Internet Broadcasters Create New Revenue Model

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Dailysonic has created a new internet radio revenue model. It allows listeners to remove advertisements from their online radio show by purchasing "Subtracts".

Dailysonic has created a new revenue model for internet radio. The system allows listeners to remove advertisements from their online radio show by purchasing "Subtracts". Each Subtract costs a few pennies, and results in one less ad heard by the listener.

Unlike subscription-based online radio, listeners can purchase as many or as few "Subtracts" as they want. There is no contract or minimum cost, and unused subtracts automatically roll over to the next month. When a listener's subtracts run out, advertising gets re-inserted into the show without interruption of service.

The subtracts system is integrated into Dailysonic's episode customization engine, which allows listeners to create their own personalized radio show. Listeners control the content they hear, the length of the show, and how often it comes out. Episodes are generated on the fly and custom-tailored for each listener. Shorter episodes use less subtracts than longer episodes, making the pricing fair regardless of a show's length.

Alongside the launch of subtracts, Dailysonic has also opened up its advertising interface to their listeners. Anyone can create an audio ad campaign - on any budget. Ads can be uploaded through the internet or recorded over the phone. Dailysonic hopes these technologies will blur the line between commercial advertising, public radio underwriting, and direct listener donations.

Dailysonic launched its radio show in the March of 2005. The show has covered everything from the sounds of pulsars in outer space, to up and coming indie musicians, to world news, to the invention of the Caesar salad. The show is available as a podcast or download from Dailysonic.com. In the future, the company plans to let outside audio producers tap into their technology's potential, taking internet audio to the next level.

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Adam Varga
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