HD Radio Numbers & Revenue Reach New High

RADIO ONLINE | Wednesday, September 10, 2014

iBiquity Digital, the developer of HD Radio, has announced continued growth in HD Radio outlets, listening and broadcast revenue, and shared new research showing broad consumer satisfaction with HD Radio broadcasts. The last five years have shown solid growth for stations upgrading to HD Radio broadcasts and launching HD2, HD3 and HD4 channels. Over 2,250 stations have upgraded to HD Radio and close to 2,100 currently are on the air.

There are more than 1,500 HD2, HD3, and HD4 channels on air, giving consumers a choice of new, diverse programming. In total, there are 3,575 digital channels in the U.S. There are nearly 23 million HD Radio receivers in use with close to 20 million in HD Radio equipped vehicles, factory installed and aftermarket. A vehicle with an HD Radio receiver is sold every 4 seconds, some 20,000 vehicles per day.

Over 650 stations are now supporting HD Radio Artist Experience on over 1,100 digital broadcasts. This feature enables stations to display synchronized images such as artist images, station logos and advertiser logos with the on-air programming. Artist Experience is now widely available in new vehicles and 15 automakers including, Audi, BMW, Chevrolet, GMC, Honda, Hyundai, Kia, Lexus, Mazda, Mercedes, Subaru, Tesla, Toyota, and VW support the feature with more on the way.

iBiquity Digital also says that radio stations are seeing significant returns on their HD Radio investments. Stations and program creators are using HD2 and HD3 channels to deliver new services such as foreign-language broadcasts. One example, DaNu Radio, a Russian-language program service, reaches a substantial New York City audience via their lease of Clear Channel's WWPR-HD2. This lease generates new revenue for the station and has given DaNu a digital platform to reach their audience and service their advertisers.

In Denver, KYGO-HD2 has been programming Comedy and rebroadcasting their digital signal on an analog translator as well, enabling Lincoln Financial to monetize their strong rating performance while building their digital future.

In Decatur, IL, Cromwell Broadcasting's WYDS-HD2 garners a higher share then its main channel by employing targeted programming as well as an analog translator simulcast. By delivering a format missing in the market, they used their HD2 channel to corner the market for the format while delivering audience for the advertiser and revenue for the station.

Research recently completed by the RDA Group, an automotive consumer research firm, shows growing HD Radio Awareness, satisfaction and advocacy. A survey of 1,022 new car buyers, including 500 HD Radio users revealed:

• HD Radio Awareness is Growing: 71% of consumer are aware of HD Radio Technology, up from 60% in 2012.
• HD Radio Satisfaction is High Among Users: 91% of HD Radio users are 'completely' or 'very' satisfied.
• There is Broad Satisfaction with HD Radio Services: 92% of users are 'completely' or 'very' satisfied with the digital audio quality, 89% with program info (song title, artist and album display), 86% with the service being free, 82% with HD2, HD3, and HD4 channels, 74% with artist experience (album art and station logos), and 72% with real time traffic updates. All of these numbers represent increases over the 2012 data.
• There is Strong Advocacy among HD Radio Users: 97% of HD Radio Technology users would 'definitely' or 'probably' recommend HD Radio technology to their friends and relatives.
• Consumers Want HD Radio Receivers in their Cars: 91% of all consumers 'definitely' or 'probably' want an HD Radio receiver in their next vehicle; 80% expect it to be a standard feature.