DUBLIN STATION Radio Nova will this weekend kick off a €400,000 advertising campaign aimed at supporting the strong start it has made since its launch in September 2010.
About a third of this budget will be used to support the first burst of advertising across a range of outdoor platforms.
“We’re hoping this will give us a lift in our market share and increase the level of awareness by 5-10 per cent,” co-founder and chief executive Kevin Branigan told me this week.
To the surprise of many, Radio Nova has made a strong impact since its launch less than two years ago in the face of a brutal economic downturn.
It has 134,000 weekly listeners and is polling ahead of 4FM, Phantom and Sunshine, which were all on air before Nova.
Branigan is forecasting revenues of “just under” €2 million for this year and said it hopes to reach break-even by “September/October”.
The business plan submitted to the Broadcasting Authority of Ireland when it pitched for the Dublin classic rock licence in 2008 envisaged it making a profit in year four – 2014 – of €71,000 off revenues of €3.4 million.
“We achieved certain cost efficiencies at start-up and we’re 35 per cent ahead of plan in terms of our listenership,” Branigan said.
The station’s launch was actually delayed by a year, which, on reflection, was probably a good thing given the brutal readjustment that took place in Irish media in 2009 as the State lurched into recession.
Branigan said Nova’s capital expenditure costs came to €300,000, rather than the €1.1 million forecast.
“Don’t get me wrong, business is still tough. We’re having to work very hard for every cent we get. It’s been far from plain sailing but we’re beginning to take off.”
