered total revenues of Rs 1. A few big Hindi properties such as Awaaz and Jeena Isi Ka Naam Hain have been promoted extensively as well. Max New York Life.Radio Advertising the station called Mumbai bazaar. The station is seeing a 50-60 per cent quarter on quarter growth.com. During the first half of 2003-04.
. Colgate. There has been a sizeable increase in channel spends on Go 92. Sony Entertainment TV. Star World. Zee TV and Tata Indicom. Bazee.5 in September 2003 were Coca Cola.
An additional Rs 20 crores has been invested on infrastructure etc in these three cities. screams the advertisement of Red FM. as a bright.5 Red FM caters to 25-plus age group. reliable.
. friendly. 2002. followed by Delhi and Kolkata. warm. For corporates and retailers: the airtime Place: Intensive in Mumbai and selective all over the country because it has other stations in Delhi and Kolkatta. Described. city-specific events and the latest buzz on everything current. weather.5 MHz hit the airwaves in Mumbai first on June 26. Mumbai and Kolkata for the first year. And in the second phase. the 24-hour FM radio channel from the Living Media stable. The ‘take aways’ are plenty – everything that the station says and does is of relevance to its listeners. Red FM may not be modest but it is certainly witty. They changes everything in terms of how we play music and the RJs we have according to this target group
The 4 P’s
Product: For listeners: The programming mix has non-stop music interspersed with Red FM’s ‘crisp’ and ‘entertaining’ updates on traffic.87 crores as license fees for the three centers of Delhi.Radio Advertising
RED [93. uncomplicated and honest. RED FM has spent close to Rs 17. Because it is more a mature audience. The much-awaited Red FM on 93. energetic and passionate Apparently.5FM]
“Red is in your Head”.
but is a total experience. With in a few days of launching. Every committee hosts its own festival and Red has been in touch with committees from Jai Hind. tailored to the customer’s needs. this is an important task in terms of helping the advertiser.
Red Fm does not go to sell radio spots but works like a consultant with the client. trains etc have also been adopted. Based on the need of the advertiser. towards the influence of one station with the other. Red is also focusing. They have 100 hoardings all over Mumbai city. they went on air live from a night club like Velocity and received a huge response from the listeners.
It stays connected with youth by being in touch with the committees of various colleges in order to collaborate with them on internal festivals. for the first time in India. which promote the station.Radio Advertising Price: advertisement rates. KC. Moreover. They have other high profiled clients like Sony
. Also it has a tie up with shopping malls like crossroads and ‘Groove’ a music store. their job is to suggest that instead of a 30 second spot. So if a retailer wants to announce his sale and he does not have a big budget. innovative methods like painting Double Decker buses. HR and nearly every other college in North Mumbai. (Refer to annexures) Promotion: Red Fm is affiliated with some clubs and pubs. use their strengths and improve co-ordination between the three stations. Recently. Endorsing advertising on RED is not just about buying spots. they form a healthy percentage of advertisers. they suggest the best ways of achieving the objective. Red’s current advertisers profile includes both retail clients and corporates. play a 10 second spot through the day. they carried a DJ live on turntables from their studios.
they would advise the drive time hours or the late night show. Zee. there would be food-related brands advertising on it. music. For male dominated products. none of them have refused to consider them in their media plan. background conversation. ICICI Prudential. They take 100 % money in advance from the direct client. and therefore they faced a major drawback in terms of losing out on a number of corporates. face-to-face conversation.
. similarly. Coke. However. If there were a programme on beauty tips. There are several questions that RED FM identifies before making a time-band suggestion. Their revenue only from Bombay is more than two crore. 4. as they had already freezeed their media budget for the year. The do give some discounts to the accredited ad agency. They do produce jingles according to the advertisers and if the advertiser or the client wants to use that jingle somewhere else in some other media. then the client has to pay substantial amount of money to radio station because if they produce a jingle that is their assets. Idea.and the rates might increase or decrease depending upon the need of the advertisers. HT.Radio Advertising Entertainment. They normally charge around Rs. Is it a women’s product? Is it male-oriented? Is it a retailer? If it is a retailer. the shortcoming is only in terms of delay. The normal jingle length is 10 seconds and again here rates will differ on the basis of the sound effects. LG. And from the nonaccredited ad agency. Hutch. State Bank of India. Red FM was launched six months late. we would advise a cosmetics brand to advertise on that programme. length of the commercial. they could slot it in the 11–6 time band when people are going to the market or when a housewife might be listening to the radio while cooking. if there were a cookery show. Metlife. Kotak Mahindra and Dabur among others.000/. surveys reveal that a number of men like tuning in to radio just before sleeping.
and their Target is around 18 to 35 . 9 crores annual fees for Mumbai). owned by Entertainment Network (India) Ltd. Indore and Pune. debuted in Mumbai. Radio Mirchi is now present in seven Indian cities and is the only company with private FM radio stations in all four metropolitan cities of Delhi. on 98.they are a contemporary hit radio station. the Radio Mirchi private FM station. a wholly-owned subsidiary of The Times Group. 'it is hot.3FM]
Radio Mirchi belonging to the Times of India Group is in an enviable position to encash into a monopoly the 10-year license period for FM radio in the 12 cities it won.' They have a very clearly defined position . Radio Mirchi has landed this gift indirectly from Reliance and Zee who chickened out of the FM radio business after instigating a bidding war resulting in unviable and exorbitant license fees (Rs. As the punch line says. On April 23. 2002.3 FM.SEC A and B and in that too mainly youth and housewives. This segment addresses about 12 lakh listeners
. Mumbai. Chennai and Kolkata. they are also the only private FM radio broadcaster in the cities of Ahmedabad.Radio Advertising
RADIO MIRCHI [98.
The 4 P’s
Product: For listeners: 90% of the music played on RM is Hindi and contemporary English hits are played keeping in mind the tastes of their TG.
. Radio mirchi has two main objectives behind doing an extensive marketing which are• • To create the Top of the Mind recall in the relevant Target Audience. For corporates and retailers: the airtime Place: intensive in Mumbai and selective all over the country since it is established in cities like Kolkatta. A very large factor that contributed towards the establishing the brand of RADIO MIRCHI was its catchy slogan “it’s hot”. Delhi. plug Radio Mirchi through the other media that The Times Group owns.it also does a lot of tie-ups and contests for the consumers
Radio mirchi has also tied up with various shopping malls. Chennai. RM later made a conscious decision to go Hindi. CELEBRITIES and film stars that repeated every so often “hi I’m -------. pubs for continuous advertisement of their channel to make people aware of the temptations given by the channels to them.I’m hot and I’m Radio Mirchi!!” big names that generated curiosity and excitement and compelled the listener to refrain from flipping the dial.. However the slogan by itself was incomplete without the voices that accompanied it. Since radio is a free to air medium. retail showrooms. Connect with the growing Radio listening population in Mumbai. Price: The advertisement rates. (Refer to annexure) Promotion: The marketing strategy of Radio Mirchi revolves around two crucial pegs – create hype around the name Radio Mirchi. Hence it quickly became a mass channel with Hinglish being its prime lingo and having a wide audience appeal. which reaches the lower end of the audience spectrum.
There are about more than 300 advertisers on Mirchi.Radio Advertising
Radio Mirchi charges the highest rate of Rs 2. The rates are so reasonable that advertisers can afford 10 or 15 spots a day and run the campaign for 15 days or three weeks at a fraction of the cost that you will incur in print or Television.000 for a 10-second slot. the effective ad rate going for a ten second spot would be anywhere between Rs 1000 to Rs 2000. there are 125 to 175 brands advertising on Radio Mirchi. Radio mirchi sells independently and does not offer any print package deal even though they belong to Times Group – they are an independent company. Clients buy effective rates and they buy a combination of spots like prime time.000 and Rs 1. On an average. stations offer discounts on what is on their rate cards. While all the other stations offer more slots and run ads for over 15 minutes. But in Mumbai it is at 10%. There is very little retail advertising on radio. In Indore more than half of Mirchi revenue comes from retail. In most cases.
. So they have package deals for them also. Currently. Radio Mirchi gives 45 lakhs weekly listeners as per Radar study. on an average. Today it is fashionable to be on radio. non prime time and the likes. across the five stations. Most of the national advertisers on radio mirchi today want to buy all the stations on air. the rest of the FM channels charge anything between Rs 1. they offer ten minutes per hour on Radio Mirchi. There is an average listenership of 45 minutes per day on the station. In Ahmedabad and Pune it is probably about 25 to 40% of the business. Currently radio mirchi has hiked their prices because they know that Radio Mirchi today is one of the best radio channels and they offer value to the advertisers who spend on their station. There is huge inventory pressure on them and therefore they had to increase the ad rates.500 for a 10-second slot.
Hence. 1 channel and delivers high numbers with Daily listenership at 24. So when the advertisers wants to advertise on radio. Lucknow and Kanpur. accordingly.000 radio stations. Ludhiana. But this country can have 5. Chandigarh. which means going into the smaller towns. Radio Mirchi emerges up as the No. Mirchi would eventually look at having a presence in every nook and corner of this country. They are interested in some of the bigger cities for instance. Bangalore. definitely Coimbatore. That will still take us to about 15 frequencies.
.63 lacs.Radio Advertising IMRB conducts research for radio mirchi which is after every 15 days to know exactly what the listeners actually want to lend their ears to. Hyderabad. radio mirchi can provide them with the more information and help them to decide on the time slots and frequency etc… According to the study conducted: Mirchi delivers highest number in terms of listenership among Housewives and working men. they have implemented the changes in the time slots of the different shows on air.
Future Plans:Radio Mirchi is looking radio Industry from the long term point of view. Radio Mirchi delivers highest number in terms of listenership among the Radio Listening student population.
the Asli Batliboi and Ding Dong .I. Promotional strategies adopted by Airtel through radio: uff Uff Mirchi! Hai Hai Mirchi! Airtel is now the first GSM service provider to tie up with a radio channel for the users benefit. India’s leading cellular operator in the private sector. Bappi-da Da Gyan. Its major competitors are orange and R. Airtel is creating an attitude of being people friendly and thus gaining huge share in the market. Mirchi Movie of the Month. Airtel saw this as an opportunity to grab the most number of customers through radio and their started spending more on radio than ever before.M and various other providers. Mr. Hotpot Crackpot. Devdas . Operating in more than 23 cities it has been able to attain a high number of customer and is now regarded as one of the best cellular services being provided in India. The radio channel in question happens to be Radio Mirchi. To avail this innovative tie-up. the reason being the huge radio boom with the large number of customers tuning into radio more often than ever. However it has a long way to go as no one is ever safe in this market and one has to keep up its good work going. With increasing competition airtel is now going in for more of radio advertising as against the television . the users need to dial 646 from their Airtel enabled mobile handsets.Radio Advertising
Case Study On Airtel
.Mona Sing a Song. They can then listen to some popular programmes of the channel like.
users can listen to songs.radio ad jingles “TUM KO DEKH TE HIN . KABHI MEERA ROAD . where users can listen to any FM channel through their handsets. there has been an increasing demand of listening to FM channels through mobile handsets. DESH BHAR MAIN RE-CHARGE KAHIN BHI. radios have offered services to its users free of cost. For this.
. This all shows about their care for their customers. KABHI PEDDAR ROAD . Nokia first introduced FM enabled phones. Airtel's tie-up allows users to listen to one channel only. For a long time now. KABHI AAREY ROAD .6 per minute with no extra subscription charges. it does become quite doubtful as to how long Airtel's 'mirchi effect' will last with the charge rates as high as Rs. CHARGE HUA ZINDAGI. Among CDMA service providers. And would also be convenient for its customers to recharge their mobile phones in these centers.Radio Advertising Pre-paid and post-paid customers of AirTel can access this service. Airtel . KABHI LINKING ROAD . users have to pay a Value Added Service (VAS) rate of Rs. Recently.” Jingle made by airtel basically targets its own customers by saying that wherever they go they will be able to avail of airtel services anywhere.6 per minute. through the R World of Reliance handsets. AAISI AZADI AUR KAHAN. With regard to this particular trend.
as recommended by the TRAI. Under this system. stations will pay the government a certain % of their gross revenue every year. atleast in the near future.
The Government should review its ban on private stations airing news and current affairs. This could attract potential listeners on the move who want their daily share of the happenings around the world.
The vibrant voices airing music shows on twenty odd private FM radio stations in major cities do not reflect the viability worries and restrictions that haunt this industry. But with the government citing national security as the reason for not doing so leaves little hope of this happening. The consumer will also benefit as the industry can now tap into a larger basket (the foreign players) for greater variety. A llowing foreign players to enter the Indian market could also spell a boon for the Indian company gain from the expertise and superior technology of the foreign player. currently a monopoly with All India Radio. nothing much changed as regards to government control. did not allow broadcast of news and current events nor was there a scope of a foreign player entering the Indian market. They should in fact. Though the Supreme Court decision in 1995 declaring airwaves as public property led to the entry of a number entrants challenging the monopoly of All India Radio. The basic problem in the Radio space in India is the excessive Government control and regulation. go in for a system more prevalent worldwide . The government charged a very heavy license fee for entering the market. One way to get over the license fee crisis in the radio broadcasting industry is for the government to drop the bidding-driven process for setting radio license fees because it is this system that leads to the viability crisis. In order to let the industry to grow the government needs to give it some space.revenue sharing.
Living Media. superior listener loyalty. Ultimately content and packaging will be the king. Yet advertisers spend 55% of their money on eye media (print) and only 45% of their money on ear media such as Radio and television. such as Radio. ad recall and message retention. In such a scenario. the private FM players have a huge opportunity in grabbing a bigger chunk of the radio advertising pie as. and much more which can be attributed to the ‘low cost of ownership’ feature of RADIO as a medium. but spend only 15% of their time with such eye-oriented media as newspapers and magazines. the fortunes of radio advertising are likely to change with the advent of private players like Star India. superior target ability. However. Radio's share in the total advertising budgets of companies is likely to grow from 2 per cent to 5 per cent in the next three years. Consumers spend 85% of their time with ear-oriented media. despite All India Radio's enormous reach (97 per cent of the population). Mid Day etc. The opening of the FM market is a new phenomenon and the maturing of the market will take its own evolutionary path. Bennett Coleman & Co. greater reach may not necessarily translate into a marketing advantage. what will spell out the difference between success and failure will be neither size nor niche. its revenues have declined. with an expected growth rate of about 10 to 12 per cent every year.Radio Advertising
Radio has many natural advantages that make it an excellent choice for an advertising medium. In fact. Interestingly. where the cheapness of radio is likely to ensure that the bulk of radio advertisers are those that go for a one-city-local-audience strategy. These advantages include high amount of time spent listening. It would be just plain old quality of programming and the
Radio Advertising explosion of contests and sweepstakes offered by the Radio Stations currently. One aping the other is an honest testimonial to justify this statement. In the end Radio offers tremendous opportunities for advertisers and media planners need to explore various options by which they can effectively use radio in their media mix. Conversely, broadcasters need to develop the market by being more responsive to the advertiser's needs. This will provide an opportunity for the market to arrive at the final verdict on the effectiveness of the medium.
Annexures Radio City - National Rate Card
30 Secs spot buy rates (in Rs.) Programme category 07:00 - 11:00 Radio active 17:00 - 20:00 11:00 - 17:00 20:00 - 22:00 22:00 - 00:00 Round the clock Radio Mix Radio Master Blaster Radio Ga Ga Mumbai 8000 6000 6000 4000 Delhi 8000 6000 6000 4000 Banglore 5000 4500 4000 2500 Lucknow 4000 3000 3000 2000
Terms and conditions:⇒ Minimum acceptable radio spot/ commercial duration will be 10 seconds. ⇒ In case any programme, which is being offered in this package, gets discontinued, the advertiser will move the spots to the programme replacing the discontinued programme in the same rate category. ⇒ To ensure proper and timely release of the spots, release orders should be given to MBPL through Star India Pvt. Ltd. At least 2 weeks prior to the date of airing of the first spot. ⇒ All bookings are subject to availability at the time of booking. The agency/advertiser must provide DATS at least fifteen days prior to first spot airing date. The sponsorship material must be sent four weeks prior to start date of the sponsorship of any programme. ⇒ All invoices should be settled by the advertisers/agency within 30 days from the date of the receipt of invoice. ⇒ Others…
Radio Advertising Red fm is currently operating in Mumbai, Delhi and Kolkotta, under the brand name 93.5 RED FM, Asli Masti. Our rate card per 10 seconds(1 unit) of airtime is as listen as below: Individual City Rates SPT 2400 2400 1800
City Mumbai Delhi Kolkotta
Prime 1800 1800 1200
NPT/ROS 1200 1200 600
Super Prime Time:
⇒ Mornings 8:00 a.m. to 10:00 a.m. ⇒ Evenings 6:00 p.m. to 8:00 p.m.
⇒ Morning 7:00 a.m. to 8:00 a.m. ⇒ Morning 10:00 a.m. to 11:00 a.m. ⇒ Evenings 5:00 p.m. to 6:00 p.m. ⇒ Evenings 8:00 p.m. to 9:00 p.m.
Super Prime Time + 25 % premium
Radio mirchi rate card
Over 10 seconds. E.Radio Advertising
Day Parts 7 a.m – 7 a.000 Rs.m – 8 a. A 23 second jingle would be billed as 25 seconds
Jingle production charges Centres Mumbai Delhi Chennai Kolkata Ahmedabad Pune Jingle cost Rs.000 Rs.5 p.10.g. 5.m 8 a.000 Rs.m Housewife / 260 Traders / Youth 5 p. 7.m
Time Band Delhi Mumbai Chennai Kolkata Ahmedabad Pune Family Family /Drive 500 850 500 650 250 220 260 145 220 260 145 170 215 130 170 215 130
12 a. 7. jingle length would be counted in multiples of 5 seconds.m Drive BPO’s / Youth / Drive 550 260
Minimum jingle length
The minimum jingle duration will be considered as 10 sec.000 Rs.m – 12 a. 5.m – 10 p.m 10 p.10.000 Rs.m .000
While working on this project I visited some of the radio stations and they gave me some information
Big Brunch (08001200 hrs) T-Man Rate: 1250/Sunday Midday Show (12001600 hrs) Ravi Rate: 1000/Mumbai Matinee (16001800 hrs) Travel Guy Rate: 1000/Mumbai Top 20 (18002100 hrs) Annie Rate: 1250/Bacardi Breezer Vivid Nights Malini Rate: 1250/Live DJ Set Sandy Midnight Shift Rate: Rate: 750/750/Nineties on 925 Chris Rate: 1250/-
Good Morning Mumbai (GMM) Jaggu & Taranna Rate: 1500/-
The Midday Show Shruti Rate: 1000/-
14001800 hrs 17001800 hrs
College Radio Nadir Orange Request Hour Rate: 1250/-
Horn Ok Please Malini Rate: 1500/-
NightShift Glenn Rate: 1250/-
Midnight Shift Rate: 750/-
*All rates are per 10 seconds of airtime Super Prime Time Band (0800hrs-1000hrs) and (1800hrs-2000hrs) *SPTB will attract a 50% premium on card rates.
in www.timesofindia.com www.com www.com www.go925fm.com www.com www.agencyfaqs.uk www.indiatoday.
Newspapers and Magazines Times of India Economics Times Business Standard Financial Express
Various websites were also visited such as.org www.co.allindiaradio.com www.com www.Radio Advertising However to support the same I have done some most of the research work from the following text books: The advertising handbook by Dell Dennison Direct Marketing Management by Mary Lou Robert and Paul Berger.star.hinduonnet.radiomirchi.com