Digital Radio In The UK Set For Boom Time By 2008
Nearly a third of UK homes will have a DAB digital radio in the next four years, as consumers discover the benefits of additional stations, as well as high quality and interference free sound, says the Digital Radio Development Bureau (DRDB).
In total, DAB radio sets are expected to grow by 1200% by 2008, taking today’s current total of individual units from one million to 13 million.
The popularity of DAB digital units is expected to spur the total market value from £90 million to £500 million, citing a 448%.
DRDB chairman, Ralph Bernard, said: “As DAB digital radio edges closer to mass-market penetration and the government moots the possibility of analogue switch-off, the DRDB board feels the time is right to publish this market forecast.”
He added: “We are confident that the result is a considered and realistic projection showing that by 2008, DAB digital radio penetration will have reached 29% of British homes.”
In terms of individual market growth, hi-fi systems look set to become the clear winner, as people look to upgrade their existing radio equipment with digital-enabled devices. The DRDB expects sales of hi-fi equipment to rise to a whopping 952,000 individual units by 2008, compared to just 62,000 this year and in terms of value, this market will grow from £12.29 million to £126.63 million.
The new ‘memory radio’, which allows listeners to pause, rewind and record live radio, is also expected to see significant gains over the next four years, growing in popularity from 36,000 units in 2004 to 261,000 in 2008.
| UK DAB Digital Radio Growth | ||||
| Product | Annual Value (£ million) | Annual Volume (£) | ||
| 2004 | 2008 | 2004 | 2008 | |
| Hi-fi Systems | 12.29 | 126.63 | 62,000 | 952,000 |
| Boomboxes | 7.68 | 48.14 | 71,000 | 637,000 |
| Clock Radios | 4.56 | 30.73 | 45,000 | 582,000 |
| Memory Radio | 4.98 | 31.87 | 36,000 | 261,000 |
| Source: Digital Radio Development Bureau, September 2004 | ||||
One of the biggest stories to emerge over the next few years, according to the DRDB, will be the increase in the number of people listening to DAB digital radio in their cars, which is expected to grow from 3,000 units this year to 645,000, as car manufacturers start to fit the upgraded equipment as standard.
Recent research from Eureca goes some way in backing up the DRDB’s predictions, with its latest findings showing that by 2010 there will be nearly 40 million digital radio receivers in Europe, with the UK accounting for over 44% of receivers installed (see Digital Radio Set For Boom In Europe).