The benefits of choice
Posted on Thursday, December 21st, 2006 at 10:36pm. #
In a post to his blog, Mark Ramsey warns about the dangers of choice.
Words of warning for those who think a zillion channels of anything - satellite, hd, or Internet radio stations - will give more people more of what they want and make them happier as a result.
Too much choice is a turn-off.
Read this piece from Australian TV
The Australian TV story talks about making purchases - and appears to claim that less people buy jam if there is more choice of jams to buy in the first place. I think it’s wholly irrelevant when you look at the media choices we make.
Contrary to popular opinion, satellite radio (in the US) or DAB Digital Radio (in the UK) does not succeed because it offers a gazillion extra channels. In London, my FM dial offers me around 15 channels, while my DAB Digital Radio offers me around 50. I listened to around four or five channels when I had an FM radio, and I listen to around four or five channels now I’ve a DAB Digital Radio. The DRDB’s research, from memory, doesn’t show that people with DAB listen to many more radio stations (although does show that they do listen longer than an average radio owner).
The point isn’t that I’ve three times the channels to choose from (I have), but that I now have three times the chance of finding a channel I like. That channel might be one also available on FM, but might also be one new to digital. For me, I listen more to BBC Radio Five Live (in analogue it’s on scratchy medium-wave), and LBC (in analogue it’s on an FM signal particularly badly affected by pirates), as well as the BBC World Service, a new-to-digital channel (in the UK, at least).
As radio businesses, we need to appreciate that it’s not just other radio stations that can steal our audience away: it’s everything from Pandora and last.fm, to iTunes and in-car CD auto-changers; and shortly, mobile TV. I’m a long-time reader of Mark’s insightful blog; but the benefits of adding more choice is clear - it allows radio businesses to retain current listeners and attract more listeners, even if they listen to one of your other digital-only services. (You *are* selling these as a network sell, aren’t you?)
Mark’s regularly posting against HD Radio; I’m not convinced that the technology is right, but the fact that it offers more choice is a benefit, not a drawback.
Incidentally, my favourite jam is Bonne Maman, but if that choice isn’t available, I’ll happily cope with Robertsons. If neither of these choices are available and I can only choose from the crappy supermarket brand, I’ll pass, thanks. I’m clearly in the minority in terms of jam buying, at least in Australia.




