1. March 2011

2. Contents Radio Summary 2010 - Useful Facts Revenue Listening Digital Radio Engagement & Connection 2011 Brand Strategy and Campaign - Overview Supporting Research:  Neuro Insight Radio Engagement Study  The Hoop Group Research

3. Increase in metro commercial radio revenue Metropolitan advertising revenue up 7.8%* from Jan-Dec 2009. All five metro markets recorded significant increases in advertising spend, with the biggest performers in Perth, Sydney & Brisbane*. Radio revenue comprised of 7.1%** of the total expenditure in main media – exceeding outdoor, cinema and magazine spend. Radio in 2010 Summary – Revenue * Source: Deloitte Jan to Dec 2010 ** Source: CEASA Advertising Expenditure Report Jan to June 2010

4. Increase in regional commercial radio revenue Regional advertising revenue up 4.7%* from Jan-Jun 2009. Radio in 2010 Summary – Revenue * Source: Deloitte Jan to Dec 2010 ** Source: CEASA Advertising Expenditure Report Jan to June 2009 & 2010

5. 2010 was a strong year for commercial radio listening Metropolitan surveys recorded commercial radio listening at 9.19* million people each week. This is an increase of 2.8%* or 250 000* listeners when compared with 2009. Radio in 2010 Summary - Listening * Source: The Nielsen Company Radio Ratings Survey #1 to #8 2009 & 2010. Based on All People Aged 10+ Mon-Sun 5.30am to midnight

6. 2010 was a positive year for digital radio listening Over 400,000* digital radios in the marketplace. 691,000** listeners to radio via a DAB+ device each week (5.6% of the total metropolitan population). Time spent listening to digital radio double the TSL of listening via the Internet. There are up to 20 new digital only stations in the metro markets. The second Digital Radio Industry Report was released by CRA in March 2011. Visit digitalradioplus.com.au to download. Radio in 2010 Summary - Digital * In the market supply chain (chip maker, manufacturer, and retailer) supported by GfK sales data, and Frontier Silicon (80-90% of DAB+ chip market) reports. ** Source: The Nielsen Company Radio Ratings Survey #8 2010 (Brisbane) and Survey #1 2011 (S,M,A,P). Based on All People Aged 10+. Mon-Sun 5.30am to midnight

7. Radio Engagement & Connection 2011 Brand Strategy and Campaign - Overview

8. Objectives: Promote radio as an engaging, influential medium. Ensure radio is top of mind with advertisers and included in media campaigns. Give creative agency staff a new way of approaching the development of radio commercials. Increase radio share of advertising revenue. Radio Engagement & Connection 2011 Brand Strategy and Campaign - Overview

9. People are 32% more engaged with their favourite radio station than they are with other media content Radio Engagement & Connection 2011 Brand Strategy and Campaign - Overview * Source: Neuro Insight Pty Ltd Radio Engagement Study 2010

10. Radio Engagement & Connection 2011 Brand Strategy and Campaign - Overview Click for ‘Listen to’ Click for ‘Congrats’ Click for ‘Subliminal’ Click for ‘Heard’

11. Radio Engagement & Connection Neuro Insight Radio Engagement Study

12. Radio Engagement & Connection Neuro Insight Radio Engagement Study - Methodology Commercial Radio Australia’s latest research project investigates: The neuro state of radio listeners Consumer engagement with actual radio content Neuro Insight has previously undertaken neuro studies for major media groups such as: EYE Corp SBS Channel 9 ACP * Source: Neuro Insight Pty Ltd Radio Engagement Study 2010

13. Radio Engagement & Connection Neuro Insight Radio Engagement Study - Definition Engagement Personal relevance Involvement with content Connection with content Neurostate The degree to which people engage with that content. * Source: Neuro Insight Pty Ltd Radio Engagement Study 2010

14. Radio Engagement & Connection Neuro Insight Radio Engagement Study - Methodology Neuro data was captured via brain wave monitoring equipment and compared to effectiveness norms 64 respondents were tested for 26 minutes each Respondents listened to various real radio program formats, content and ad breaks * Source: Neuro Insight Pty Ltd Radio Engagement Study 2010

15. Radio Engagement & Connection Neuro Insight Radio Engagement Study – KISS Approach * Source: Neuro Insight Pty Ltd Radio Engagement Study 2010

16. Radio Engagement & Connection Neuro State – Different Levels THE COMMON RANGE OF MOST BRAIN ACTIVITY 1.0 0.8 0.6 0.4 0.2 0.0 ---------------------------------------------------------------------------------- HIGH: 0.7 LOW: 0.3 NEURO GLOBAL AVERAGE = 0.5 TIME * Source: Neuro Insight Pty Ltd Radio Engagement Study 2010

17. Radio Engagement & Connection Neuro State of Radio Listeners Example #1A * Source: Neuro Insight Pty Ltd Radio Engagement Study 2010

18. Radio Engagement & Connection Neuro State of Radio Listeners Example #1B * Source: Neuro Insight Pty Ltd Radio Engagement Study 2010

19. Radio Engagement & Connection Memory Detail versus Memory Global Memory Left – Detail The ‘Micro’ Rational The Facts Offers / Prices / Retail ‘Call 1300 *** ***’ ‘Go to www.for....’ Executional elements eg. Pause Memory Right – Global The ‘Macro’ Emotional The Big Picture Branding campaigns Mnemonics Music/Jingles ‘Imagine you’re…’ Mood & connotation * Source: Neuro Insight Pty Ltd Radio Engagement Study 2010

20. Radio Engagement & Connection Neuro State of Radio Listeners Example #2A * Source: Neuro Insight Pty Ltd Radio Engagement Study 2010 Memory Left = Rational, Detailed Memory Right = Emotional, Big Picture

21. Radio Engagement & Connection Neuro State of Radio Listeners Example #2B * Source: Neuro Insight Pty Ltd Radio Engagement Study 2010 Memory Left = Rational, Detailed Memory Right = Emotional, Big Picture

22. Radio Engagement & Connection Overall 32% Higher than the Neuro Global Average The research shows the ‘Radio Average’ is 32% higher than the ‘Neuro Global Average’ High Ave Low * Source: Neuro Insight Pty Ltd Radio Engagement Study 2010 High Ave

23. The Hoop Group Research

24. Radio Engagement & Connection The Hoop Group Study - Methodolgy Radio relevance study 1500 people were interviewed 5 mainland capital cities + 3 regional hubs. The research will be released in 2 phases in 2011 * Source: Hoop Group / CRA Radio Relevance Study Oct 2010. n = 1 500

25. Radio Engagement & Connection The Hoop Group Study - Active Listening 82% of Australians respond to what they hear on commercial radio * Source: Hoop Group / CRA Radio Relevance Study Oct 2010. n = 1 500 %

26. Support Materials for Stations Join the website – updates, materials, enewsletters Presentation Brochure

27. For further information regarding the CRA Brand Strategy, Campaign and Supporting Research contact: Natalie Muir – Strategic Insights Executive (02) 9281 6577 natalie.muir@commercialradio.com.au