Originally Posted by dpb:
“I presume they are getting the ads on talkRADIO and probably Virgin in a job lot with talkSPORT. I wouldn't be surprised if that continues long term as well.”
Yes, given that they all have the same advertisers that would make sense. However, is there a choice of advertising on talkSPORT only? If the deal at the moment is you get talkRADIO and Virgin for free then can you really tell how much revenue is generated by each station?
The Wireless Group does say in their Annual Report (April 2016) that they had achieved 50% of their forecast 2016 revenue for the D2 stations.
Quote:
“The launch and establishment of our three new recently launched
national radio stations on D2 is a key priority for 2016. talkSPORT 2 and
talkRADIO will leverage talkSPORT’s brand heritage while Virgin Radio
will have instant brand recognition. All three stations will be supported
by existing infrastructure and will benefit from cross promotion, thereby
helping to keep costs as low as possible. Our low cost model for these
digital stations envisages breakeven being achieved at modest audience
delivery levels. Operating losses at the three stations are anticipated to
be circa £3.6m in 2016, moving to a small loss in 2017 and growing
profitably beyond this. 50% of our forecast 2016 revenue for the D2
stations has already been achieved.”