“Radio is ridiculously underpriced” say Ciaran Davis & Grant Blackley

Staff Writer

Speaking on the keynote panel at Mumbrella’s ‘Audioland’ conference, major network CEO’s responded to suggestions that radio is overpriced for advertisers.

As Mumbrella reports, an audience member asked the panel, which included ARN parent company HT&E’s CEO and MD Ciaran Davis and Southern Cross Austereo CEO Grant Blackley, whether advertising was overpriced.

The audience member reasoned that “radio is just news with a little bit of reactive content” and that the market is split because podcasts have assisted to split the market.

“Radio is ridiculously underpriced and undervalued, like, ridiculously,” responded Davis.

“It is fractured, but it’s better to be fractured within your own house,” he continued.

“Through the iHeartRadio app, we’re able to see when people are listening to live radio. People are listening to live radio, surprise surprise, [at] breakfast time, through the morning, increasing again at drive, tapering off in the evening.

Addressing the fragmentation due to podcasts, he said; “people are moving into podcasts and into artist radio, streaming services, later on in the day and at weekends. So, actually, it’s very complementary.”

SCA’s Blackley agreed, suggesting that the baseline of FM is stronger since the rise of podcasts.

“If we start from the position that there’s only a certain amount of listening and we have to split it up, I think we’re starting at the wrong place.

“Fundamentally, audio, as a segment, is growing.”

He continued; “I will agree with Ciaran. We are vastly underpriced, but that’s really been a function of the industry probably not working as closely as we should have in years past. But that’s not the case today.

“We sit here, very much as comrades in arms, because the audio segment, as a total investment from marketers in the total pie, is underweight, and we have to get it to a better position.”

Comment Form

Your email address will not be published.

Recent comments (1)
Post new comment
6 May 2019 - 10:00 am

Note that former Ten CEO Grant Blackley is delivering Ten like ratings for SCA Sydney.


See all