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Digital platforms extend radio beyond the dial

The proliferation of digital broadcast platforms such as Internet radio, satellite radio, HD and podcasting is a testament to the popularity of radio programming. The Infinite Dial: Radio's Digital Platforms a new study by Arbitron and Edison Media Research, explores this expansion of the radio market and its implications for advertisers and media planners.

Internet radio is growing rapidly. The monthly audience age 12+ now tops an estimated 52 million; an increase from an estimated 37 million people in 2005. The weekly Internet radio audience also increased 50% over the past year, with 12% of the U.S. population age 12+ (an estimated 30 million) having listened to Internet radio in the past week, up from 8% in 2005. Online radio reaches nearly one in five (19%) persons per week age 18-34 and 15% of persons 25-54. Weekly Online radio listeners are 36% more likely than the average consumer to live in a household with an annual income of more than $100,000.


In 2006, awareness of XM and Sirius satellite radio has reached equal levels of 61% awareness each among those ages 12+. Nearly one in five non-subscribers to satellite radio say they are "very" or "somewhat" likely to subscribe to satellite radio in the next 12 months. 27% of satellite radio subscribers live in households with an annual income of more than $100,000, nearly double the percentage of all households (14%).

When asked to define podcasting in their own words, there was some confusion among respondents regarding the differences among podcasting, Internet broadcasting and downloadable music. When read a definition, 11% of Americans say they have ever listened to an audio podcast. Podcasting attracts a youthful audience: one out of five who have ever listened to an audio podcast is 12-17 years old, and more than half (53%) are under the age of 35.

More than one-third of Americans say they are "very" or "somewhat" interested in HD Radio; more than 40% of satellite subscribers say they are interested in HD Radio as well.

More than one-third of those who said they were interested in HD Radio say they would be likely to purchase an HD Radio receiver at a $100 price point, and 58% of those interested say they would be likely to purchase at $50.

While there has been tremendous growth in usage of radio's new digital platforms, AM/FM radio does not appear to be losing TSL. Daily radio TSL is 2 hours 45 minutes for the average consumer, compared with 2 hours 48 minutes among those who listen to digital radio (have listened to Internet radio in the past month or subscribe to satellite radio or have ever listened to an audio podcast).

77% of Americans say they expect to listen to AM/FM radio as much as they do now despite increasing advancements in technology. The same holds true for Internet radio listeners (77%) and those who have tried audio podcasting (73%). Satellite radio subscribers showed slightly less dedication to traditional broadcasting, with 64% saying they plan to continue listening to the same amount of AM/FM radio.




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