01
Jun
09

Radio Continues To Reach A Large Audience – Nine In 10 People Aged 10 Years And Above Tuning In Weekly

In spite of a gloomy economic environment radio adspend grew by nine percent in the first quarter of 2009 – Outperforming the total advertising market

19 May 2009
Kuala Lumpur

Radio continues to attract a large spectrum of listeners in Peninsular Malaysia, with nine in 10 people aged 10 years and above tuning in every week, according to the latest Radio Audience Measurement (RAM) Malaysia study by The Nielsen Company.

Conducted twice a year, Nielsen RAM Malaysia studies the demographic profile, listening preferences and product consumption of people in Peninsular Malaysia. It provides valuable insights for advertisers to reach their target audience more effectively. The study is based on individual quarter hour diaries completed by a representative sample of 3,000 individuals in Peninsular Malaysia. The most recent survey – Sweep 1, 2009 – was conducted from 2 to 15 March 2009.

Commenting on the latest survey results, Dato’ Borhanuddin Osman, President of Commercial Radio Malaysia (CRM) said, “Commercial radio has performed well in 2009 in terms of maintaining a large audience base and providing listeners with more channels and hence greater choice”. He added, “During such tough times, radio has not only managed to attract more advertising dollars but has also increased its share of advertising to an all-time high of 5.7 percent”.

According to the latest Nielsen survey, radio attracts 12 percent (1.97 million) of people in any given 15 minute time slot throughout the day and an average radio listener tunes in for 22 hours a week (see Table 2).

Among the Malay channels, ERA maintains its top position, reaching 24.3 percent of people or 3.98 million listeners. Now occupying second position, SINAR registers an increase in reach to hit 23.3 percent (3.82 million) in the most recent study, hotfm takes third position with 3.78 million in weekly reach. Klasik Nasional garnered 7.2 percent (1.19 million) listeners, while Muzikfm claimed the ninth spot with its reach of 5.3 percent (874,000) listeners. In twelfth and thirteenth spots are Suria fm and IKIM. (see Table 3).

The top Radio Televisyen Malaysia (RTM) regional channels are KELANTANfm with 4.7 percent reach and KEDAHfm with 4.3 percent reach. These two regional channels ranked in eleventh and fourteen respectively in the overall rankings.

Leading the way among Chinese stations are MY FM and 988, with their 13.2 percent and 9.0 percent reach. They are trailed by aifm at 3.5 percent one FM, the newest Chinese channel broadcasted over the airwaves, debuts with 279,000 weekly listeners.

hitz.fm maintains the top spot among English channels by reaching out to 1.29 million (7.8 percent), while Fly moves up the rankings to occupy second position, with an increase in weekly listeners to 800,000. Trailing behind is LiteFM (467,000), MIX fm (437,000), and TraXXfm (106,000).

While the Tamil channel, minnalfm enjoys a weekly listenership of 617,000, the two bi-lingual channels THR Raaga/THR Gegar and red104.9 drew 3.18 million (19.4 percent) and 153,000 (0.9 percent) weekly listeners respectively.

Meanwhile, advertising spending on radio in the period January to March 2009 registered an impressive growth of 9.2 percent to RM66.8 million – outperforming the total advertising market (excluding classified ads) which has taken a slight dip of 1.0 percent against the same period last year. The growth in radio advertising spending is driven by increased spending by fast food centre, tourism authority, electrical retail, healthfood drink, dairy kids growing up milk and pharmacy/medical supplies categories (see Table 4).

As a result, radio’s share of total advertising (excluding classified ads) in Malaysia recorded 5.7 percent which is the highest share for the first quarter recorded over the last 10 years and also achieved a tremendous growth of 241 percent in advertising spending compared to the corresponding period in 2000 (see Table 4 and Chart 1).

Andrea Douglas, Executive Director for Media, The Nielsen Company, Malaysia, commented “The radio industry has done well in the first quarter of this year. Indeed, this is an impressive achievement considering the difficult economic situation the whole world is experiencing. While the other media have experienced a real slowdown in advertising spending, the nine percent growth in total advertising for radio is impressive”.

About The Nielsen Company
The Nielsen Company is a global information and media company with leading market positions in marketing and consumer information, television and other media measurement, online intelligence, mobile measurement, trade shows and business publications (Billboard, The Hollywood Reporter, Adweek). The privately held company is active in more than 100 countries, with headquarters in New York, USA. For more information, please visit, www.nielsen.com

Chart 1: Radio Advertising Spending Trend

Source: Nielsen Advertising Information Service (AIS)

Table 1: Reach Audience by Race

Sw2 2008

Sw1 2009

Base: individuals aged
10 years & above

Base: individuals aged
10 years & above

Total

Malay

Chinese

Indian/
Others

Total

Malay

Chinese

Indian/
Others

Base ‘000

16,407

10,175

4,560

1,672

16,407

10,175

4,560

1,672

Listeners %

91.9

94.6

86.5

90.5

90.7

93.4

83.8

93.1

Listeners ‘000

15,083

9,625

3,945

1,513

14,883

9,504

3,823

1,557

Source: Nielsen Radio Audience Measurement (RAM)

Table 2: Average Audience and Average Time Spent

Sw2 2008

Sw1 2009

Base: individuals aged
10 years & above

Base: individuals aged
10 years & above

Total

Malay

Chinese

Indian/
Others

Total

Malay

Chinese

Indian/
Others

Base ‘000

16,407

10,175

4,560

1,672

16,407

10,175

4,560

1,672

Ave. Listeners %

12

8

2

1

12

8

2

2

Ave. Listeners ‘000

1,990

1,378

384

227

1,974

1,318

401

255

Ave. Weekly Time Spent (hours)

22

24

16

25

22

23

17

27

Source: Nielsen Radio Audience Measurement (RAM)

Table 3 Channel Weekly Reach Audience

S1 2009Overall Ranking Participating Channels

Average weekly reach audience

S2 2008

S1 2009

%

‘000

%

‘000

1

ERA

27.5

4,519

24.3

3,985

2

SINAR

20.4

3,339

23.3

3,823

3

hotfm

26.3

4,314

23.0

3,776

4

THR Raaga/THR Gegar

17.5

2,872

19.4

3,177

5

MY FM

13.4

2,204

13.2

2,167

6

988

10.4

1,706

9.0

1,482

7

hitz.fm

5.3

873

7.8

1,287

8

Klasik nasional

9.3

1,522

7.2

1,187

9

Muzikfm

5.7

936

5.3

874

10

Fly Fm

2.9

470

4.9

800

11

KELANTANfm

5.4

878

4.7

777

12

Suria fm

3.5

569

4.6

747

13

IKIM

4.5

734

4.5

737

14

KEDAHfm

4.9

799

4.3

700

15

Minnal fm

3.3

538

3.8

617

16

aifm

4.2

686

3.5

580

17

XFM (Xfresh)

2.5

404

2.9

475

18

LiteFM

2.7

439

2.8

467

19

MIX fm

3.0

493

2.7

437

20

TERENGGANUfm

2.2

357

2.1

347

21

PERAKfm

2.1

348

2.1

338

22

one FM

1.7

279

23

JOHORfm

1.3

211

1.3

219

24

PAHANGfm

1.5

244

1.3

211

25

MELAKAfm

1.1

178

1.2

194

26

red 104.9

0.6

95

0.9

153

27

MUTIARAfm

1.4

229

0.9

146

28

asyikfm

1.0

164

0.8

133

29

KLfm

1.1

175

0.8

132

30

PERLISfm

0.6

91

0.8

124

31

TraXXfm

0.4

61

0.6

106

32

SELANGORfm

0.7

116

0.6

102

33

NEGERIfm

0.6

101

0.3

53

34

LANGKAWIfm

0.4

58

0.3

43

Source: Nielsen Radio Audience Measurement (RAM)

Table 4 Advertising Spending* (display ads only1) Jan-Mar 2008 & 2009

Jan-Mar 2008
(RM)

Jan-Mar 2009
(RM)

% YOY Growth

% Share
Jan-Mar
2009

Total

1,192,616,991

1,180,522,146

-1.0

100.0

Radio

61,168,496

66,825,682

+9.2

5.7

FTA TV2

415,996,157

431,579,867

+3.7

36.6

Newspaper (display ads only1)

627,402,020

595,396,088

-5.1

50.4

Others (Magazine, Cinema, Posad , Outdoor & Internet3)

88,050,318

86,720,509

-1.5

7.3

Source: Nielsen Advertising Information Service (AIS)

Notes:

*Nielsen measures advertising spending based on published rate cards. Outdoor advertising is based on actual billings by five media operators.

1.Advertising spending figures reported above are based on display ads only i.e. excludes classifieds.

2.Nielsen monitors advertising spending on terrestrial (free-to-air) television only.

3.Internet spending (recently released from Jan 2008 onwards) is based on submissions from the following websites i.e. MSN Malaysia, Yahoo Malaysia, Forbes Malaysia, Utusan Online, Kosmo Online, Mangga Online, Sinchew-I, Guang Ming Online, Sin Chew Online, Soccerfanz, Kooky, Mysinchew, The Star Online and Parenthots.com


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