What is it about the radio business?
We’re happily headed into a holiday weekend we sorely need…and deserve. This could be that moment when we truly find ourselves turning the corner on the pandemic, on the path to getting our lives back. Memorial Day 2021 is a three-day weekend millions are excited about.
And at this moment when we all want to polish off the weekend logs, get our “500” lists all tidied up, load in our music and production, and head out with family and friends, a new radio competitor decides THIS is the moment to announce its debut.
Unlike other new radio sign-ons we’ve had to battle against over the years, this one has the ability to impact every music radio station in the country – whether you play Country, Top 40, Classic Rock, or Hip-Hop.
That’s because it’s TikTok Radio.
And if there’s a bright side to this new challenger for the radio audience, it’s that it won’t be “on the air” until sometime this summer. So, you won’t have to spend this holiday weekend monitoring your new competitor.
But there are enough clues and Easter eggs embedded in this debut announcement that it should get broadcast radio’s attention.
First, it a a collaboration with TikTok, SiriusXM, and Pandora. Our Techsurveys have consistently shown the biggest existential threat to AM/FM radio isn’t Spotify, EDM, electric cars, or cicadas. It’s the growth of satellite radio, the platform that is closest to broadcast radio by style, formattics, personalities, and accessibility. When SiriusXM debuts a new tech feature or product launch, it should be on our radar screens. But sadly, most radio execs give SXM precious little thought.
Second, they’re calling it RADIO. For SiriusXM, this is nothing new. They’ve been satellite radio since Day One. But so has Pandora Radio, Slacker Radio, and any number of other wannabes that have come and gone over the years. I created this graphic for a blog post first published in 2016 as proof positive that “radio” as a branding tool and an audio platform is something that no shortage of competitors aspire to be.
I have often told the story about Zane Lowe, the mastermind and main DJ on Apple’s first foray into radio – Beats 1 – back in 2015. Lowe described the branding process of the station with a sense of resignation to the New York Times:
“Part of the last three months has been desperately trying to come up with a new word that’s not radio. We couldn’t do it.”
TikTok has been something of an enigma since its launch five years ago. Ex-President Trump tried – and failed – to get it banned here in the U.S. Tech experts have debated whether TikTok is a social media or a video streaming platform.
To add to the ambiguity, it will soon also be a radio service, based on SiriusXM’s branding plans. The satellite radio juggernaut announced its newest channel will be built around TikTok’s “tastemakers” and music discovery superpower.
As we’ve seen, especially during the Year of COVID, TikTok has emerged not just as a social media force to be reckoned with, but a platform that breaks new music by using it as the soundtracks for its highly habit-forming short videos.
The record labels have taken note, especially when Fleetwood Mac’s “Dreams” – a classic hit that is decades old – started to chart again last year when it was used in a viral TikTok video.
SiriusXM will now leverage TikTok’s popularity – especially with its legions of much-sought after Gen Z’s – to create a music channel that will receive massive cross-promotion from TikTok’s biggest stars. TikTok Radio will also integrate Pandora playlists, as “tastemakers” tell the stories behind the songs they choose and even create.
First up is TikTok superstar Bella Poarch. The cross-promotion has already begun as Bella has posted a TikTok video showcasing her debut playlist:
Did I mention that she has nearly 70 million followers on TikTok.
The pain points here for radio broadcasters reading this post are obvious:
- TikTok is showcasing its music discovery powers with this new radio station.
- It is also a personality play, shining the light on TikTok’s most popular music stars.
- It cleverly integrates the brands and functions of SXM and Pandora.
- It’s targeting teens (consumers SiriusXM desperately needs) to counter its already aging subscription service, supported primarily by Xers and Boomers.
And finally, it’s a competitive middle finger raised at broadcasters by doubling down on the “R-word.”
By branding it TikTok RADIO, SiriusXM is embracing the label that so many radio station owners are sidestepping by using variants of “audio” or “media” to reposition their companies and assets.
It’s a reminder that “radio” is a positive branding tool. Zane Lowe learned that with Apple’s Beats 1 several years ago, and SXM’s content czar, Scott Greenstein, is unabashedly embracing today.
Whether TikTok Radio becomes a megawatt success for the satellite radio giant or just another channel in its vast lineup is beside the point. What they’re focusing on strategically and tactically should be a topic in every radio company’s competitive strategy sessions.
That is, if we’re not too busy debating TLR, chasing meters, and figuring out how we can run more barter and online gambling spots.
Enjoy your weekend.
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Tito López says
SiriusXM is not alone with this idea.
It’s not happening only in America.
Look what TikTok and iHeart are doing in Australia:
https://www.marketingmag.com.au/news-c/tiktok-and-arns-iheartradio-to-launch-aussie-exclusive-radio-station/
Fred Jacobs says
Tito, thanks for this. I had not seen it. It begs the question why this isn’t happening in the US.
Eric Jon Magnuson says
And, TikTok’s Australian outlet came several months after SCA (ARN’s rival) launched one for SoundCloud…
https://radioinsight.com/headlines/207530/first-listen-iheart-australias-tiktok-trending
Fred Jacobs says
Thanks for this, Eric.
Tito López says
“TikTok Trending on iHeartRadio launches live in Australia today, broadcasting 24/7 on-air for the next three months,” said TikTok in its newsroom when they launched the station on April 26th:
https://newsroom.tiktok.com/en-au/tiktok-takes-to-the-airwaves-with-the-launch-of-australian-exclusive-digital-radio-station-tiktok-trending-on-iheartradio
“Next 3 months”? Maybe it’s going to be a test market?
Fred Jacobs says
Strange. Sounds like a 90 day audition.
Dave Mason says
Better content will win the battle, period. What do people want? Give it to them. That’s the simple answer. We’ve been dealing with these discussions for decades now, and it kinda looks like the answer is just that. Disney, Netfilx, Hulu haven’t risen through the ranks because they’re “Television” – – they’re all filled with content that people want. The audio platforms that are sponging up AM/FM listeners “kinda” have new content that apparently people “kinda” want. If Sirius hangs its name on Tik Tok and the content is crap, it’ll fail! That’s the bottom line, isn’t it?
Fred Jacobs says
It is the bottom line. But the fact these TikTokers are racing up MILLIONS of followers suggests they’re doing jut that – giving the people what they want. Thanks, Dave.
Jay Clark says
Being very familiar with the concept I can tell Dave that the whole Idea is to develop the best programming possible. I agree completely with you that this is a brilliant move to try and reach Gen Z, a demo that has not been easy to attract. Admittedly I am prejudice, these guys know what they are doing and, unlike over the air radio are not afraid to leave the box for new ideas. More importantly they have the bottom line to pull it off. Thanks once again for you thoughts and as usual I totally agree. J.
Fred Jacobs says
Always great to hear from you, Jay. Hope all’s well.