Absolute moves into Virgin territory

Source: mad.co.uk | Author: Russell Parsons | Published: 04 September 2008 12:00

Russell Parsons, Deputy Editor, mad.co.ukChanging the name of commercial radio station is a difficult task at the best of times, the challenge multiplied at a time when advertising revenues are slowing and competition for listener attention has never been greater.

However, Absolute Radio, the rebranded Virgin Radio, is to do just this by the end of the autumn.

The rebrand was born out of necessity. The £53 million sale of Virgin Radio to TIML and Absolute Radio earlier this year meant that the new owners were left with a choice of re-licensing the Virgin Radio name at a significant cost, or coming up with a new one.

They chose the latter, and so Absolute Radio was born. The station’s chief operating officer explained that the new moniker embodies what the station will stand for: “resolute and unapologetic about our passion for music”.

As bold and simple as the station’s new name is, Absolute Radio has many hurdles to jump before establishing its self in the hearts and minds of listeners and to ensure it stands out from the commercial radio crowd.

The name, at present, means nothing to the average listener. The station’s controllers are promising considerable changes to its music output by increasing and expanding its playlists. Changes to the DJ line up have already been announced as has an intention to place an emphasis on personality jocks.

All of which will be necessary to provide some substance behind the Absolute Radio brand. Bernard Sumner, New Order’s guitarist and lead vocalist, whilst explaining the rationale behind choosing their new handle after the suicide of Ian Curtis forced them to consider alternatives to Joy Division, once said that after a while a group’s name becomes synonymous with its output, rendering the name irrelevant.

Sumner’s observation also rings true for a radio station. Not that Absolute has the luxury of time and will face the possibility of alienating loyal listeners who could be put off by the change in name.
    
The promised flurry of marketing activity will help establish the station and smooth the transition, as will the month-long period when both the Virgin and Absolute brands will be used in tandem.

As for advertsing revenues, a grace period may well be granted by advertisers and media agencies alike, but both will be quick to assess the impact of the station’s new direction come Rajar time. The station will need to deliver and quickly or the money will go elsewhere.

Despite these initial challenges, the new name and promised investment should reinvigorate what has been a flagging station mired in MOR-playlist hell and in desperate need of a kick-start.

Virgin’s audience had been faltering. Year on year reach for Total Virgin was down 5.3 per cent, according to the latest Rajars, and the station, under the Virgin name, was restricted in what other areas it could move into.

The Absolute hierarchy has already outlined plans to diversify by using the brand for other related activities including music subscriptions, downloads and ticketing. In the long-term, this kind of cross-promotion will enhance brand recognition and boost the radio station, which will be placed at the core of the offering.

Absolute faces the same challenges any new brand does, and will need to make good on its commitment to offering something different to the current proposition.
This week, RadioCentre revealed that advertising spend on radio fell by 10.2% year on year in the second quarter with national ad spend down 15.9%. The market Absolute is entering is far from buoyant.

However, with the boldness and innovation promised coupled with Dickens' claim that it was not afraid to challenge the “commercial radio status quo”, Absolute appear up for the challenge.

Such bullishness should be applauded.    




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