Features and documentaries
In association with National Public Radio and Public Radio International we have sourced a range of exciting special features and documentaries which we intend broadcasting on Thursday evening and at weekends. These include Jazz Profiles hosted by Jazz legend Nancy Wilson, Mississippi, River of Song a series dedicated to the music played along the banks of the great river, Memphis The Cradle of Rock and Soul, a series dedicated to the history and sounds of the music of Memphis and a special documentary Black Radio, charting the history of this genre in the USA. Our relationship with jazzfm in the UK means that we expect to supply them on occasions with specialist programming and features, and use them to source certain programme strands. It is our intention to develop a number of our own features and documentaries in the future.
Irish language programming
Jazz FM are aware of the growth in interest in the Irish language and will encourage and join any initiative the IRTC and Irish language bodies develop. For our part we intend broadcasting a special interest music programme hosted entirely in the Irish language by well-known Irish Jazz artist Melanie O'Reilly.
Creation of new opportunities for Irish talent in music, drama, entertainment and other areas of production
It is part of the vision of Jazz FM that the station will be an integral part of the community. We intend being a part of Dublin life rather than standing apart from it, and we intend using our resources to direct effect on the lives of Dublin people. Jazz FM will not be something that just comes out of the ether, it will be involved in the day to day life of people in this city. We will make a genuine commitment to developing new projects that help all strands of society and we have already done much of the groundwork on two projects that are innovative and exciting.
In association with jazzfm in the United Kingdom we will embark on a project that has proved highly successful in England. This project is called “Jazzworks Schools Project“ where Jazz FM (in association with a sponsor) will send Irish and international Jazz musicians out to a second level school to take part in workshops with the pupils. The day starts with a performance at lunchtime open to all pupils, which charts the origins of jazz music and shows its relevance to all forms of music right up to the present day. The day continues with workshops throughout the afternoon for music students of the school, and in some instances a workshop for jazz dance will be available and open to all students in the school. The day culminates in a concert performance that evening featuring the musicians and the schools music students, which we suggest the school sells tickets for. This helps generate revenue for the schools, assists the pupils in their music studies and generates interest in Jazz music. We have received great encouragement from ASTI for this particular project and further details are attached in the appendices.
Jazz FM will also introduce a jazz outreach education programme targeting disadvantaged communities citywide. This project will be run in association with the IRMA TRUST and will involve training and workshops on jazz music themes for disadvantaged groups, who will utilise the highly successful IRMA TRUST Instrument Bank, a venture where the TRUST supplies musical instruments free of charge to participants.
Another project planned is The Jazz FM 'Young Jazz Musician of the Year' competition which will be open to secondary school and college students. The objective is to identify and promote young Irish jazz talent and to provide a bursary for the winner to enable him/her to study at the Newpark Jazz School, Blackrock, Dublin. Adjudicators will include Dr Louis Stewart and other major figures on the Irish jazz scene.
Jazz FM will also become an Official Partner of the Cork Jazz Festival, the Dublin Jazz Festival and the Bray Jazz Weekend - in order to provide maximum exposure for these important music events and, in particular, the participation of Dublin musicians taking part in the event. It will be our intention to use our Jazzworks in the Classroom project and our community outreach programme to encourage those festivals to book young emerging Dublin musicians who have worked with us on those projects.
Through our links with the UK jazzfm station, we plan to provide a series of Jazz Showcase documentary programmes featuring Irish stars such as Honor Heffernan, Ronan Guilfoyle, Richie Buckley, Mary Coughlan, Peter O'Brien and Louis Stewart. We anticipate that this exposure will help to develop performance opportunities for a range of Irish musicians throughout the UK.
Jazz FM will also provide a comprehensive work-experience structure for students in second level education, especially those in Transition Year programmes, and those studying Broadcasting in third level institutions. This programme will give hands on experience in all matters of radio broadcasting including assisting in the writing of news bulletins, the production of our talk programmes and, if suitable, the possibility of broadcasting themselves. We are aware that these enthusiastic young people are the future stars of Jazz FM and it is in our interests to nurture and train them to the same standards as we would a member of our staff.
Plans, if any, for the purchase and sale of broadcast material, both from other broadcast organisations and independent producers
As indicated above we have sourced exciting features and documentaries from NPR and PRI in the USA. In our efforts to bring high quality radio to Dublin we will be active in trying to source similar programmes from the birthplace of the music being played.
While there are no formal arrangements in place, we will be able to avail of the best programming of jazzfm in the UK. We intend developing that partnership to produce feature programmes, and this will be to the benefit of Irish artists who will get their music played on British radio.
We intend developing our association with jazzfm to allow Irish listeners in the UK hear Irish voices and Irish music on their services. Given the large amount of Irish people living in the UK, this is a development that both jazzfm in the UK, and Jazz FM in Dublin are enthusiastic about.
Presentational style
Our first requirement from a presenter is an instinctive appreciation of the music we play, and an ability to communicate a love of jazz to the listener in a style that has character without being unduly obtrusive. Outside the Breakfast Show, where we believe that a slightly more “upfront” personality-led style is appropriate, we encourage a laid-back and uncluttered daytime style which enhances the flow of the output and provides an alternative to the more attention-grabbing styles heard on other stations. Our style is understated and informative with a “light-touch”, seeking to combine warmth and intelligence with a hint of wit.
During specialist sequences, the balance shifts away from traditional qualities of smoothness and flow towards a more “raw” sense of enthusiasm. By their nature, specialist shows are created by our most committed music lovers both to serve existing fans of particular genres and sub-genres, and to introduce new fans to new styles. Some of the shows include interviews, reviews, and previews relevant to the genre - typically under three minutes duration. Longer interviews will typically be split into sessions of three minutes each, illustrated with appropriate music. Knowledge and passion form the foundation of specialist programming, and accordingly the style of each show tends to emerge from the personality of the presenter.
Specialist shows, and the people who create them, will be an essential ingredient of the Jazz FM, and the speech content within them provides a crucial contribution to the heart and personality of the radio station.
Other programming proposals
At this
time Jazz FM have no further programming proposals but we would like
to retain flexibility in this matter for the development of a quality programme
output in future years.
SECTION 6
MARKET ANALYSIS
(a) Analysis of Existing Marketplace
This section should provide an analysis of the existing radio market in the franchise area and should comment on the performance of existing operators, audience ratings, advertising revenue, market trends and other key competitive issues in the marketplace. Supporting documentation/research is considered desirable in this regard.
Existing
Radio Market - Dublin
At present there
are 870,000 individuals aged 15+ in the Dublin City & County according
to the latest JNLR survey, 1999/2000. This represents 30% of the total adult
population, however 37% of those aged between 20-44 are in Dublin, significantly
higher than the national average population distribution. (see Addenda 1&
2)
The significant
factor which emerges from the socio-demographic analysis is that 46% of all
AB adults and 40% of all ABC1 adults are in Dublin. This is the key target
market for very many advertisers.
Current
Radio Listenerships in Dublin
In Dublin 86%
of adults and 85% of those aged 25-44 listen to radio each day. Of these 49%
listen to an RTE station, 11% to Today FM and 50% to a local station. It
is significant to note the success of Lite FM in attracting 17% of all Dublin
adults and 24% of 25-44's since it's launch in May 2000. Also, Lyric FM,
has captured a 6% daily listenership, which is very creditable for a niche
station.
Dublin Listenership
Profiles
Significant differences are evident in the make up of the audience profiles
by individual station. Radio 1 has an aging profile with over 63% of its
audience aged 45+ whilst only 38% of the population in Dublin are in this
age bracket. FM 104 represents the converse of this with 74% of its listeners
aged under 35 as against 44% of the Dublin population.
Audience Trends
There has been a
drop in audience to Radio 1, 2FM and 98 FM over the 5 year period 1995 to
2000. The Radio 1 & 2FM share has been lost primarily to Today FM. An
aggressive marketing push from FM 104 has seen it capture audience at the
expense of its main Dublin rival 98 FM and also from 2FM. Lyric FM has most
likely derived its share from Radio 1.
Current Market Share
of Dublin Audience
RTE Radio1 currently
captures 42% market share of all adult listeners in Dublin. 2FM, FM 104 and
98 FM run neck and neck with 17% and 16% shares respectively. Today FM now
commands a 6% audience share whilst Lyric FM records only 1% market share
which reflects the ‘dip in, dip out' nature of the station. It should be
noted that market share information is not yet available for Lite FM.
Current Market Share
Dublin 20 44 year olds
Radio 1's market share amongst 20-44 year olds dips dramatically to 22% and
is obviously less attractive to younger listeners. Conversely and unexpectedly,
it is the radio stations targeting this group, 98FM, FM 104 and 2FM, who gain
increased share with 24%, 23% and 21% respectively. Today FM increases its
share to 9% amongst 20-44's with Lyric at 1%.
Advertising Revenue
All Media
The advertising market has shown significant growth during the past 5 years.
Double digit growth has been evident since 1996 with 1999 showing a 15% increase
year on year to Ir448 million. It is estimated that the total media expenditure
for the full year 2000 exceeded Ir500 million with 12%/15% growth being experienced.
Advertising Expenditure
- Radio
Our expenditure
figures, (see Addendum 4 & 5) sourced from the advertising industry benchmark
research IAPI Adspend indicates that spend on radio has been growing at a
slower pace than the total market with a compound growth of 46% over the period
as against 66% total market growth. However, these figures do not show the
full picture as the Independent Local stations outside of Dublin & Cork
are excluded from the research, as is Today FM.
By including
the local stations and Today FM, the picture alters quite dramatically with
expenditure growth running at 16% for the past 2 years. It is evident that
the market has expanded to accommodate the growth of new independent stations.
This offers encouragement to the new stations yet to be launched and to those
seeking new licenses.
• 1995 +12.5%
• 1996 +12.5%
• 1997 +11.8%
• 1998 +12.5%
• 1999 +12.6%
Radio Revenue Dublin
It is presently
estimated that the market in Dublin is valued at approximately Ir12 Million
between FM 104 and 98 FM, excluding sponsorship. However, expenditure both
from local advertisers and from national advertisers targeting the Dublin
market on RTE and Today FM would increase this pool by an additional Ir3 Million
to Ir15 Million approx in 1999.
Market Growth
It is predicted
that the advertising market will continue to enjoy high levels of growth based
on economic forecasts and industry expert predictions. It is estimated that
the market for 2000 increased by 12%+ over 1999 to over Ir500 Million. If
revenues continue to grow at a level of 8% and radio achieves an on-going
share of 12.5% there will be an estimated Ir84 Million available for radio
advertising by the year 2003. Given that Dublin accounts for approximately
30% of all radio spend there will be sufficient growth to enable new stations
to thrive, with an estimated pool of Ir25 Million from advertisers targeting
Dublin.
(a) Demand and Potential for the Type of Service Proposed
This section should provide an analysis of the reasons as to why it is considered that there is a demand for the type of service proposed, with reference to the size and nature of the proposed target audience. The attitudes and views of local and national advertisers and media buyers to the proposed service, together with any evidence of support from potential audiences, should be provided. Supporting documentation/research will be considered desirable in this regard.
Current
Radio Brand Positioning
It is an undoubted
fact that there is a big gap in the market for a niche radio station such
as Jazz FM. When you consider that FM104, 98FM and 2FM cater for mainstream
music audiences in the young to middle age sector, and TODAY FM, LITE FM and
RTE Radio 1 cater for mainstream audiences in the middle age to old sector,
that leaves Lyric FM as the only niche music station (apart from pirates)
appealing to an alternative music market, albeit an older one. Therefore,
Jazz FM will have a niche market all of its own aimed at 20 44 year olds
with discriminating music tastes.
It can be seen from
the attached extrapolation of current brand positioning (see Addenda 3) that
the emergent gap is greater for a niche type station, spanning the age group
from 20-44, rather than yet another mainstream offering.
20-44 year olds
are the most attractive audience to advertisers, especially the high spending
ABC1 socio-economic group. It is valuable to note that recently launched
high profile media, including
TV3 and Today FM, have taken this group as their core target audience.
In association with
the Dublin market research company, Catalyst, a series of research projects
among the 20-44 target age group were carried out in Dublin in January 2001.
The findings, even with a limited universe of 300+, reflect very closely the
findings of major research carried out by the highly successful UK Jazz FM
organisation.
In terms of the music styles that will probably be heard on a station such as Jazz FM, the Dublin respondees like or strongly like the following music styles:
| Strongly like (%) | Like (%) | |
| Funk | 9 | 10 |
| RnB | 6 | 8 |
| Soul | 6 | 9 |
| Hip Hop | 7 | 9 |
| Jazz | 7 | 16 |
| Reggae | 9 | 10 |
| Rap | 13 | 17 |
| Dance | 6 |
9 |
These
results confirm the niche market attractions of a station such as Jazz FM,
where the music style is vital to a discerning market sector which embraces
all facets of jazz related sounds.
When asked if existing
radio stations (including pirates) satisfied their tastes in music, over 22%
of the respondees said no, indicating a large dissatisfaction factor with
the status quo.
Conversely, when asked if a radio station playing the breadth of jazz related music styles planned for Jazz FM would interest them, over 71% said that they would listen to such a station.
This result confirms the optimism of the promoters of the Jazz FM concept and reaffirms awareness that there is a definite gap in the Dublin market, one that can be bridged, as it has in countries all over the world, by a Jazz FM station.
SUPPORT FOR A Jazz FM SERVICE
The
Jazz FM promoters have been much encouraged by letters of support from
major and local advertisers and, in particular, from the advertising agency
community. (See Appendices).
We
also believe that we have strong goodwill from key media influencers and will
have the full support of the jazz and jazz related music community.
(c) Anticipated Performance Of Service
This
section should explain how the applicant group envisages the proposed local
service will become established and developed within the current radio market.
In
this regard, the following issues should be addressed:
i) The target audience for the proposed service;
Jazz FM offers a music mix with wide appeal across all demographic groups, irrespective of age, sex and class. We are not exclusive in our targeting of listeners. However, as with any station, clear trends in listening to Jazz radio stations throughout Europe have emerged, the most noticeable of which is that their audience tends to be predominantly upmarket.From our analysis of existing commercial stations in Dublin there is a clear gap in the market for a station with appeal to a young ABC1 audience. We anticipate that Jazz FM can capitalise on this opportunity, and although our business model operates on the basis of drawing revenue from a broad base of all adults, we believe that our trend towards upmarket listening is one of Jazz FM's key benefits in extending commercial radio listening in the region.Jazz FM is not explicitly targeted at any particular age group, as listeners may develop a love for this kind of music at any age. Our appeal is fairly broad. However, we are likely to attract a high proportion of our listeners from the ABC1 demographic.
In summary :
Primary Target Audience• Adults 20 44• Core listenership: 454,000Secondary Target Audience• Adults 45+• (All adults)
ii) The size and nature of the market which it is anticipated can be achieved
It is anticipated that Jazz FM will appeal primarily to the 20-44 audience. Research (by Catalyst Market Research) shows a willingness to listen, with an indication that 6% market share of this group can be achieved in Year 1. It is projected that this will grow to a 10% market share by year 3. When asked by the research company, Catalyst, would consumers listen to a station providing music such as that planned by Jazz FM, over 71% of Dubliners in the 20 44 age group sampled indicated that they would do so.
iii) Projections for listenership ratings over the first three years of the service
We project a daily listenership of 8-9% of the Dublin market within 12 months, growing to 16% approx in subsequent years. With the potential arrival of two new stations on air in the Dublin market during the first three years of any new operation, it is difficult to make any further audience predictions.Analysis of listenership within the market reveals that, on average, observed market share translates by a factor of 1.4 approximately into the daily listenership figure. Given that we expect Jazz FM to achieve a total daily listenership of between 8%-9%, this will represent 38,000 adults in Dublin aged 20-44 listening daily. This will grow to 64,000 by year 3.In addition to the performance amongst the core audience of 20-44 year olds Jazz FM will also pick up secondary listeners amongst both younger and older age groups. It is reasonable to anticipate daily listenership of 4% of 15-19's and 5% of over 45 year olds. This will increase the total number of listeners in Dublin as follows:
Year 1 65,000Year 2 - 86,500Year 3 108,000
iv) Advertising revenue potential for the first three years on air
The potential Year 1 advertising revenues for Jazz FM (see Addenda 6) are based on the following assumptions:
Average daily adult audience 65,000 (7% daily reach).
Station cost-per-000 pitched at a value for money 3.50 against competitive market rates of 2.88 for 98FM, 4.51 for Radio 1 & 6.54 for 2 FM.
Average 30 sec spot rate of 27.
40% sold in peaktime & 10% in offpeak.
60:40 sales ratio between advertising agencies & direct advertisers.
20% discount on spot rate.
In year 1, we anticipate a net sales revenue of £860,000, rising to £1.7million in Year 2 to £2.8 million in Year £ (see Addenda for full analysis). We have worked on the basis of 60% sales to advertising agencies and 40% to direct clients, with 20% commission/discount on sales.
Our 30sec spot and rate will start off at £27.30, yielding a projected, and competitive, cost per thousand of £3.50. We anticipate selling 40% of projected peak time spots in Year 1 plus 10% of offpeak spots with an average daily revenue of almost £3,000.
v) The expected impact of the proposed service on existing services, both in the short and medium term. This section should address impact in both listenership and revenue terms.
Research indicates that listenership share to Jazz FM will be won from 2 FM, Radio 1, existing pirate stations and, to a lesser degree, 98 FM. The introduction of this new service together with Lite FM, and Spin FM and Talk Radio when launched will dramatically alter the radio listening landscape as the audiences develop new repertoires. In overall terms it is anticipated that Radio 1 & 2 FM will lose both audience and advertising income. However, as previously observed, the total size of the radio advertising market has shown that it can grow to accommodate new entrants.