At Radioday in September, SRG marketer Publisuisse and the Swiss Radio Pool (SRP) announced that they wanted to reposition their joint company Mediasense. Specifically, the following key points were planned: Publisuisse will immediately cede its majority stake in Mediasense to the radios and "substantially" reduce its shareholding by the end of 2008; it will also relinquish the chairmanship of the board of directors. Mediasense will also withdraw from active radio marketing by the end of the year and will in future concentrate primarily on generic marketing, while Publisuisse's Publiplan online booking tool will be used as an industry instrument. The new model also provides for the SRP to be opened up to all radio stations (previously it was reserved for 15 selected stations), and Mediasense's shareholder base will now also be open to all radio stations.
But since Radioday, Mediasense has gone quiet. Although time is pressing. After all, if a new market regulation is actually to be introduced in 2009, the details should now be finalized. However, neither Publisuisse nor the SRP can provide any concrete information on the current state of affairs. "We are working on it, the matter is already being finalized," says Andreas Meili, who sits on the Mediasense Board of Directors for SRP-Radios. Because many partners are involved, the negotiations are taking a little longer. Communication will take place when everything is finalized. "We are confident that this will be before the end of the year," he says.
The industry therefore assumes that any reorganization will be delayed by six to twelve months. One thing is clear: the radios outside the SRP do not even know what a stake in Mediasense would cost them. Some claim to have heard that a radio station should invest in Mediasense with at least one share at CHF 2,500 to 5,000 each. Another broadcaster has heard that a share will cost just one franc, but that the new radio stations should help with loans to bridge Mediasense's losses to date. But that would go down badly. "I'm not going to help restructure a company in which I haven't had a stake so far," says top boss Günter Heuberger on behalf of many others.
Missed opportunity for broad informationThe unclear information situation is no coincidence: a survey of 17 out of 23 non-SRP members shows that Mediasense did hold an information event on the new model, but apparently did not invite all radio stations, only informed some by telephone and never contacted third parties at all. A missed opportunity, as most stations would welcome a reorganization of the radio market. "We are open to anything that improves the current tense situation," says Sunshine Managing Director Marco Meier. "We would be very interested in a solution," says Daniel Ruch, Managing Director of Neo1 (formerly Radio Emme).
But the skepticism is huge. "The new Mediasense model will only work if the agents are happy with it," says Jérôme Marchal, Director of Média-Régie, which markets Radios Rouge, Lac and Plus. And Alfons Spirig from Radio Central is also of the opinion that nothing works without intermediaries. "We are dependent on them because they bring us the money. That's why they set the pace." Mediasense must therefore first come to terms with the intermediaries. But that won't be easy. "As long as there is a requirement that all advertising orders must be booked via a tool and a central office, the intermediaries cannot benefit from the new model at all," he says. On the contrary: every additional agency between them and the radios also wants something from the agency commission, which reduces the commission for the agents. "There is simply no added value for them," says Spirig.
Spirig's analysis is also shared by others. However, some dare to point out that only one intermediary currently has something to lose: IP Multimedia, which currently brings non-SRP radios 50 to 70 percent of national advertising sales (see column on the left) and is therefore in a very strong position. "A common booking tool for everyone would be good, but if the IP says no, it will be complicated," says Pierre Steulet, head of Radios Jura Bernois, Fréquence Jura and RTN. "Above all, the IP has to go along with it," says Karl Ehrler, co-director of Radio Fribourg.
Martin Muerner, Head of Broadcasting at Radio BeO, is therefore arguing for "a resetting to the situation in 2007", when the SRG subsidiary Publisuisse was not yet involved in the radio market. In concrete terms: Publisuisse should withdraw completely from Mediasense as of 2009 and leave the company to the radios. These should then rent Publiplan, but operate it separately from Publisuisse so that the SRG subsidiary cannot view any data. "We should seize the opportunity and once again discuss the basic ideas of marketing as an entire radio scene," says Muerner.
Markus Knöpfli
Quite a good year for radio
23 FM radio stations do not belong to the Swiss Radio Pool (SRP). Of these stations, nine stated that their advertising revenue this year was the same or better than in 2007. Three stations reported slightly lower revenue than last year, while two complained of a significantly worse year. Almost all stations generate at least half of their national advertising revenue from IP Multimedia, some even 65%. Only in two cases is the IP share below 50 percent. In the ranking of intermediaries, Radiotele Publicitas is a distant second, but only just, as its place is often contested by Cover Media, Spot Promotions or RadioEmotion. Mediasense plays a subordinate role for all non-SRP radio stations. (mk)
New sounds: Radios are to become the majority at Mediasense.
New bite: Mediasense will withdraw from active radio marketing by the end of the year.
and concentrate on generic marketing.