A small storm with big implications is brewing inside ABC Radio as rumours spread that a pay-as-you-listen policy for online content may get approval from the ABC board. Those who oppose the policy think it could be a thin end of the wedge towards a commercial approach that will disenfranchise listeners, while those who favour it see the potential for new revenue sources without compromising the corporation’s on-air programming.
A staff submission on the subject is circulating within areas of the ABC, especially amongst Radio National staffers who are significant creators of content that could be suitable for podcasting. The submission, obtained by radioinfo, says:
“We understand that the ABC is considering a report from a group of senior executives from Radio, New Media, Corporate and Enterprises that canvasses options to sell on-line content at the ABC. This could have big implications for Radio National’s podcasting, audio on demand and on-line services.”
Both Radio National and Triple J have been overwhelmed by the massive take-up of podcasting from their listeners, which has been “a phenomenal success,” delivering on average 130,000 downloads of Radio National programs each week to listeners.
“Compare that to the 1 million listeners who join us each week on air, and we’ve witnessed an astounding growth in audiences of over 13%, just in one year. It’s been the best news Radio National’s had in years, and great news for the ABC,” says the submission.
Podcasting, which allows time-shifting of radio programs as easily as video recorders do for tv; plus other recent technologically driven changes such as digital radio, mp3 downloads and audio streaming are forcing many radio stations to ask themselves are they making ‘radio’ or are they making ‘audio content’ as they formulate their future business plans. Clearly the ABC is asking the same question.
The submission gives credit to the staff for ABC Radio’s push into podcasting and is critical of what it sees as ABC Management’s desire to now sell that content:
“Radio National took up podcasting as soon as it came on the scene. The lead came from the floor, not from management. It was broadcasting staff – journalists, sound engineers, producers and presenters – who identified the opportunity and pushed for the trial in early 2005. The trial was an outstanding success and was quickly expanded to meet the rapidly growing demand from our listeners. While ABC Management are still calling it a ‘Listener Trial’ and a ‘pilot project,’ podcasting almost immediately moved beyond that to a service that increasing numbers of people expect and use on a regular basis.”
Podcasting has given a new lease of life to the Radio National style of block programming, demonstrating that more people than expected do, and will, listen to RN programs if they are delivered at a suitable time, on a suitable medium for personal consumption when listeners choose to listen.
Some ABC Staff see the marketing approach to the current Boyer Lectures as an undesirable marketing model that might be spread to all programs. The “outrageous situation” of this year’s Boyer Lectures, detailed in the discussion paper, casts doubt on the future of free access to RN podcasts and other online services.
The ABC Boyer Lectures webpage explains how to buy the program:
“Each lecture can be purchased as a download for AU$5.95. Click on the icons below to purchase episodes as they become available after each broadcast. A compilation of all 6 lectures will be also available to purchase as a downloadable album in late December.
Commenting on the practice of selling downloads of the series, the discussion paper says:
“Yes, it’s right there, just after the one paragraph series synopsis (let’s not muck around!) [you can] view details on how to purchase your copy of the 2005 Boyer Lectures on audio CD, book or downloadable MP3 audio. But where are the free podcast/mp3 download versions? With podcasting so popular with our audience, with pre-broadcast interest in the Boyers via listener enquires running strongly, why isn’t one of the ABC’s flagship programs being made available to our listeners as a free podcast/mp3 download?”
But the Boyer Lectures have been available for purchase on CDs through the ABC Shop for years and what’s the difference in selling an MP3 download version? The staff paper says the difference is “timing and manner in which this year’s Boyer Lectures are being sold.”
“Many RN programs are available as MP3 download or Podcasts. 95% of all programs broadcast on RN are available as audio on demand for 4 weeks after broadcast… But not with this year’s Boyer Lectures or the Big Ideas programs that they feature in.
“This year, each Big Idea program featuring the Boyer Lectures is only available for seven days as audio on demand, then access to the free Real Media and Windows Media options is removed. The end of this 7 day period neatly coincides with the beginning of the pay-for-download MP3 availability via the ABC Shop at a site hosted by a company called DestraMusic.com.
“So not only are there no free Podcasts /MP3s but the usual access to the audio on demand services has been prematurely shutdown. It’s a blatant display of ‘funnelling,’ where the free service is removed and listeners either miss out, or are forced into the user pays option.”
The discussion paper says this situation “should cease immediately,” and compares the ABC’s proposed new practice with policies at the BBC and CBC, which do not sell their online content in this way.
Behind the conflicting viewpoints on this issue is the fundamental question of whether Podcasting is a new way of delivering programs or a new source of revenue. Behind that is a question of cost. Unlike radio broadcasting, where the transmission cost is fixed no matter how many people listen, the cost to the broadcasting organisation of internet hosting, downloads and podcasts increases as the number of listeners increases.
Whether you define online audio as broadcasting is a crucial question in determining an approach to this issue. If it is broadcasting, the ABC ethos should dictate that it stays free and non-commercial, but if it is simply another method of delivering ABC products through the corporation’s Enterprises Division then it is not much different from what happens in many other situations.
Another element in thinking about the issue is the use of podcasting to widen the RN audience by driving listeners back to programming on the free to air services as well as through the internet.
There are also “fundamental issues of access and equity,” according to the discussion paper, in regards to lower income groups if a user-pays system replaces or reduces the availability of free online RN programs.
The paper does not address the budget issue that regularly confronts ABC management, that Radio National is one of the most costly networks to maintain because of its heavy reliance on well researched and produced content that requires more staff per on-air hour to make than the other ABC Radio network. Any moves to generate income from sale of RN programs could assist ABC managers in their search for extra funds to maintain and/or increase quality on the Radio National network.
ABC Radio is not allowed to produce sponsored content to offset costs, as some other podcasters like the Australian Podcast Network or commercial networks like Austereo are doing, but it is allowed in its charter to sell its programs through its Enterprise Division.
“Radio National staff are concerned that any bumbling effort to commercialise RN Podcasting will kill the goose that’s laid the golden egg,” says the paper.
“Think of the public backlash. Think of losing that audience. Think of losing that opportunity for learning how to play in this new and exciting landscape. Instead of being known around town as the innovators, we’ll be the dunderheads. The mob who shot themselves in the foot. The best strategy is for the ABC and RN to continue to build and learn from Podcasting.”
Staffers are urging more research into the new delivery methods before any decisions are made.