SCA to invest ‘no less than $5 million’ in marketing LiSTNR
Southern Cross Austereo (SCA) has revealed it will pour upwards of $5 million into promoting its new LiSTNR app to consumers in the coming six months.
CEO Grant Blackley told Radio Today the investment was justified, despite the cuts to the business over the past few months and its reliance on the JobKeeper wage subsidy, because LiSTNR now sits at the centre of SCA, and will drive its future growth and sustainability.
“It doesn’t sit on the outside of the business. It is an aggregator to all of our audio streams and we’re adding new audio streams. So [I’m] very proud of the work that’s been done over the last six months to achieve this result. Very proud of the effort from every office and every person that’s contributed to that, and extremely proud that throughout this period we’ve accelerated a number of initiatives, namely LiSTNR, which will actually create new revenue streams and new earnings moving forward,” he said.
Blackley told investors during a presentation yesterday that he wants LiSTNR to become “the ultimate audio destination for Australians” and that the platform showcases SCA’s new digital-first operating model.
“The transformation of our business at SCA will require ongoing investment in smart technology systems that will drive further efficiencies in our operating practices, while improving the ease of doing business,” he told investors.
“The future success of LiSTNR requires the business to rethink how we operate, and the implementation of a new digital-first operating model, supported by ongoing investment in new technology to deliver further operating efficiencies will be a key part of our business transformation.”
An investment of $5 million in LiSTNR in the coming six months is significant given the company’s recent spending. During the first half of the 2021 financial year (July 1 to December 31, 2020), SCA spent $6.671 million on promotions and marketing, up 45% on the prior corresponding period’s $4.692 million.