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ftm Radio Page - June 4, 2010

Costs revealed in Belgian radio change-over
“It’s a mystery…”

In 2008 Belgian Flemish public broadcaster VRT (Vlaamse Radio- en Televisieomroep) decided long suffering hit music channel Radio Donna was beyond saving. Early in January 2009 Radio Donna disappeared, MNM rising from the ashes.

While commercial competitors cut into Radio Donna’s ratings, notably Q-music and 4FM, MNM hasn’t exactly been a runaway hit with young people. MNM’s market shares are about 25% lower than Radio Donna.

OK, so we all make mistakes. Radio Donna was, at the very least, a legacy brand name. Making the change wasn’t cheap. And the VRT didn’t want to talk about the cost. Indeed, there was the appearance of secrecy.

All of that came undone as the State Auditors Office handed over the accounts from the transition phase to Parliamentary media specialist Carl Decaluwé. His report, widely quoted in the Belgian media (June 1), found that the change-over from Radio Donna to MNM cost €365,000.

In the paper-trail were 43 “brainstorming sessions” costing a total of €30,000. And, too, there was €11,000 for travel to the US.

“Perhaps these are plausible costs in the sector,” concluded Mr. Decaluwé. “It’s a mystery why broadcasting is so difficult to do.”

Radio Donna was originally launched in 1992. (JMH)

Russian broadcasters shuffle management
Post-Murdoch shift

Russian broadcaster News Media Radio Group, once owned by News Corporation in various partnerships, is undergoing a bit more change. Gone is Mikhail Zotov, who ran the group of three stations. Vitaly Bogdanov, who has other media holdings in addition to a seat in the Russian Senate, bought Nashe Radio Best FM and Ultra from News Corporation and the estate of Badri Patarkatishvili in April.

Zotov, now Development Director at Russian Media Group (RMG), seems to have taken several top NMRG personnel with him, reports adindex.ru (June 2). RMG owns Russian Radio, DFM, Radio Maximum, Radio Hit, Radio Monte Carlo and others. The company is majority controlled by senior management at Lukoil. (See more on media in Russia here)

Radio Maximum and, to a lesser extent, Radio Monte Carlo are well-known and now aging brands in the Moscow radio market. Both have lost market share and ranking. Radio Ultra, launched by Zotov and his crew, took more than a few points from Radio Maximum over the last few years. (JMH)

Government grants €1 million for non-commercial broadcasters
Difficult economic conditions

If commercial and public broadcasters think the last couple of years have been stressful, the non-commercial community broadcast sector has been devastated. The Austrian government has come to the aid of 16 non-commercial broadcasters, 14 radio and 2 TV stations, with €1 million to be divided up between them.

The non-commercial radio stations received between €80,000 and €100,000 for operations in 2010. In addition The Austrian Federation of Free Radios (Verband Freier Radios Österreich) was awarded €20,000 for training programs.

“I am pleased that this new pillar in Austrian media policy can support (broadcasters) in difficult economic circumstances,” said State Secretary for Media Josef Ostermayer in a statement (May 31).

 

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