The International Communications Market Report
Source: data.gov.uk (2019-08-28)

This annual report provides comparative international data on the communications sector. The aim of the report is to benchmark the UK communications sector against a range of comparator countries in order to assess how the UK is performing in an international context. The report compares the availability, take-up and use of services in the UK and 17 comparator countries - France, Germany, Italy, the US, Japan, Australia, Spain, the Netherlands, Sweden, Poland, Singapore, South Korea, Brazil, Russia, India, China and Nigeria, although we focus on a smaller subset of comparator countries for some of our analysis.
This report is intended to be used in a number of ways: to benchmark the UK’s communications sector, to learn from market and regulatory developments in other countries, and to provide the context for Ofcom’s regulatory initiatives. It also contributes to the richness of the information we draw upon, better enabling us to understand how our actions and priorities can influence outcomes for citizens and consumers, and for communications markets generally.

The sectors covered include television and radio broadcasting; internet on-demand content; telecommunications and (since 2012) the postal market.

The final edition of the ICMR was in 2017.

177

International Communications
Market Report 2015

4

Radio and audio
4

178
Contents

Section

Page
Key market developments in radio and audio
179
4.1
4.1.1
Industry metrics and summary
179
4.1.2
Radio revenues among comparator countries was up by 3.5% in 2014
180
The radio industry
184
4.2
4.2.1
Introduction
184
4.2.2
Global radio revenue
184
4.2.3
Revenues among our comparator countries
185
4.2.4
Availability of broadcast radio
188
The audio consumer
192
4.3
4.3.1
Introduction
192
4.3.2
Radio set ownership
192
4.3.3
Regular listening to radio and other audio content
195
4.3.4
Audio consumption on a mobile phone
198
4.3.5
The role of radio as a main source of news
201

179
Key market developments in radio and
4.1
audio
4.1.1 Industry metrics and summary
This section provides a global overview and country-level analysis of radio and audio
markets in the 18 comparator countries. It focuses on three topics – key market
developments in the sector, industry revenues, and trends among radio and audio
consumers.

The key market developments section looks at the growth in radio revenues among
our comparator countries.

The radio industry section examines global radio revenues and looks at revenues
among our comparator countries in 2014 in detail, and at the availability of broadcast
radio in each country.

The audio consumer section presents the findings of our online consumer research
into radio set ownership, radio listening and the use of connected devices to listen to
radio and other audio content such as audio streaming.

Key radio metrics: 2014
Figure 4.1

Sources: Ofcom, PwC. All figures are nominal.
The key developments during the year include:

Radio revenue has increased each year since 2010. Combined radio revenue
among the 18 comparator countries analysed in this report grew again in 2014,
increasing by 3.5% to reach £22.9bn.

Revenue growth was due to an increase in all three types of revenue:
advertising, subscription and public radio licence fees. The largest absolute
increase was in the US, where advertising and subscription revenues grew by a
combined £412.3m.

Among countries with public radio licence fees, absolute revenue growth was
highest in Germany. Revenue grew by £99m in Germany in 2014, an increase of
UK
FRA
GER
ITA
USA
JPN
AUS
ESP
NED SWE
POL
SGP
KOR
BRA
RUS
IND
CHN
NGA
Total
industry
revenue
(£bn)
1.2
1.1
3.0
0.4
12.5
0.7
0.6
0.3
0.3
0.3
0.1
0.1
0.2
0.3
0.3
0.2
1.3
0.1
Revenue
change
(%, YOY)
3.6
1.9
3.4
-1.5
3.4
-2.4
3.1
1.9
1.3
5.7
0.4
4.0
2.8
4.3
7.0
14.0
9.8
4.5
Revenues
per capita
(£)
18.7
16.7
36.4
5.9
39.3
5.5
26.3
7.4
16.0
29.4
2.7
16.0
3.1
1.6
2.0
0.2
1.0
0.3
% income
from public
licence
fees
60.0
38.9
79.3
23.5
N/A
5.2
N/A
N/A
30.6
78.1
6.5
N/A
22.3
N/A
N/A
N/A
N/A
N/A

180
3.4% on 2013. Sweden and the UK also saw significant growth in 2014 for both
advertising and public radio licence fee revenue, with total growth of 5.7% and 3.6%,
respectively.
4.1.2 Radio revenues among comparator countries was up by 3.5% in 2014
Radio revenue has increased each year since 2010
Total radio revenues among the 18 comparator countries analysed in this report grew again
in 2014, increasing by 3.5% (Figure 4.2). All revenue streams increased, particularly
advertising revenue, growing by 3.2% to reach £16.8bn, alongside a 3.1% increase in public
radio licence fees. The US is still the only one of our comparator countries that has satellite
radio subscription as a revenue stream, growing by 7.4% in 2014 to £2.1bn.

Total radio revenues for the 18 comparator countries
Figure 4.2

Source: Ofcom analysis based on data from PwC Global Entertainment and Media Outlook 2015-
2019 @ pwc.com/outlook. Interpretation and manipulation of data are solely Ofcom’s responsibility.
Ofcom has used an exchange rate of $1.648 to the GBP, representing the IMF average for 2014.
Note that the UK radio industry figure is sourced from broadcaster returns made to Ofcom. All figures
expressed in nominal terms.
Revenues fell in Japan and Italy, but this was offset by revenue growth among all
other comparator countries
As Figure 4.3 illustrates, ten of the 18 comparator countries reported revenue increases in
excess of £10m between 2013 and 2014. The largest absolute increase was in the US,
where advertising and subscription revenues both increased. The four BRIC countries were
among those reporting increases in excess of £10m. Germany reported the largest increase
in revenue among European countries, predominantly arising from an increase in public
radio licence fees. The two countries where revenue fell were Italy and Japan; these were
both a result of declining advertising revenues. The UK reported a notable increase of
£42.3m, following a drop in revenue of £25m in 2013, mainly due to an increase in national
advertising.
15.6
15.9
16.0
16.3
16.8
3.8
3.8
3.8
3.9
4.0
1.5
1.6
1.8
2.0
2.1
20.8
21.3
21.7
22.2
22.9
0
5
10
15
20
25
2010
2011
2012
2013
2014
Total
Satellite radio
subscription
Public radio
licence fees
Advertising
revenue
Revenue (£bn)
YOY
(%)
CAGR
(5yr -
%)
3.5
1.9

181

Absolute changes in radio revenue, by country: 2013-2014
Figure 4.3

Source: Ofcom analysis based on data from PwC Global Entertainment and Media Outlook 2015-
2019 @ pwc.com/outlook. Interpretation and manipulation of data are solely Ofcom’s responsibility.
Ofcom has used an exchange rate of $1.648 to the GBP, representing the IMF average for 2014.
‘Others’ are the comparator countries not set out in the chart where revenue change in each was less
than £4m. Note that the UK radio industry figure is sourced from broadcaster returns made to Ofcom.
All figures expressed in nominal terms.
Revenue growth is due to increases across all three types of revenue
As Figure 4.4 shows, the increase in revenue was led by the US, where advertising and
subscription revenues both increased. The increase of £266.8m in advertising subscriptions
constitutes 2.6% year-on-year growth. Subscription revenues increased by £145.5m in 2014,
with year-on-year growth of 7.4%. Sirius XM, the company that provides satellite radio
services in the US, increased its subscriber base by 1.75 million in 2014, totalling 27.3
million subscribers in 2014.114
The next largest absolute growth was in China, where advertising grew by £117.9m,
constituting year-on-year growth of 9.8%. Russia and India also reported strong growth in
advertising revenue. India, in particular, reported significant year-on-year growth of 14%,
reflecting the rapidly growing radio industry.
The largest absolute increase in revenue among our European comparators was in
Germany (£99.0m), driven by a 3.5% increase in public radio licence fees.

114 Sirius XM, January 7 2015. Investor Relations.
http://investor.siriusxm.com/releasedetail.cfm?ReleaseID=890000 [Accessed 29 September 2015].
22,155 -17.1 -5.5
9.8
4.1
6.5
13.5 15.2
18.5
19.0
20.0 24.6 42.3
99.0
117.9
412.3 22,935
21500
22000
22500
23000
2013
revenue
JPN
ITA
Others
KOR
ESP
BRA
SWE
AUS
RUS
FRA
IND
UK
GER
CHN
USA
2014
revenue
Revenue (£m)

182

The most substantial absolute increases in radio revenue, by
Figure 4.4
component: 2013-2014

Source: Ofcom analysis based on data from PwC Global Entertainment and Media Outlook 2015-
2019 @ pwc.com/outlook. Interpretation and manipulation of data are solely Ofcom’s responsibility.
Ofcom has used an exchange rate of $1.648 to the GBP, representing the IMF average for 2014.
Note that the UK radio industry figure is sourced from broadcaster returns made to Ofcom. All figures
expressed in nominal terms.
The largest increase in public radio licence fee revenues in 2014 was in Germany
Of the 18 comparator countries, nine of the radio markets are part-funded by public radio
licence fees. Year-on-year changes in these countries are set out in Figure 4.5. Germany
had the largest absolute growth in revenue among these countries, with £99m growth driven
by the £80.6m increase in public radio licence fees. It is possible that this growth in revenue
was related to the introduction of the policy of one licence per household.115 Sweden had the
largest proportional increase in overall revenue, up by 5.7%.
Of the countries with licence fees, Japan had the largest decline in revenue in absolute
terms, with a £17.5m decrease in 2014. Almost of all this is accounted for by a decrease in
advertising revenue. This has fallen every year since the start of the global economic
downturn in 2009, and is likely to be linked to the ageing radio listenership in Japan, which is
not being replaced by the younger generation.116

115 ‘Licence fee for citizens’,
https://www.rundfunkbeitrag.de/e175/e198/Informationsflyer_Buergerinnen_und_Buerger_englisch.pd
f [Accessed 5 October 2015].
116 NHK Broadcasting Culture Research Institute, September 2015. Present Situation Regarding
Television Viewing and Radio Listening: A Summary of the Results of Nationwide Survey on
Individual Audience Ratings conducted by NHK in June 2015, p 8.
https://www.nhk.or.jp/bunken/english/reports/pdf/report_15091501.pdf [Accessed 5 October 2015].
117.9
24.6
19.0
18.5
266.8
18.4
11.1
22.4
80.6
8.8
19.9
145.5
0
50
100
150
200
250
300
350
400
450
CHN
IND
RUS
AUS
USA
GER
FRA
UK
Advertising
Public radio licence fees
Satellite radio subscriptions
3.6
1.9
3.4
3.4
3.1
7.0
14.0
9.8
Year on year
growth (%)
(£m)

183

Absolute changes in radio revenue among comparator countries with
Figure 4.5
public radio licence fees, by component: 2013-2014

Source: Ofcom analysis based on data from PwC Global Entertainment and Media Outlook 2015-
2019 @ pwc.com/outlook. Interpretation and manipulation of data are solely Ofcom’s responsibility.
Ofcom has used an exchange rate of $1.648 to the GBP, representing the IMF average for 2014.
Note that the UK radio industry figure is sourced from broadcaster returns made to Ofcom. All figures
expressed in nominal terms.
3.0
1.1
8.0
4.1
-17.5
-6.8
18.4
11.1
22.4
1.0
-0.7
7.2
-0.6
0.4
1.4
80.6
8.8
19.9
-40
-20
0
20
40
60
80
100
120
KOR
POL
SWE
NED
JPN
ITA
GER
FRA
UK
Advertising
Public radio licence fees
3.6
1.9
3.4
-1.5
-2.4
1.3
5.7
0.4
2.8
Year on year
growth (%)
(£m)

184
The radio industry
4.2
4.2.1 Introduction
This section looks at the revenues generated by the commercial radio sectors in each
comparator country, along with the levels of licence fee funding that are applied to radio
services. We also look at the availability of broadcast radio in each country. The main
findings include:

Global radio revenues stood at £28.1bn in 2014. Global radio revenue rose by
3.9% in 2014 to reach £28.1bn. Global revenue has increased each year since 2010,
as has each type of radio industry revenue.


Sixteen of our 18 comparator countries reported growth in revenue in 2014.
Revenues among the 18 comparator countries featured in this report grew by 3.5%.
In the UK, radio revenues increased by 3.6% to £1.2bn, due to increases in national
advertising and in public radio licence fees.


The only two of our comparator countries where revenue declined were Japan
and Italy. In Japan, there was a proportional decline of £17.1m, a 2.4% decrease on
the 2013 figure, while in Italy revenue decreased by £5.5m, a 1.5% decrease year-
on-year. These declines were mainly due to decreases in advertising revenue.

Revenue growth among the BRIC countries remains high; India had the highest
rate of proportional growth across all of our comparator countries at 14.0%, followed
by China at 9.8%.


Public radio licence fees contributed the largest proportion of revenues in
Germany, Sweden and the UK. Germany had the highest public funding ratio, with
79% of revenue coming from public radio licence fees. Sweden followed closely with
78%, and in the UK 60% of radio revenues came from public radio licence fees.


The number of radio stations broadcasting in China and Nigeria more than
trebled between 2009 and 2014, with increases of 305% and 212%, respectively.


The UK had one of the largest proportions of digital broadcast stations among
the comparator countries. The 283 digital radio stations in the UK in 2014
represent 33% of all radio stations. Of all the comparator countries in 2014, this
proportion is second only to Germany (37%).
4.2.2 Global radio revenue
Global radio revenues stood at £28.1bn in 2014
Global radio revenue increased by 3.9% in 2014 to reach £28.1bn, as Figure 4.6 shows.
Total revenue has increased each year since 2010, and each type of radio industry revenue
has also grown year on year. Revenues from advertising, up by 3.8%, continue to contribute
the largest proportion of total industry revenue, accounting for just over three-quarters
(75.3%) of industry income. Public radio licence fees increased by 2.8% to total £4.6bn in
2014, while satellite radio subscription revenues rose by 7.4% to £2.3bn, representing the
largest proportional growth but the smallest share of total revenue.

185

Global radio revenue: 2010-2014
Figure 4.6

Source: Ofcom analysis based on data from PwC Global Entertainment and Media Outlook 2015-
2019 @ pwc.com/outlook. Interpretation and manipulation of data are solely Ofcom’s responsibility.
Ofcom has used an exchange rate of $1.648 to the GBP, representing the IMF average for 2014. All
figures expressed in nominal terms.
4.2.3 Revenues among our comparator countries
Sixteen of our 18 comparator countries reported revenue growth in 2014
Revenues among the 18 comparator countries featured in this report grew by 3.5%, as
discussed in section 4.1.2. Apart from Italy and Japan, all comparator countries reported an
increase in radio revenue in 2014, with the largest proportional growth coming from India
(14.0%) and China (9.8%). Overall proportional growth in BRIC countries and Nigeria (8.8%)
was greater than overall proportional growth in European comparator countries (2.8%).
Revenue growth in the US market, the largest among our comparator countries, grew by
£412.3m to £12.5bn, representing a 3.4% increase. The US accounted for 54.7% of the total
revenue of the comparator countries as a whole. Revenues in Italy and Japan decreased by
1.5% and 2.4% respectively, predominantly due to a drop in commercial revenue.

Radio industry revenues: 2014
Figure 4.7

Source: Ofcom analysis based on data from PwC Global Entertainment and Media Outlook 2015-
2019 @ pwc.com/outlook. Interpretation and manipulation of data are solely Ofcom’s responsibility.
Ofcom has used an exchange rate of $1.648 to the GBP, representing the IMF average for 2014.
Note that the UK radio industry figure is sourced from broadcaster returns made to Ofcom. All figures
expressed in nominal terms.
25.1
25.7
26.3
27.0
28.1
19.1
19.6
19.9
20.4
21.2
4.4
4.4
4.4
4.5
4.6
1.6
1.7
2.0
2.1
2.3
0
10
20
30
2010
2011
2012
2013
2014
Total
Advertising
Public radio
licence fees
Satellite radio
subscriptions
Revenue (£bn)
1.2
1.1
3.0
0.4
0.7
0.6
0.3
0.3
0.3
0.1
0.1
0.2
0.3
0.3
0.2
1.3
0.1
0
1
2
3
4
UK FRA GER ITA USA JPN AUS ESP NED SWE POL SGP KOR BRA RUS IND CHN NGA
£bn
12.5
3.6
1.9
3.4
-1.5
3.4
-2.4
3.1
1.9
1.3
5.7
0.4
4.0
2.8
4.3
7.0
14.0
9.8
4.5
Year-on-year
growth (%): :

186
Revenue growth remains high among the BRIC countries and Sweden, while Italy and
Japan recorded proportional decline
As Figure 4.8 shows, the BRIC countries include the three fastest-growing markets in 2014.
India had the highest rate of growth, at 14.0%, constituting the only double-digit percentage
increase in 2014. This growth was a result of the Indian Government’s partial auctions
across 69 cities, which allowed for a potential of 135 channels, alongside growing demand
for radio advertising.117
Of the European comparator countries, Sweden recorded the highest annual growth (5.7%).
This may be explained by strong recovery in 2014 following the significant drops in
advertising in 2012 and 2013.118
The largest proportional decline was in Japan (2.4%), the only other decline was in Italy
(1.5%).

Radio industry revenue annual growth: 2013-2014
Figure 4.8

Source: Ofcom analysis based on data from PwC Global Entertainment and Media Outlook 2015-
2019 @ pwc.com/outlook. Interpretation and manipulation of data are solely Ofcom’s responsibility.
Ofcom has used an exchange rate of $1.648 to the GBP, representing the IMF average for 2014.
Note that the UK radio industry figure is sourced from broadcaster returns made to Ofcom. All figures
expressed in nominal terms.
Public radio licence fees contribute the largest proportion of revenues in Germany,
Sweden and the UK
Of the 18 comparator countries, nine of the radio markets are part-funded by public radio
licence fees, and with the exception of South Korea and Japan, all these countries are within
Europe. Public radio licence fees constitute the majority of radio revenue in three of these
countries: Germany, Sweden and the UK.
Germany has the highest public funding ratio, with 79% of revenues coming from public
radio licence fees. Of the markets that are partially public-funded, public radio licence fees
contribute the least in Japan (5%) and Poland (7%).

117 See FCCI-KPMG, 2015. Indian Media and Entertainment Industry Report 2015, pp 143-155.
https://www.kpmg.com/IN/en/IssuesAndInsights/ArticlesPublications/Documents/FICCI-
KPMG_2015.pdf [Accessed 30 September 2015].
118 PwC Global Entertainment and Media Outlook 2015-2019 https://pwc.com/outlook [Accessed 5
October 2015].
3.6
1.9
3.4
-1.5
3.4
-2.4
3.1
1.9
1.3
5.7
0.4
4.0
2.8
4.3
7.0
14.0
9.8
4.5
-5
0
5
10
15
UK FRA GER ITA USA JPN AUS ESP NED SWE POL SGP KOR BRA RUS IND CHN NGA
Annual growth (%)

187
In the UK, three-fifths (60%) of radio revenue comes from public radio licence fees. France
and the Netherlands are the only other countries where public radio licence fees account for
over 30% of total revenues.
The US is the only comparator country where subscriber-based satellite radio is available; it
contributed 17% to total revenues in 2014.

Proportion of radio revenue, by source
Figure 4.9

Source: Ofcom analysis based on data from PwC Global Entertainment and Media Outlook 2015-
2019 @ pwc.com/outlook. Interpretation and manipulation of data are solely Ofcom’s responsibility.
Ofcom has used an exchange rate of $1.648 to the GBP, representing the IMF average for 2014.
Note: (1) The UK radio industry figure is sourced from broadcaster returns made to Ofcom. (2) In
Australia, advertising revenue is shown as the sole source of radio revenue. Although there is no
licence fee to fund radio or television broadcasting in Australia, the Australian Broadcasting
Corporation (ABC) is funded by the Australian Government as part of its budget each year, so
publicly-funded radio services are available in Australia.
Radio markets in the US, Germany and Sweden generate the highest revenue per
head of population
The highest total revenue per head of population in 2014, including advertising revenue,
public radio licence fee revenue and satellite radio subscriptions, was in the US (£39.30),
followed by Germany (£36.40). Sweden ranked next, generating £29.40 revenue per head.
In Asia, the highest revenue per head of population was in Singapore, at £16.00.
In the UK, revenue per head was £18.70 in 2014, slightly higher than in France (£16.70), the
Netherlands and Singapore (both £16.00).
40
61
21
77
83
95
100 100
69
22
93
100
78
100 100 100 100 100
60
39
79
23
5
31
78
7
22
17
0%
20%
40%
60%
80%
100%
UK FRA GER ITA USA JPN AUS ESP NEDSWE POL SGP KOR BRA RUS IND CHNNGA
Advertising
Public radio licence fees
Satellite radio subscriptions
Total revenue (%)

188

Radio industry revenues, per head of population: 2014
Figure 4.10
Source: Ofcom analysis based on data from PwC Global Entertainment and Media Outlook 2015-
2019 @ pwc.com/outlook. Interpretation and manipulation of data are solely Ofcom’s responsibility.
Ofcom has used an exchange rate of $1.648 to the GBP, representing the IMF average for 2014.
Note that the UK radio industry figure is sourced from broadcaster returns made to Ofcom.
4.2.4 Availability of broadcast radio
The US had the largest number of radio stations broadcasting in 2014
Figure 4.11 shows the number of radio stations broadcasting in each comparator country
from 2009 to 2014. The US consistently had the largest number of stations on air, with
22,492 in 2014. The country with the second largest number of broadcast stations in 2014
was Brazil, with 9,629 stations – less than half the US total.
Among the European countries in our analysis, Spain had the most radio stations
broadcasting in 2014, with 2,239 stations, followed by Italy with 1,539 stations.

Number of radio stations, by country: 2009-2014
Figure 4.11

Source: IHS/Ofcom

7.5 10.2 7.5
4.6
32.7
5.2
26.3
7.4 11.1 6.4
2.5
16.0
2.4
0.2
1.0
0.3
11.2 6.5
28.8
1.4
4.9
23.0
6.6
18.7 16.7
36.4
5.9
39.3
5.5
26.3
7.4
16.0
29.4
2.7
16.0
3.1
1.6
2.0
0
10
20
30
40
UK FRA GER ITA USA JPN AUS ESP NED SWE POL SGP KOR BRA RUS IND CHN NGA
Advertising
Public radio licence fees
Satellite radio subscriptions
Revenue per head (£)
UK
FRA GER
ITA
USA
JPN
AUS
ESP
NED
SWE
POL
SGP
KOR
BRA
RUS
IND
CHN
NGA
2009
769
794
518
-
21,439
372
-
0
349
120
305
19
151
8163
638
477
372
77
2010
745
794
518
-
21,609
372
-
0
349
120
318
19
151
8,601
638
481
465
96
2011
762
794
518
-
21,889
372
273
0
349
134
323
19
151
9,184
638
486
581
120
2012
772
794
518
-
22,080
372
273
0
349
134
326
19
151
9,479
638
522
726
150
2013
803
814
518 1,527
22,173
372
273
2,258
349
134
332
19
151
9,589
638
618
907
188
2014
859
800
561 1,539
22,492
365
273
2,239
360
130
335
18
161
9,629
653
655
1,506
240

189
Adjusting for population size shows that there are fewer people per radio station in
the US than in any of the other comparator countries
The numbers in Figure 4.12 were calculated by dividing the 2014 population of each country
by the numbers of radio stations broadcasting, showing the population of each comparator
country per radio station. This provides an indication of the number of stations in each radio
market, taking into account variations in country size. However, it does not take into account
the relative size of the coverage area of individual stations within each comparator country.
Not all broadcasting stations will be available to all inhabitants, as many stations broadcast
locally rather than nationally.
The US has the lowest population per radio station among all the countries in our analysis.
Despite having the third largest overall population among the comparator countries, it had a
radio station for every 14,000 people in the country in 2014. Brazil and Spain had the next
lowest figures, each with 21,000 people per radio station in 2014.
India and China, which have the largest populations of the comparator countries, also have
the greatest number of people per radio station (1.9 million and 0.9 million people
respectively).

Population per radio station: 2014
Figure 4.12

Source: IHS/Ofcom
The number of radio stations broadcasting in China and Nigeria more than trebled
between 2009 and 2014
As Figure 4.13 shows, growth in the number of radio stations on-air was greatest in China
and Nigeria over the five-year period between 2009 and 2014, with increases of 305% and
212% respectively. A contributor to this growth in the number of radio stations in Nigeria may
be increased listenership, related to the rise in ownership of mobile phones which has
increased the population’s access to the radio.119
Of the two comparator countries recording a decline in the number of stations between 2009
and 2014, the largest decline was in Singapore, at -5%, followed by Japan at -2%. Japan’s

119 PwC Global Entertainment and Media Outlook 2015-2019 https://pwc.com/outlook [Accessed 27
October 2015].
75
80
147
40
14
348
87
21
47
74
114
307 308
21
218
1,935
908
744
0
500
1000
1500
2000
2500
UK FRA GER ITA USA JPN AUS ESP NEDSWEPOL SGPKOR BRA RUS IND CHNNGA
Population per radio station (000s)

190
failure to recover from the declines in total radio revenue and regular radio listenership
between 2009 and 2010 may explain the further reduction in the number of radio stations.120

Growth in the number of broadcast radio stations: 2009-2014
Figure 4.13

Source: IHS/Ofcom
Note: Data for ITA and ESP for 2009 were not available. There was no change in the number of
stations for AUS so these series are not included on the chart.
Germany, the UK and Australia have the largest proportions of digitally broadcast
radio stations among the comparator countries
Digitally broadcast radio stations were available in 12 of the 18 comparator countries in
2014. Of these, Germany had the highest proportion of DAB digital radio stations, with 37%
of stations being broadcast digitally. The country with the next-highest proportion of digital
stations among the comparator countries was the UK, at 33%.
Of the 12 countries to provide digital radio services in 2014, Spain had the smallest
percentage of digital stations, at 1%.
Among the Asian comparator countries, only South Korea and China provided broadcast
digital radio services in 2014, with 17% and 2% of all stations respectively being digital.
We note that in some countries, stations are broadcast simultaneously on DAB and on
analogue. Where this is the case, both the digital and analogue broadcasts are included in
the calculation.

120 PwC Global Entertainment and Media Outlook 2015-2019 https://pwc.com/outlook [Accessed 27
October 2015].
-1
1
8
5
-2
3
8
10
-5
7
18
2
37
7
-2
8
1
1
-2
-1
3
-3
1
-5
7
2
6
-10
0
10
20
30
40
UK FRA GER ITA USA JPN ESP NED SWE POL SGP KOR BRA RUS IND
2009-2014
2013-2014
Growth (%)
305
212
66
28
0
100
200
300
CHN
NGA

191

Proportion of digital broadcast stations to analogue broadcast stations,
Figure 4.14
in countries with stations broadcasting digitally: 2014

Source: IHS/Ofcom
Note: (1) Where stations are broadcast digitally as well as on analogue, these are counted twice.
(2) ‘Digital broadcast stations’ include DAB, DAB+, DMB and HD Radio.

67
81
63
92
89
70
99
84
95
90
83
98
33
19
37
8
11
30
16
5
10
17
0%
20%
40%
60%
80%
100%
UK
FRA
GER
ITA
USA
AUS
ESP
NED
SWE
POL
KOR
CHN
Non-digital
Digital
Proportion of digital / non-digital stations (%)

192
The audio consumer
4.3
4.3.1 Introduction
The following section examines how people in our comparator countries consume audio
services.

Digital radio set take-up in the UK was the highest of all the comparator
countries surveyed in 2015, at 50% of radio listeners. This is a rise of 9
percentage points since 2014. DAB coverage is also highest in the UK, reaching 96%
of households in 2015.


FM-only radios are the most common type of set owned by radio listeners in all
of our comparator countries. Take-up was highest in Italy and Spain (84%). The
UK had the lowest take-up of FM-only radio sets (60%), although most radio sets
with DAB or internet connectivity will also include an FM tuner.


The proportion of households listening to radio on a weekly basis was lowest
in Nigeria (20%) and Japan (38%), and highest in China (98%), Sweden and
Poland (both at 94%). The lowest reach of radio in Europe was in Germany (68%),
while in the UK the reach of radio was 90% of households in 2014.

Listeners in Poland tune in to radio for longer than those in any of our other
comparator countries, averaging 31.9 hours per week. UK listeners tune in for 19.2
hours per week, close to the average figure among the European countries in our
analysis.

A quarter (25%) of mobile phone users in the UK use their device to listen to
music on a weekly basis. This is second only to the US, where a third (33%) of
mobile phone users listen to music on their devices.

Between 2013 and 2015 there was an increase in the use of streaming audio
services among mobile phone owners, with approximately three in ten mobile
phone owners using their device in this way in Italy (33%) and the US (31%).
4.3.2 Radio set ownership
Take-up of digital radio sets remains highest in the UK
Take-up of digital radio sets among regular radio listeners in the UK was 50% in 2015, up
from 41% in 2014. The next highest take-up was in Australia, where 23% of regular radio
listeners said that they owned a digital set.
In Europe, take-up of digital sets among regular radio listeners was next highest in Italy
(17%) and Spain (15%). Take-up was broadly comparable year on year in all our comparator
countries, with the exception of Italy, where it fell slightly in 2015.

193

Take-up of digital radio sets among adult regular radio listeners: 2015
Figure 4.15

Source: Ofcom consumer research September – October 2015
Base: Regular radio listeners, UK=648, FRA=709, GER=778, ITA=727, USA=610, JPN=358,
AUS=622, ESP=707, SWE=616
Q.3a Which of the following devices do you have in your home?
Notes: (1) Digital radio sets include DAB and DRM. (2) In Japan, digital radio is broadcasted using
ISDB radio technology, and in the US, HD radio technology is used.
DAB coverage is highest in the UK
DAB coverage in the UK reached 96% of households in 2015. Both the BBC’s national
multiplex and the national commercial multiplex are available to at least nine in ten UK
households and the BBC is nearing the completion of its two-year programme to expand its
national DAB coverage from 95% to 97%. A second national commercial multiplex is due to
launch in 2016.
Germany also has widespread DAB coverage, at 95% of the population. The regional and
the nationwide networks will be enlarged in 2016 by further sites.
In France, the first regular DAB+ services began broadcasting in June 2014, with launches
in Paris, Nice and Marseille. The regulator, CSA, is planning DAB+ services in several
additional cities by late 2016, following a public consultation on the deployment of DAB+.
DAB+ rollout in Italy is progressing steadily, with plans for extending coverage of national
services to 75% of the population in 2016, the planned licensing of local DAB+ multiplexes
reaching 10 regions in Italy, receiver sales growing steadily and with over 22% of cars
having DAB+ receivers line-fitted.
41
6
11
19
6
6
23
15
50
9
14
17
8
9
23
15
8
0
10
20
30
40
50
60
UK
FRA
GER
ITA
USA
JPN
AUS
ESP
SWE
Radio listeners (%)

194

Population coverage of DAB/ DAB+/ DMB digital radio: 2012-2015
Figure 4.16

Source: WorldDAB
Note: (1) Regular DAB+ services were launched in France in June 2014. From 2012 to 2014 trial
services were on air in Lyon and Nantes covering ~5% of the population in DAB+ and DMB. In 2014
regular services started in Paris, Marseille and Nice covering ~19% of the population with regular
services (DAB+ and DMB), in addition to the trial services in Lyon and Nantes. Please note that Lyon
and Nantes are not included in the 19% coverage calculation. From 2014 to 2015, DMB services
moved to DAB+. Then, from summer 2015 all radio services are DAB+. (2) No data for DAB coverage
exist for Japan due to digital television and radio services being broadcast over ISBD standards. (3) In
the US satellite radio is the country’s main digital radio platform, which has grown to become a major
component of US radio revenue since its introduction in the mid-2000s.
FM-only radios are the type of radio most commonly owned by radio listeners in all of
our comparator countries
Across all of the comparator countries in our consumer research, ownership of FM-only radio
sets is higher than ownership of any other type of radio set. Take-up of FM sets was highest
in Italy and Spain (84%). The UK had the lowest claimed ownership of FM-only radio sets
among radio listeners, at 60%, significantly lower than all of the comparator countries.
Overall ownership of any radio in the UK is, however, on par with most other countries (with
the exception of Italy, Japan and Spain), at 82%. This is due to the far greater take-up of
DAB sets, as set out in Figure 4.15. Most DAB or other types of radio sets will include an FM
tuner.
Take-up of WiFi radio sets among radio listeners was highest in Spain (18%) and Italy
(17%), and satellite radio set take-up was highest in the US (15%). The US is the only one of
our comparator countries where satellite radio services are widely available, as outlined in
Section 4.2.3 of this report.
Population coverage (%)
94
5
47
60
60
20
94
5
90
65
64
20
95
5
91
65
64
20
96
19
95
68
65
20
0
25
50
75
100
125
UK
FRA
GER
ITA
AUS
ESP
2012
2013
2014
2015

195

Take-up of any radio set, and FM-only, WiFi and satellite radio sets,
Figure 4.17
among adult regular radio listeners

Source: Ofcom consumer research September – October 2015
Base: Regular radio listeners, UK=648, FRA=709, GER=778, ITA=727, USA=610, JPN=358,
AUS=622, ESP=707, SWE=616
Q.3a Which of the following devices do you have in your home?
4.3.3 Regular listening to radio and other audio content
In all the countries we surveyed, listening to the radio is the most common way to
regularly consume audio content
In all our European comparator countries except the UK and Sweden, at least seven in ten
online adults claimed to listen to the radio at least once a week. Germany had the highest
proportion of weekly listeners at 78%, slightly higher than Italy (72%), Spain (71%) and
France (70%). Weekly radio listenership was lower in the UK, where 64% of our respondents
said they were regular listeners, similar to the levels seen in Sweden (62%), Australia (62%)
and the US (60%). Across all of the countries we surveyed, Japan (36%) had the lowest
proportion of respondents who claimed to listen to radio at least once a week.121
We also asked people whether they used a portable media player or a hi-fi system or
equivalent device. Italy and Spain recorded the highest portable media player use, at 44%
and 43% of all respondents respectively, while listening to music on a hi-fi or equivalent was
most popular among respondents in the UK (36%) and France (34%). Despite the differing
levels of listening via these latter devices, the radio set was the most popular medium in all
of the countries we surveyed.

121 Our results for the UK show listening figures lower than the average weekly reach of radio reported
by the UK’s radio listening measurement body, RAJAR, which reported 89.5% of the UK population
listened to radio in an average week in 2014. This is due to methodological differences; our research
was designed to compare communications use and attitudes between different countries and not
provide a definitive measure of the consumption of media in any one country.
82
60
16
7
78
74
10
4
81
72
16
5
88
84
17
5
79
73
13
15
74
70
12
3
80
73
14
3
87
84
18
5
85
81
10
2
0
20
40
60
80
100
Any radio
FM-only radio
WiFi radio
Satellite radio
UK
FRA
GER
ITA
USA
JPN
AUS
ESP
SWE
Radio listeners (%)

196

Proportion of adults who claim to regularly consume audio content
Figure 4.18

Source: Ofcom consumer research September – October 2015
Base: All respondents, UK=1006, FRA=1003, GER=1007, ITA=1003, USA=1009, JPN=1006,
AUS=1000, ESP=1002, SWE=1004
Q.6 Which of the following do you regularly do (at least once a week)?
The reach of radio is lowest in Nigeria (20%) and Japan (38%)
Data from IHS indicate that a majority of households listen to radio in most of our comparator
countries. Figure 4.19 shows the proportion of households that listen to the radio weekly,
between 2009 and 2014, across our 18 comparator countries. The lowest proportions of
radio listeners were in Nigeria (20%) and in Japan (38%).
As Figure 4.19 shows, the reach of radio was highest in China (98%), followed by Sweden
and Poland at 94%. The lowest reach of radio in Europe was in Germany (68%).122
Between 2009 and 2014, the proportion of the population listening to radio remained
relatively stable in the majority of our comparator countries, with the exception of Russia and
Poland, where it declined.

122 Results in Figure 4.18 and Figure 4.19 are not comparable due to different methodologies used in
collecting each data set. Figure 4.18 shows individual respondent consumer research results (based
on surveys of online adults), while Figure 4.19 shows household listening figures recorded by industry
measurement systems.
64
32
36
70
27
34
78
28
21
72
44
31
60
25
23
36
22
10
62
29
26
71
43
30
62
16
19
0
20
40
60
80
100
Listen to the radio
Listen to music on a portable
media player
Listen to music on a hi-fi/CD or
tape player
UK
FRA
GER
ITA
USA
JPN
AUS
ESP
SWE
Respondents (%)

197

Reach of radio: 2009-2014
Figure 4.19

Source: IHS
Note: Measurement systems in different countries are likely to use different methodologies, so
comparative data should be treated as indicative only.
Listeners in Poland tune in for the longest time each week
The average time spent listening per week in Poland was significantly higher than in any of
our other comparator countries, with listeners tuning in for an average of 31.9 hours per
week.
Despite the high reach of radio in Sweden, radio listeners spend far less time listening to
radio than in other comparator countries in Europe (8.8 hours per week).
Those in France, Germany, the Netherlands and Brazil listen to radio for a substantial
amount of time; average weekly listening is between 20 and 21 hours in each of these
countries. The UK is broadly on par with these countries, as the average weekly listening is
19.2 hours. In Italy and Japan, time spent listening to radio has increased significantly since
2009. Conversely, there have been declines in the US, Australia, Germany, Sweden and the
Netherlands.

Average weekly radio listening hours, by country: 2009-2014
Figure 4.20

Source: IHS
90
82
68
85
76
38
62
71
88
94
94
93
84
63
98
20
0
20
40
60
80
100
UK
FRA GER ITA USA JPN AUS ESP NED SWE POL SGP BRA RUS CHN NGA
2009
2010
2011
2012
2013
2014
Households (%)
19.2
20.4
20.7
23.0
13.5
14.0
14.6
13.9
20.0
8.8
31.9
21.0
0
10
20
30
UK
FRA
GER
ITA
USA
JPN
AUS
ESP
NED
SWE
POL
BRA
2009
2010
2011
2012
2013
2014
Average weekly listening hours

198
Note: Measurement systems in different countries are likely to use different methodologies, so
comparative data should be treated as indicative only. Data unavailable for SGP, KOR, RUS, IND,
CHN, NGA and for ITA 2010-2011.
Time spent listening to radio in Australia fell by 30.5% between 2009 and 2014, with
radio listening also decreasing in most other comparator countries
As Figure 4.21 shows, between 2009 and 2014, the average time spent listening to radio fell
by 30.5% in Australia. The UK recorded a 3.3% decrease.
Among the comparator countries in our analysis, only Japan (16.7%) and Spain (11.2%) had
an increase in average weekly radio listening during the five year period between 2009 and
2014.

Change in average weekly listening hours: 2009-2014
Figure 4.21

Source: IHS. Figures for Italy have been omitted as audience measurement systems over the five
year period 2009 to 2014 have varied, after Audiradio, the former Italian radio audience measurement
company stopped its activities in 2011. There was no change in average weekly listening hours
between 2009-2014 in Brazil.
4.3.4 Audio consumption on a mobile phone
Almost four in ten mobile phone owners in Spain and Italy use their mobile phone to
listen to the radio
In all of our comparator countries, adult mobile phone owners were more likely to listen to
music that they owned on their device, rather than listen to the radio or stream audio. In the
UK, 34% of mobile phone owners listened to music they owned, compared to 21% who used
their phone to listen to the radio. Twenty-one per cent of mobile phone owners in France and
Germany also used their phones to listen to radio; these figures are the lowest among our
European comparator countries. In the UK, the same proportion of those who listened to the
radio listened to streaming audio services on their mobile phone (21%).
Mobile phone owners in Spain and Italy were more likely than those in our comparator
countries to use their mobile phone to listen to the radio, and were also more likely to use
their phone to listen to music they owned. More than half (53%) in Spain and 48% in Italy
used their mobile phone to listen to music they owned, and almost four in ten in each of
these countries used their device listen to the radio (Spain at 39% and Italy at 38%). The
incidence of streaming audio was greatest in Italy (33%), closely followed by the US (31%),
where online radio services such as Pandora have been available for a number of years.
-0.6
-17.6
-14.6
11.2
16.7
-30.5
-22.9
-1.9
-1.4
-3.3
-35
-25
-15
-5
5
15
POL
SWE
NED
ESP
JPN
AUS
USA
GER
FRA
UK
Change (%)

199

Use of a smartphone / mobile phone to consume audio content
Figure 4.22

Source: Ofcom consumer research September – October 2015
Base: All respondents with a mobile phone/ smartphone, UK=839, FRA=853, GER=882, ITA=865,
USA=751, JPN=815, AUS=843, ESP=886, SWE=882
Q.9d Which, if any, of the following audio activities do you use each of your devices for?
Increased use of streaming audio services among adult mobile phone owners
As Figure 4.23 shows, since 2013 there has been an increase in the proportion of adult
mobile phone owners who use their mobile phone for streaming audio, across all of the
countries in our research. Italy and the US recorded the highest proportions, at 33% and
31% respectively.

Listening to streaming audio on mobile phones
Figure 4.23

Source: Ofcom consumer research September – October 2015
Base: All respondents with a mobile phone/ smartphone, UK=839, FRA=853, GER=882, ITA=865,
USA=751, JPN=815, AUS=843, ESP=886, SWE=882
Q.9d Which, if any, of the following audio activities do you use each of your devices for?
Mobile phone users with a 4G contract are more likely to stream or download music
In all our comparator countries, adult mobile phone users with a 4G contract were more
likely than those without 4G to stream or download music on their mobile phone on a regular
basis. This may be due to the faster throughput speeds typically offered by 4G technology,
or it may be due to the larger data allowances that usually come with the higher-cost 4G
34
33
37
48
34
32
40
53
26
21
21
21
38
22
13
18
39
26
21
18
15
33
31
15
20
27
29
0
20
40
60
UK
FRA
GER
ITA
USA
JPN
AUS
ESP
SWE
Listening to music I own
Listening to the radio
Listening to streaming audio
Respondents with a mobile phone (%)
Respondents with a mobile phone (%)
14
21
9
13
18
10
12
16
33
22
24
31
8
15
14
16
20
18
20
27
0
10
20
30
40
2013
2014
2015
UK
FRA
GER
ITA
USA
JPN
AUS
ESP
SWE
29

200
contracts. In most countries, 4G is a relatively new development, so the increased proportion
of people downloading or streaming music may reflect the behaviour of early adopters.
Among the European countries in our analysis, the UK and Italy had the highest proportion
of respondents on 4G contracts who frequently (at least weekly) used their network to
download/stream music on their mobile phones.

Frequency of downloading/streaming music on mobile phone (4G vs.
Figure 4.24
non-4G)

Source: Ofcom consumer research September - October 2015
Base: All respondents who use 4G/ don’t use 4G on their phone, UK=96*/105, FRA=125/143,
GER=67*/146, ITA=108/242, USA=75*/49*, JPN=54*/52*, AUS=101/76*, ESP=114/212,
SWE=107/96*. *Caution: bases under 100.
Q.22 Which of the following statements best describes your awareness and use of 4G? Q.27 How
often, if at all, do you use your main mobile phone to do each of the following?
A quarter of mobile phone users in the UK use their device to listen to music at least
weekly
Figure 4.25 shows that people in the US and the UK are the most likely to use their mobile
phone to listen to music frequently.123 A third (33%) of mobile phone users in the US use
their mobile phone to listen to music on a weekly basis, while a quarter (25%) of those in the
UK do so.
Mobile phone users in Japan are the least likely to use their phone to listen to music
regularly, whether on a weekly or monthly basis. One in ten (10%) of mobile phone users in
Japan listened on a weekly basis, and 17% listened on a monthly basis.

123 Figure 4.25 uses data from comScore’s MobiLens survey. The methodology and sample size used
in the ICMR consumer research differ from the methodology and sample size of comScore MobiLens
data.
57
38
49
57
65
38
48
49
42
38
24
22
44
56
26
28
40
23
0
20
40
60
80
UK
FRA
GER
ITA
USA
JPN
AUS
ESP
SWE
4G network
Non-4G network
Respondents (%)

201

Frequency of listening to music on a mobile phone
Figure 4.25

Source: comScore MobiLens, August 2015 (three-month average, mobile phone users aged 13+).
4.3.5 The role of radio as a main source of news
Across all our comparator countries, excluding Sweden, radio was more likely to be
used to source regional/local news than any other type of news
Across our European comparator countries, Germany (12%) had the highest proportion of
respondents who used radio for consuming international news. France followed, with 10%.
Listeners in Japan were the least likely to use the radio for accessing international news,
with 1% of respondents using radio as their main source for this type of news.
The proportion of adults using the radio as their main source of national news was highest in
France and Germany, at 13% each, followed by Spain and Sweden at 11%. Adults in Italy
were the least likely in Europe to use radio as their main source of national news (7%), close
to the UK figure (8%). Across all the comparators, listeners in Japan were the least likely to
use the radio for national news (3%).
The type of news which was most likely to be sourced on radio was regional/local news,
across all our comparator countries excluding Sweden. This was highest overall in Germany,
where 19% of adults claimed to use the radio as their main source of regional/local news;
more than double the proportion in the UK (9%).
Section 1.6 examines the general consumption of news across a number of countries, by
looking at which platforms people say they use as their main source of different types of
news and the devices they use for accessing online news.
25
34
17
27
17
29
18
29
33
43
10
17
18
29
0
10
20
30
40
50
At least weekly
At least monthly
UK
FRA
GER
ITA
USA
JPN
ESP
Mobile phone users (%)

202

Proportion who specify radio as their main source of news
Figure 4.26

Source: Ofcom consumer research September – October 2015
Base: All respondents, UK=1006, FRA=1003, GER=1007, ITA=1003, USA=1009, JPN=1006,
AUS=1000, ESP=1002, SWE=1004
Q.11 Which, if any, is your main source for the following information? Tre, Canale 5, Italia 1, Rete 4,
La 7
10
14
11
3
7
10
19
13
9
11
11
6
3
6
7
13
13
8
8
8
5
1
4
7
12
10
8
SWE
ESP
AUS
JPN
USA
ITA
GER
FRA
UK
SWE
ESP
AUS
JPN
USA
ITA
GER
FRA
UK
SWE
ESP
AUS
JPN
USA
ITA
GER
FRA
UK
News about the
world
News about
your country
News about your
region/ locality
Respondents (%)