Sales of digital radios in December surpassed previous expectations, soaring past the one million mark, according to data released today by the Digital Radio Development Bureau (DRDB).
Preliminary figures from electronics industry auditor GfK indicate that cumulative sales of digital radios throughout 2004 easily met the one million target set by the DRDB at the beginning of the year (see
UK Digital Radio Homes Triple In 2003), and are expected to exceed the 1.2 million forecast in its Five Year Forecast published in October (see
Digital Radio In The UK Set For Boom Time By 2008).
Commenting on the report, Ian Dickens, DRDB chief executive said: “The sales figures for 2004 are totally in line with expectations and, as such, add weight and confidence to the DRDB’s Five Year forecast for set sales. The forecast calls for a further 1.2 million DAB radios to be sold in 2005. Based on the volume of products we know is coming this year, and an ever increasing consumer interest in DAB, we are confident this target can be met.”
This Christmas saw retailers struggle in traditional sales arenas, however, “everything digital” enjoyed a strong performance in sales, with DAB digital radio sales more than doubling, year-on-year. This trend is expected to continue into 2005, according to DRDB marketing director, Mike Spencer.
Dan Knowles, director of buying at John Lewis Partnership said that sales of digital radios were up by 57%, while Nick Woods, managing director of Dixons said: “Radio renaissance in the UK brought about by the development of digital radio technology has gathered pace this year.”
The gap between sales of analogue radios and DAB digital models is closing, with one retailer reporting that 30% of all radios sold over Christmas 2004 were digital, compared with 15% in the same period of 2003.
The DRDB attribute several causes to the surge in the growth in the DAB digital last year, stating that the increase in the number and variety of products available, combined with price drops, has allowed digital radios to enter the mass market for the first time.
The DRDB has forecast that, in the next four years, nearly a third of UK households will have DAB digital radio. By 2008, the total number of DAB radio sets is expected to increase by 1200%, taking today’s current total of individual units from one million to 13 million.
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