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Outline
Historical Prospect Present Radio Scenario Now Radio is known for. Recent Study Benefits of Radio Medison Finding for sales increase by Advt. Certain issues
Historical Prospect
1936- All India Radio formed After Independence transferred under Ministry of I&B. Six radio Station during Independence. All India Radio`s network had expanded by the mid-1990s to around 146 AM stations. In 1994 there had been almost 85 FM stations and 73 short wave stations that connected the entire country. Three major goals
to achieve political integration to attain economic development to achieve social modernization.
The oldest radio station of India, All India Radio or Akashvani is one of the largest radio networks in the world.
India's FM radio sector: Understanding the growth imperatives, recorded an average revenue growth of over 30% over the last year and expect to maintain that growth over the next two years.
The Indian radio sector is poised to get an estimated investment of half a billion dollars in the next 24 months, industry experts pointed out. Radio advertising, which presently has two per cent of the country`s total ad-spend, would see a substantial rise over the next 10 years on account of increased listenership catering to a wide-population base. Share of Radio advertising was 3.8 % in 2008; expected to reach 5.2 % in 2013.
Different forms of Radios (1) Satellite Radio (2) HD Radio (3) Internet Radio
Advertising is the sole source of revenue for radio in India. Currently, the sector generates annual revenues of INR 2.2 billion and is growing at around 20 percent annually. This implies a marginal rise in radio's share in the advertising pie to around 1.9 percent.
Country US Advt. Spending (%) 13
Spain
Sri Lanka India
9
21 <2
Media Spends as % of Total Ad Spend Year Print TV Radio Cinema Outdoor Internet
2000
49.0%
39.3%
2.5%
0.5%
8.4%
0.3%
2001
48.4%
40.6%
2.7%
0.4%
7.5%
0.4%
2002
47.2%
41.9%
2.9%
0.7%
7.0%
0.4%
2003
46.6%
43.0%
2.9%
0.7%
6.5%
0.4%
2004 2010
46.3% 45.7%
43.7% 49.5%
2.9% 4.7%
0.6% 1.0%
6.0% 10.0%
0.3% 2.5%
On an average every FMCG seen 4.0% growth in terms of sale through radio broadcasting. Agriculturally related companies observed consistent growth with 11% increase in sales through radio advertising. Music industry observed 9% growth in sales and recalling of music in both urban and rural area. Many TV live shows advertise through radio and seen growth of 15% among youth especially. Volume of business for miscellaneous programmes like sports, certain premier events has also increased considerably.