Events | 2010.02.02
Radio executives plan analogue 'scrappage scheme'
Part-exchange offer for estimated 100m analogue radios still in circulation aims to stem rebellion at switch-off plans
The radio industry is to copy the government\'s car scrappage scheme as it tries to persuade listeners to go digital.
The car scheme, introduced by Alistair Darling, allows drivers to collect up to £2,000 if they trade in their old vehicle for a less polluting one. Its radio equivalent could involve a 20% discount on a new digital set if you bring in one of the 100 million or so analogue ones estimated to still be in circulation.
Industry executives hope that the idea will quash a potential rebellion among FM radio listeners as the deadline for switching off the analogue radio signal approaches in a few years\' time. They also hope that family members will pick up sets belonging to older relatives and hand them in.
The government has set a date of 2015 for turning off the analogue signal, although that is regarded as an aspiration rather than a concrete policy objective and it is a target that few in the radio industry expect it to meet.
A spokeswoman for Digital Radio UK, the organisation set up to drive switchover, said of the scrappage scheme: "It is something we are looking at we want to do." Its members include the BBC, commercial radio stations and Arqiva, the company that owns the digital radio network and licences frequency to radio stations.
There is confusion amongst many older listeners about the need to purchase new sets and the industry fears a potential backlash from consumers angry about the end of analogue radio.
The former Conservative minister Lord Fowler, who chairs the Lords Communications Committee, told peers last week that it was "quite a sensitive issue" with the public.
"The person who has actually got three radios which have suddenly become redundant, it is going to be quite an issue" he said.
Digital Radio UK has already held exploratory talks with leading retailers, including Currys owner DSG International, and leading manufacturers.
"The idea is that stores will accept analogue sets in part-exchange for new digital models, which will be far cheaper by the time the signal is switched off," said a senior radio industry source.
One idea being touted by senior industry executives involves sending a shipment of outmoded analogue radios to an African country, where they are one of the main sources of communication and the BBC World Service is popular.
The event would generate huge publicity and could form the centrepiece of a PR campaign in the run up to switchover, when the public will be persuaded to dump their old sets.
Although the process of switching off the analogue signal will not begin until digital stations make up 50% of all radio listening, the industry is fearful of a middle class revolt against the plan.
Concerns have also been raised about the cost of disposing of millions of analogue sets.
There are thought to be more than 100m analogue radios in the country, with around 50m in regular use. Many households own more than one.
There are also plans being drawn up for huge recycling bins to be placed in city centres around the country, where consumers can dump their unwanted analogue sets.
Currently, just over 20% of all radio listening is via digital. The government target is for digital listening to reach 50% of the total before the two-year switchover process can begin.
Sales of digital radios were disappointing when they were first launched at the start of the century, although they have picked up recently as the technology has improved and prices have fallen.
Around 500,000 digital radio sets were sold over Christmas , taking the total number of sets in the UK to 10.5m, up from 8.5m at the end of 2009. They can now be bought for under £50.
Critics say its popularity would grow if there were more digital radio stations, pointing out that the vast majority can also be listened to on analogue.
Freeview, the free digital TV service backed by the BBC, has helped to hasten the migration from analogue to digital TV – partly because it gives viewers access to dozens of digital TV channels they would not otherwise be able to receive.
The BBC, which dominates UK radio with a 50% audience share, is key to the success of the project. The corporation has launched a portfolio of digital stations, including Radio 5 Live Sports Extra and 6Music.
But digital radio was dealt a huge blow in 2008, when Channel 4 abandoned plans to launch its own digital network in partnership with other commercial broadcasters.
The Digital Radio UK Spokeswoman said: "Digital radio UK is working with the radio industry on a number of initiatives to drive digital radio take-up and encourage the responsible recycling of analogue sets. Future details will be available as the projects progress."
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