RESEARCH SAYS: HAVING FREE MUSIC IS BETTER THAN PAYING FOR MUSIC

This week Kelly Music Research (KMR) published the results of a survey it did with music consumers and whether they will pay for streaming services.  The answer that came back: Probably not!

I have mixed feelings about the KMR study but there are some things of interest to noncom folks. KMR’s methodology is not fully explained. I don’t know much about KMR but I do know their primary business is music testing  for commercial stations.  They do online, callout and auditorium music testing, typically playing a portion of a song and getting the respondent’s opinions. This kind of research is how big commercial stations decide what to play, what not to play and what makes people tune away.

I am assuming that KMR tacked this survey onto regular music tests, so the in-tab is not a random sample.  Respondents were between the ages of 17 and 59.  Since KMR’s clients are commercial radio operators, noncom listeners were not surveyed. Given this caveat, the survey found that only a small percentage of respondents would ever become a paying subscriber of a “streaming radio” service.

The KMR survey also does not ask about the value of curation and other “music discovery” benefits that many noncom music stations offer.

Below are summary charts and verbatim comments from participants. Here a factoids from the KMR research that I found interesting.

VERBATIM COMMENTS ARE IN RED

FREE MUSIC IS WHAT PEOPLE WANT

Fewer than 8% of survey respondents reported using the payment options of Pandora, Spotify or SoundCloud. Lots of people use these services but fewer than 12% expressed a willingness to pay for it. 

Female, age 36
If i was going to pay for music, i would probably just buy songs/albums from itunes.

Male, age 48
At one time I was willing to pay for music services & did so for about a year & found it to be a waste. I had an additional 50+ stations & still often found nothing I wanted to listen to.

If free music from these services were no longer available, few said they would consider paying. Most respondents would move on to another company who will give them what they want…but only if it is free.

MUSIC LISTENERS STILL LISTEN TO RADIO

 

Respondents say they are still listening to FM or AM radio but many listen to broadcast radio only in the car. Only 1.6% of the sample says they never listen to terrestrial radio. Among the youngest respondents  (17-34), about 50% listen to radio only  when they are in the car. 

Female, age 55
I will never pay to listen to music. I also like the DJ's. Why put them out of jobs?  

 KMR asked respondents if they would pay to hear FM and AM radio. No mention is made of noncommercial, listener-supported stations. Only 9.7% said they would pay to listen to their favorite AM/FM station.  Compare this to 12% who say they’d pay for their favorite stream choice.  

Male, age 25
Free radio still is important.

TAKEAWAYS FOR NONCOMMERCIAL RADIO

Female, age 52
I am willing to pay to hear music I like if it is WITHOUT commercials

Sell the benefits of noncommercial radio to listeners because noncoms have advantages over commercial stations. Most ommercial radio broadcasters and music testing folks seem to disregard the value of “trusted guides” as part of listening experience. The fact that most people expect music to be absolutely free to them is not “new” news. Napster, etc. has changed the entire dynamic.  So noncom should promote the unique advantages they offer, particularly the “human touch.”