The media crisis, which is hitting television and newspapers hard, is no longer sparing commercial radio. Indeed, since it is mainly listened to in the car, the emergence of teleworking has inevitably resulted in a drop in listeners, which has accelerated the exodus of advertisers towards the digital giants.
The sector’s revenues had already started to decline before the pandemic, but the health crisis has clearly accelerated this downward trend, if figures from the Canadian Radio-television and Telecommunications Commission (CRTC) are to be believed. Revenues for the country’s private radio stations fell 24% between 2019 and 2022, according to the federal agency.
“The media industry is in crisis, and that is why we are asking the CRTC to ease the obligations of traditional broadcasters today,” reiterated by email Bell Media, owner of, among others, the Energy and Red in Quebec. A call for deregulation that Mirko Bibic, the CEO of Bell Canada, reiterated on Monday during a speech to the Canadian Circle of Montreal.
Last June, Bell Media announced the closure of six radio stations and the elimination of 1,300 jobs, mainly in English Canada. The company, which is the main player in the country’s broadcasting sector, declined our interview request. Last week, during the CRTC hearings, its leaders spoke of “a loss of profitability” of its radio stations of 85% since the pandemic.
“It’s a really big number, 85%. We knew that revenues were down, but the 85% loss of profitability really surprised us. Afterwards, I know that Bell still has AM stations in English Canada. Maybe that explains why the drop is so significant,” says Sylvain Chamberland, president of the Association of French-speaking regional radios.
The post-pandemic reality
Mr. Chamberland is also the head of Arsenal Media, a group which brings together 18 small stations in the region. Most of them have seen their ratings increase in recent years, he points out. “People in the regions remain attached to their radio station. Often, it is the only source of local information that remains,” adds the man who recognizes, however, that income has fallen slightly or, at best, stagnated. “That means two things. First: it’s fortunate that our ratings haven’t dropped. Second: the reality in the regions and in large centers is very different,” he emphasizes.
Because the total audience has indeed declined for 10 years across the country – and even more sharply after the pandemic. In 2013, Canadians listened to the radio an average of 18.5 hours per week, according to CRTC figures. In fall 2022, it was 10.6 hours.
The reason, of course, is teleworking, which has reduced the number of hours spent in the car or on public transport, which remain favorite places for listening to the radio. But also the advent of podcasting and streaming services. As reported The duty in February 2022, music radio stations particularly suffered from the arrival of Spotify, Apple Music and company; talk radio fared better.
There is still a future for radio. I don’t think what’s currently happening on TV will happen on the radio. But the audio market is changing. And you have to make sure you do the right thing in a timely manner.
“There is still a future for radio. I don’t think that what is currently happening on TV will happen on the radio,” said Sylvain Chamberland, alluding to recent cutbacks at Groupe TVA. “But the audio market is changing. And you have to make sure you do the right thing in a timely manner. »
Government support requested
The president of the Association of Francophone Regional Radios also pleaded last week before the CRTC for the creation of a tax credit which would support the salaries of journalists in regional stations.
The CRTC hearings continue for the next two weeks. The federal body is looking into the development of a new regulatory framework taking into account large digital platforms. The leaders of Cogeco Media, the other big player in the radio sector in Quebec, are expected on Tuesday.
Cogeco Media also did not respond to our interview requests. The revenues of the company — which owns, among others, 98.5, CKOI and Rythme FM — decreased by 14% between 2019 and 2022, according to the CRTC.