Alexa, Are You Good Or Bad For Radio?

Complete article published by Fred Jacob on July 26: https://jacobsmedia.com/alexa-are-you-good-or-bad-for-radio/

The growth of smart speakers in United States is fast. 18% of Americans own one of these devices (Smart Audio Report, Edison Research and NPR). The Techsurvey, conducted by Jacobs Media Strategies among more than 64000 broadcast radio listeners, indicates a penetration of 21% for smart speakers.

Both studies, Techsurvey and Smart Audio Report, confirm the disapearence of radios at home at an alarming rate, specially among Millenials. Only two thirds of them use a radio where they live.

The article “Smart Speaker Owners Listen to More Audio (But Not Necessarily Radio)”, published on Radio World, says 40% of First Adopters and 45% of Early Mainstream users are replacing radio brodcast listening time with audio consumption on smart speakers (not necessarily radio).

Techsurvey results, however, indicates that people already predisposed to radio are spending more time listening to their favourite stations. 19% of smart speakers owners declare to listen to radio longer. 7% say radio listening time has decreased. That’s a net gain of 12%.

Also the study conducted by Edison and NPR warns that an increase of audio consumption doesn’t have to mean an increase in radio listening. Many users are listening to other audio sources.

The NPR/Edison study says Podcast listening time may not benefit from the smart speakers proliferation either. The smart speaker panel at Podcast Movement was more optimistic. This panel discussed about the smart speaker opportunity for radio, streaming, and podcasting. They pointed out that the trend is more about voice technology embedded into multiple gadgets, not only smart speakers. Panelists agreed new listeners were being added thanks to smart speakers, using our audio from new places.

But Alexa is not that smart, they said. Consumers need to learn a new language and radio needs to do more than mail in their skills. Skill development requires research, strategy, investment, marketing, and time.

Some of the participants in the panel reminded that we are still in the sandbox when it comes to smart speakers and voice technology. As radio learned with mobile app development, making a meaningful impact is not cheap or simple, and “best practices” don’t exist.