Saturday, July 23

Radio: More Fragmentation Ahead

Alan Burns says that radio can expect more fragmentation to come, mainly due to broadband streaming in cars. There are no signs that music streaming services like Pandora are eroding radio usage. On the other hand, there's less love for radio among younger listeners, and while wireless broadband in cars isn't going to kill radio, it will lower usage somewhat. It will also generate more fragmentation, since broadband will bring more non-local stations into cars.

"It's important to note why these women choose radio over non-radio streams in their cars, and the big reasons are that radio provides energy, excitement, and local information," Burns stated.

Additionally, the Burns study shows that there is significant resistance to paying for Internet music streams.

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