Web Radio Monitor 2010

Number of online radios rapidly growing: currently about 2,700 in Germany

• New online radio report published by BLM and Goldmedia
• 40 percent increase in online radio services in Germany compared to 2009
• 4/5 broadcast exclusively online, 1/5 live streams from FM radio stations
• Difference in use: FM radio listened to in the morning, online radio in the evening
• 44 percent of all online radios available on mobile phones, 70 percent of all FM radios have their own apps

Berlin, Munich, 25. August 2010. The expansion of broadband Internet has strongly increased both the number of online radios and overall use. By the end of April 2010, there were already about 2,700 German online radio stations – approximately 700 more than in 2009. The number of stations has increased by 56 percent since 2006, when there were around 450. Use on mobile phones has also grown noticeably. Today, about half of all online radios are available on mobile phones.

With the publication of “Web Radio Monitor 2010”, the Bavarian regulatory authority for commercial broadcasting – BLM (http://www.blm.de) and Berlin strategy consultant Goldmedia (http://www.Goldmedia.com) present a comprehensive market overview of providers, use, scope, and ad revenue among German online radios for the second time. The study is based upon extensive primary data research, through surveys of all online radio providers in Germany, conducted from April to June of 2010.

For the current Web Radio Monitor, 2,692 online radio stations were included in April 2010. Four fifths of German online radio stations are available only on the Internet. The others are live streams of FM radio stations (so-called simulcast streams). Online radio presents significant opportunities for FM stations. They can extend their scope and obtain completely new target groups through specialised Web offerings.

Users’ interest in online radios grows every year. About 11 million Germans listen to online radio at least occasionally, according to ARD/ZDF’s Online Study 2009, and 12 percent of all Internet user are already using online radios regularly. The daily user levels recorded in Web Radio Monitor 2010 also indicate growing interest. The Internet-only stations reported these at about an average of 6,500, the FM streams recorded about 13,500, and the FM sub-brands provide about 2,000 streams per day.

The usage patterns for online radio differ from those for traditional radio. While FM radio channels are turned on mainly in the morning, online radio is mostly listened to in the evening. However, the tradition, daytime use of FM still holds for the online versions of FM radio services; these services are mostly listened to in the daytime and at noon. This indicates that online radio complements traditional FM radio.

Online radio is increasingly used on mobile phones, as reported by about 70 percent of the stations surveyed for Web Radio Monitor 2010. The stations considered mobile use to be one of the most important growth factors. About 44 percent of all streaming services are already available on mobile phones. Mobile app services offered by stations have also increased. More than 70 percent of FM stations reported having their own apps, all of them for the iPhone.

Quotes from the authors Stefan Sutor, Director of the Radio Department in the Division Programme of the BLM

“The new study documents once again the significance online radio listening has already gained and shows how manifold and creative this medium is. Traditional radio stations are obviously taking on the challenges posed by new technology and actively creating new services.”

Dr. Klaus Goldhammer, Managing Director of Goldmedia GmbH

“The growing adoption of mobile Internet via smartphones, pads and mini-notebooks will stimulate further growth in the online radio market. The biggest challenge, however, will be making the offers and new program formats economically successful.”

Chart 1: Number of German Online Radios, development 2006 - 2010

Chart 2: Use of FM radio and online radio during the day

Source: All information used in this press release comes from “Web Radio Monitor 2010”. The study was undertaken on behalf of the Bavarian regulatory authority for commercial broadcasting (BLM). “Web Radio Monitor 2010” provides an overview of the German online radio market and quantifies use through primary data research, drawing from a survey of all online radio providers. The study includes market and potential analyses as well as a categorisation of internet radios according to genre and type of offerings.

The study can be accessed at no charge at: www.webradiomonitor.de www.blm.de http://www.goldmedia.com

Press Contact for Goldmedia GmbH

Dr. Katrin Penzel, Tel: +49-30-246 266-0, Katrin.Penzel@Goldmedia.de

Further information and graphics can be downloaded here: www.Goldmedia.com

About Goldmedia: Since 1998, Goldmedia has provided national and international clients with high-quality consulting and research services in the fields of media, entertainment and telecommunications. Goldmedia offers: in-depth analyses of markets and competitors; forecasts and strategic consulting services; the implementation of new business models; and consulting for restructuring whole companies, including M&A processes in the field of corporate finance. Goldmedia Group: Goldmedia GmbH Media Consulting & Research, Goldmedia Sales & Services GmbH, Goldmedia Custom Research GmbH and Goldmedia Political & Staff Advising GmbH. The company's head office is in Berlin, Germany.

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