Now Flourishing on the Web: Old-Timey Radio
by Peter Kafka
Posted on January 13, 2009 at 7:32 AM PT
The Web allows you to legally order up just about anything you want to hear, for free. So who on earth wants to listen to conventional radio stations on the Internet?
I do, actually. I’m a big fan of The Current, the alternative but not-too abrasive (I’m old) public radio station that broadcasts out of Minnesota, but apparently has lots of listeners in Brooklyn. And we’re not the only ones listening to old-school radio on the Web. CBS Radio’s (CBS) network, which consists primarily of news-and-talk outlets, is seeing big increases in online listeners. Mediapost:
CBS Radio’s network of radio station Web sites saw its total number of unique visitors increase 30% in December 2008, compared to the same month in 2007, according to Web analytics service OneStat.com, reaching an all-time high for CBS Radio. The online measurement company also noted that unique visitors grew 7% between November and December 2008.
Among the biggest growth stations were KRLD-Dallas, which jumped 133% between December 2007 and 2008; KNX-Los Angeles, up 113%; and WBBM-Chicago, up 104%. Major increases were also seen at WCBS-FM-New York and WPGC-Washington.”
So there’s a rare bit of good news for the radio business, which is losing listeners and ad dollars, courtesy of competition from devices like Apple’s (AAPL) iPod and iPhone. And that’s also good for enterprising companies like Targetspot, a New York-based start-up that’s dedicated to online radio advertising.
There’s still not a whole lot of money in online radio ads–the entire “off air” ad category, of which the Web is only a subset, makes up about nine percent of the radio ad market. And like the other media industries being pummeled by digital, its unlikely that the new online markets will make up for the decline in their existing businesses–that’s the now cliché-but-true “analog dollars to digital pennies” adage. But better to have pennies than nothing at all.
Comments
Does OneStat measure CBS streams people are listening to via the AOL Radio app on iPhones and iPod touches?
If so, that might explain some (most?) of the jump. I’ve been listening to some Chicago radio here in NY via the iPhone, which I never would have done otherwise.
Posted by Dan Frommer at January 13th, 2009 at 7:40 amGood question. Let’s find out.
Posted by Peter Kafka at January 13th, 2009 at 8:10 amWhat is the current payment scheme for music on these stations? Do they get to go free like their over the air cousins?
Posted by Jim Yates at January 13th, 2009 at 8:21 ami’ve thought for some time that streaming radio would have a bright future if people could listen to their favorite radio stations (rather than generic channels) on portable devices like the iPhone and iPod touch. This is already possible on computers, of course, since a great many radio stations stream their broadcast via their websites.
Posted by Alan Sanders at January 13th, 2009 at 9:25 amI listen to AOL Radio all the time, which I think is actually CBS radio, isn’t it?
Posted by Bjorn Tipling at January 13th, 2009 at 11:05 amJim, I believe the Web operators pay a per stream to both the publisher and (unlike over the air radio) whoever owns the masters.
Posted by Peter Kafka at January 14th, 2009 at 4:59 amAlan, agreed. Believe the AOL Radio iPhone app does some of this already.
Bjorn, yup, CBS now powers AOL Radio (Yahoo, too). But that doesn’t necessarily mean you’re listening to a CBS terrestrial station.