Red FM hikes ad rates by 15-20%; unveils focussed strategy for growth

Nisha Narayanan, COO, Red FM, has announced fresh advertising tariffs for new stations within the growing network along with the revision in airtime rates for existing frequencies. The annual review of advertising tariffs at Red FM has resulted in a rate hike of 15-20 per cent and is based on a careful strategy that is founded upon the growth of the brand, as well as, the spread of the network. 

While the incline is noticeable in metros, the moderate upward correction in small and medium cities is mostly an output of the network’s evolution, in addition to the proven mix of content and music. “Having said that, the ultimate goal to make radio a feasible and flexible medium of advertising has not fallen out of focus,” said Narayanan. 

While the fresh advertising tariffs are an indicator of improving preferences for radio in urban centres, such symptoms of positivity are being noticed across segments in the M&E industry. Overall, Narayanan feels that radio being a double-digit growth segment within M&E industry is not the only conducive factor that Red FM is banking upon. There are more organic and imminent markers; like new station launches, frequent inventory surges and increasing audience loyalties. These are the drivers that truly help Red FM’s clients to tune-in for consumer capture. 

After launching stations in Amritsar, Chandigarh, Surat and Patna, Red FM is readying to be transmitted in full strength to 56 cities by August 2017. 

As far as the content and revenue leadership strategy for FY17-18 is concerned, according to Narayanan, Red FM has set its eyes on two specific goals. Firstly, becoming a well-differentiated, formidable competitor to existing players in the market and secondly, strengthening its presence in newer cities with decisive speed.