Transcript Norwegian switchover strategy
Norwegian switchover strategy
Speech 10. April 2014 at Poznan Media Expo 2014 Conference By Rolf Brandrud, Radiodays Europe & NRK
My background
• • • • 1980ies – started in radio and stayed there 1990ies – internet pioneer in NRK 2000ies – lobbyist for digital switchover for TV 2010ies – organizer of Radiodays Europe
1920 – 1990 –
Where is radio now?
Monopolies Public/private competition 2010 – Radio challenged by new media
6 - 7 years ago
Now
What is the challenges?
• • • • • • • Developing multi channel strategies Reaching the young Telling compelling stories Interacting with the audience – social media Getting into the smartphone Finding radio’s new place in the car Developing radio for screens
What is the answers?
• • • • Not standing still with FM only Certainly using the net and social media Not choosing radio OR internet, but Radio AND internet We need broadcast radio for efficient, mass distribution AND supplementing net interactivity
Digitalisation of radio in Europe
Different stages from southeast to northwest 1. FM only 2. FM + net + webradio 3. DAB in test 4. DAB in market 5. DAB with defined switchover date - Norway 6. Digital switchover implemented
How?
Courage!
How?
Collaboration!
How?
Coverage!
How?
Content!
How?
Cars!
The Norwegian timeline
• • • • • • 1995 startup – gradually prices of DAB receivers have come down 2011 – decision about switchover date 2017 2013/14 launch of new, attractive channels 2015 – fullfilling the criteria 1.1.2017 – Digital switchover date 1.1.2019 – Alternative switchover date – extra cost 200 mill, 2 mill a week, 300 k a day
The conditions for FM shut down • Three absolute conditions 1.
NRK: Coverage as for NRK P1 on FM 2.
3.
Commercial radio: 90 per cent Added value to listeners
Capacity and networks in Norway
• FM –
1 channel per transmitter or network
– 5 FM networks • 3 NRK • 2 commercial – Various local radio network • DAB –
DAB up to 10 channels per network (mux)
–
DAB+ up to 20 channels per network (mux)
–
Moving towards DAB+
– Frequencies for 4 DAB networks: • Public service network (7 regions) • Commercial national network (”National 1”) • Commercial national network (”National 2” - not built yet) • Commercial regional network (37 regions)
Now
Now
Digital added value
22 national channels (FM typically 3-6) + 20 channels in Oslo/Aker shus
The conditions for FM shut down • Three absolute conditions 1.
NRK: Coverage as for NRK P1 on FM 2.
3.
Commercial radio: 90 per cent Added value to listeners • 2017 or 2019 4.
At least 50 per cent of daily radio listeners must use digital platforms, exclusively or in combination with FM-radio • Digital platforms: web, DAB, digital tv, mobile etc
31 34
Digital use
36 36 40
1,23 million Norwegians 13 10 14 Q4 12 16 10 15 Q1 13 18 11 15 Q2 13 19 9 14 Q3 13 23 10 13 Q4 14 DAB Digital TV Internet
The conditions for FM shut down • Three absolute conditions 1.
2.
3.
NRK: Coverage as for NRK P1 on FM Commercial radio: 90 per cent Added value to listeners • 2017 or 2019 4.
At least 50 per cent of daily radio listeners must use digital platforms, exclusively or in combination with FM-radio • Digital platforms: web, DAB, digital tv, mobile etc 5.
Affordable and technically satisfactory solutions for in-car radio reception must be available • Half of the municipalities and all counties must have an offer of retrofitting adapters 2015
Where?
(previous listening session) School 0% Work 8% Buss, train, etc 1% Other places 3% Other home 2% Home 39% In car 47% Source: TNS Gallup, Digitalradioundersøkelsen Q4 2013 Base: n = 1068
The challenge
2 - 2,5 million cars need an aftermarket solution
Sales of DAB-radios
600 • In total, 511.000 DAB radios sold 2013 – Incl. car-radio • More than double of 2012 500 400 300 200 100 0 2009 2010 2011 2012 2013 Car radios Portable radios Hifi tuners Table radio w/speaker Music systems Source: Trade organisation for electronics importers and retailers
Summary
• We digitize to secure radio’s position in the media market • The success lies in collaboration and a strong political plan communicated to all stakeholders • Norway is on schedule for transition to digital radio in 2017 – Great coverage – New content, wide range of channels – 40 per cent of daily listeners use digital radio • Close to 60 per cent of all sold radios are digital • Focus on car industry • Highest priority now is DAB aftermarket products for cars
Arena for exchange of radio experiences and strategies www.radiodayseurope.com