Good afternoon Everyone, we’re BKAJ Incorporated. I’m Krysten and these are my colleguesBritni, Angela, and Julia. Today we’ll be talking to you about a study we conducted for Clear Channel about iHeartRadio
We’ll begin with a brief overview of the company and competitor backgrounds, followed by a discussion of our research objectives, methodology, and finally our findings and recommendations followed by a brief Q&A session
Clear Channel is a media company comprised of three business segments: Broadcasting, outdoor advertising, and international outdoor advertising. Our focus in particular for this study was iHeartRadio which is through the broadcasting segment
IheartRadio is a website and app that delivers over 750 radio stations to you, this includes AM and FM radio. They supply you with live artist performances as well as things like traffic reports.
Aside from the strengths I just listed, some weaknesses include that their website is cluttered, the layout of the website including things like microsites, and the low level of awareness. IheartRadio can find opportunities in new artists looking to increase their own awareness since they offer that live performance aspect. Threats include smartphones with itunes integrated and the decline in traditional radio usage.
As a competitor to iheartradio, pandora has a much cleaner feel to their website. 99% of their employees have worked as musicians so they have experience in their industry. They create personalized stations in a unique way, by grouping musical qualities. They also have a much higher level of awareness
Grooveshark is another competitor for iheartradio. Grooveshark users can listen to and save their own playlists and embed them on websites, blogs, etc through the Grooveshark widget. Armed with all this knowledge, our group conducted our own study on iheartradio and people’s listening habits. Next, ____ will talk about our research objectives and findings.
Before diving into all of our research we looked back at the following research objectives
We met these objectives by the conducting primary research in the forms of one-on-one interviews, ethnographic interviews, tri-ads, di-ads and an email questionnaire
Clear Channel is a media company with three separate business segments:<br />Ration Broadcasting<br />America’s Outdoor Advertising<br />International Outdoor Advertising<br />Focus: iHeartRadio<br />Company Overview<br />
iHeartRadio<br />Delivers more that 750 radio stations to your smartphone<br />AM and FM stations<br />On-demand video content including iheartradio live artist performances and songs<br />Frequent updated traffic reports on demand for major cities<br />More than 10 million users have downloaded the iheartradio application<br />
Pandora<br />Clean, easy feel to website<br />99% of their employees have worked as musicians<br />Database of more than 600 thousand songs<br />Personalized stations are produced by grouping songs and artists that have many musical characteristics in common<br />Differs from competitors, who base stations on a combination of user listening habits<br />Has about 32 million registered users and has played 4.7 billion songs<br />
Grooveshark<br />Users have the ability to listen to single songs from the 7 million song catalog, save playlists, and embed both on other websites, blogs, and social media profiles through the GrooveShark widget<br />Allows artists and record labels to promote themselves with advertisements<br />All artist data is available to promoters<br />
Research Objectives<br />1.To reposition iheartradio and expand its product capabilities in order to beat Pandora in the Internet music/radio listening genre.<br />2. To define multiple target audience segmentations and develop new iheartradio offerings that appeal to these groups.<br />
Traditionalists<br />Music is part of the daily commute from one activity to the next<br />They crave simplicity and music that is relaxing and nostalgic<br />They stick to what they know and trust<br />
Traditionalist Demographics<br />Mostly women age 35+ both single and married with families<br />Working professionals<br />Disposable incomes<br />Consumers of traditional radio 5+ per week; seldom Pandora<br />Used to listening to traditional radio<br />Dislike complicated technology<br />Kids often dictate what music they listen to<br />“I listen to the radio on my way to and from work and from shuttling my kids from one activity to the next.”<br />It is a means of entertainment in between destinations.<br />“Music usually puts me in a good mood, sometimes even a nostalgic mood if I hear a song from my past.”<br />They are more concerned with experiences that music provokes.<br />Traditionalist Psychographics<br />
Multitaskers<br />Music is the background soundtrack to their lives, but not their main passion. <br />Always listen to music while doing other activities<br />Follow music trends and consider music an individual experience.<br />
Demographics<br />men and women age 18-22 with limited disposable income<br />currently attending a college/university and living on campus<br />own smartphones and/or laptops<br />Consumers of radio/streaming music 5+ per week<br />At home: Traditional radio<br />On campus: Pandora while studying (in the library, dorm room, or coffee shops), cooking dinner, exercising, cleaning, or when trying to sleep<br />“ I love Pandora because you don’t have to think about it at the end of every song. I don’t like making my own play lists.”<br />Don’t use Pandora to express their creativity but to be productive while studying. <br />“ I am not original enough to share my music or make song recommendations to other people”<br />Follow popular trends in music.<br />“ I hate commercials. I always change the station. They interrupt my music experience.”<br />Psychographics<br />
Music Trendsetters<br />Music for the Trendsetter is a passion <br />Always searching for the perfect tunes for any occasion <br />Share recommendations on blogs or by word of mouth<br />Some make careers out of their music passion<br />
Demographics<br />Students age 20-25 living off campus<br />Own smart phones and/or laptops<br />Consumers of Pandora 5+ per week, not much traditional radio<br />At home they listen to an iPod or CDs<br />“Listening to music is an important group experience. Enjoying similar music and artists means you and those who enjoy it as well are in the same phase of life, you have a common interest. Pandora helps spread this interest. If we like one artist and their expression of music Pandora helps us find other artists we might like as well,I am always open to hearing new expressions..”<br />Attempting to find new artists without the use of blogs.<br />“ I love finding new music and telling all my friends stuff like “you need to hear this new song its incredible” Sometimes when I leave Pandora on in my room while doing work, I come across the most amazing songs and I love writing about them on my blog afterward. <br />They use Pandora's variety of music choices to create trends and set them for others.<br />”Commercials ruin music, but if I can customize them to only hear commercials about upcoming albums or performances in certain cities it wouldn’t be that bad, it could actually benefit my music passion.” <br />Psychographics<br />
Findings<br />Positioning Statement<br />“To traditionalists, trendsetters, and multitaskers, iheartradio is the ultimate music experience, allowing you to engage with music in both traditional and nontraditional ways.”<br />Support:<br />100% commercial free radio stations<br />Discover and uncover new artists section<br />AM and FM radio offerings <br />Smartphone application<br />