Digital media consumption has reached a tipping point; more average consumers are discovering all sorts of cool ways to get their media fix. And with radio’s final bastion – the car – quickly being penetrated by Internet radio and devices that make it easy to consume, traditional radio could have an uphill battle in 2011.
Bridge Ratings will soon publish its revenue projections for 2011 and the forecast is not as rosy as 2010.
2009 revenue was down 18%.
2010 traditional radio revenue will be up 4%.
2011 revenue will be down 2%.
I just bought a new car stereo a few months ago. I can hook up an iPod or iPhone no problem. Or any kind of USB memory device with audio on it. HD Radio was an expensive add-on option. Satellite radio was as well (not to mention the subscription fee).
So far, wireless data plans for cars or other non-phone mobile use still relatively rare, expensive and don’t really travel all that well due to variable coverage.
But give it 5 years. I’ll buy a new media and data center for the car by then, I’m sure of it.