Kismat FM - Ofcom Licensing

Section 105(A): Ability To Maintain Proposed Service
Kismat
Radio
(iv) Bodies whose objects are wholly or mainly of a religious nature;
Not Applicable
(v) Bodies whose objects are wholly or mainly of a political nature;
Not Applicable
(vi) Local authorities;
Not Applicable
(vii) Other publicly funded bodies.
Not Applicable
2. FINANCIAL AND BUSINESS PLAN
2. FINANCIAL AND BUSINESS PLAN
(a) Overall Financial Strategy
Provide a concise summary of how the applicant considers it is able to establish and maintain, throughout
the licence period, its proposed service, and how the licence fits in with the investor’s strategy.
Sunrise Group has unrivalled knowledge and experience of operating ethnic commercial radio stations in the UK.
It was the first legal commercial station targeted at a particular ethnic group and has constantly redeveloped its
original business model to maintain its position in an increasingly competitive marketplace, not only with new
commercial entrants but in face of a well-resourced and increasingly aggressive BBC. Sunrise understands how to
build a viable broadcasting business within the Asian community.
Sunrise has been at the forefront of Asian broadcasting in the UK for over 15 years. During this time, it has
established Sunrise Radio in London as the leading ethnic service in the UK, with an average of over 390,000
listeners a week and more than 200 million listening hours in 2004.
The BBC has recognised the need and potential for Asian broadcasting and is actively rolling-out its BBC Asian
Network service across the UK on its DAB multiplexes. Only Sunrise has the will and the resources to develop
substantial commercial competition. The Group has invested significantly in developing Sunrise through digital
broadcasting: Sunrise Radio is carried on six DAB multiplexes and on Sky Digital. At the same time, the Group has
invested in Yarr, a service for young Asians currently broadcast on four DAB multiplexes.
The Group's latest Asian venture, Kismat Radio, is currently under test in London and will fully launch on 1035
AM during February 2005. It will also be carried from launch on Sky Digital. Research in London showed an
enthusiastic response to Kismat Radio, particularly among its target of listeners over 35. Initial sales indicate that
businesses are also enthusiastic about the opportunity for targeting this influential group of older Asians.
Kismat Radio offers a unique format to the Asian population of Manchester. Its speech basis and mix of Ghazals,
Qawalis, Asian Folk, Gold, Hits and religious music will provide older Asians with a radio station designed
specifically for them. Manchester is the right place for Kismat's innovative format, indeed, had the opportunity
arisen earlier, Sunrise would have sought to launch Kismat in Manchester even before London. Demand in
Manchester is high: over 70% of Asians surveyed said they would be likely to listen to Kismat. Significantly, there
are over 40% of Asians who do not currently listen to the radio on a regular basis: two-thirds of these said they
would be likely to listen to Kismat.
Business Plan
Section 105 (A): Page 9