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Radio Broadcasting

Radio Broadcasting

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Executive summary

Revenue for the Radio Broadcasting industry has grown staticky over the five years to 2022, primarily due to intense external competition from mobile media formats. Services such as Spotify, podcasting applications and mobile video consumption have been major sources of competition for radio broadcasters over the past five years as consumers look for more control and more multimedia impact in their entertainment. (Industry definitions require curation of live content by operators.) However, despite rising competition from alternative media, radio maintains a strong weekly reach of more than 82.5% of United States adults and has continued to be a valued channel to bring in advertising dollars. Over the five years to 2022, industry revenue is expected to rise at an annualized rate of 0.1% to $ 23.6 billion, with an anticipated 1.5% rise in 2022 as the industry continues to recover from COVID-19 (coronavirus) lows.
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Each report includes:

industry revenue;

industry profit;

industry margin;

industry employment;

industry major players;

industry key external drivers;

industry product & structure segmentation;

industry key trends;

industry Life Cycle;

industry Geographic Breakdown;

industry Key Success Factors;

industry Key statistics for previous years;

forecast of industry Key statistics for the next 5 years;

Reference Wordlist

BARRIERS TO ENTRY
High barriers to entry mean that new companies struggle to enter an industry, while low barriers mean it is easy for new companies to enter an industry.

CAPITAL INTENSITY
Compares the amount of money spent on capital (plant, machinery and equipment) with that spent on labor. M-Ysland LLC uses the ratio of depreciation to wages as a proxy for capital intensity. High capital intensity is more than $ 0.333 of capital to $ 1 of labor; medium is $0.125 to $ 0.333 of capital to $ 1 of labor; low is less than $ 0.125 of capital for every $ 1 of labor.

CONSTANT PRICES
The dollar figures in the Key Statistics table, including forecasts, are adjusted for inflation using the current year (i.e. year published) as the base year. This removes the impact of changes in the purchasing power of the dollar, leaving only the "real" growth or decline in industry metrics. The inflation adjustments in M-Ysland LLC`s reports are made using the US Bureau of Economic Analysis’ implicit GDP price deflator.

DOMESTIC DEMAND
Spending on industry goods and services within the United States, regardless of their country of origin. It is derived by adding imports to industry revenue, and then subtracting exports.

EMPLOYMENT
The number of permanent, part-time, temporary and seasonal employees, working proprietors, partners, managers and executives within the industry.

Colloquial Terminology

DIGITAL RADIO
Digital radio broadcasts that require a digital receiver.

PAY-RADIO
Radio broadcasts that may only be accessed after payment of a subscription fee.

SATELLITE RADIO
A service that enables radio station operators to broadcast the same program via satellite to stations located over vast geographic areas.

WRITE-DOWN
The act of deliberately reducing the value of an asset in order to reflect its current market value.

Details

Satellite radio has been key to the industry's relative stability. This segment is dominated by Sirius XM Radio Inc. (Sirius XM), which has expanded its market share over the past five years. Satellite radio benefits from a subscription model, which insulates it from the whims of advertising budgets. Unlike terrestrial radio stations, it can provide nearly unlimited channels tailored to varying consumer tastes, range to reach distant subscribers and a separation from government radio regulations. However, the investment required for a radio satellite network is necessarily extreme. The growth of satellite has kept profit very high. However, as leading satellite player Sirius XM's 2020 acquisition of the internet radio station Pandora indicates, future audio sector growth will likely be focused within streaming rather than traditional broadcast programming.

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