How a Hot Tomato will beat the Sea and Gold

Things are about to be all shook up in the Gold Coast radio scene with the launch of new FM radio station Hot Tomato over the next few days.

Hot Tomato is the new kid on the block of FM commercial radio and looks like providing stiff competition for the current leaders, SEA and Gold FM.

The new owners paid what I believe was an Australian record for the license (based on a per capita assessment) and won't be messing around. They come out with both barrels.

Welcomed with open arms

They should be welcomed with open arms by local businesses looking for value for money advertising rates. SEA and Gold FM, both owned by the same company, haven't exactly be slitting each other throats over the past few years in regards to advertising rates.

Or pushing each other to higher standards.

My guess?

Hot Tomato will stroll on in and grab more market share than you can poke a very large stick at. Their rates won't be much cheaper (if at all) than the current stations, but they'll provide plenty more value as a huge percentage of listeners tune in.

And they won't go back to SEA or Gold.

This will then make SEA and Gold FM drop their rates in an attempt to keep/get back advertisers.

Should you take advertising on an unknown quantity?

Generally no. But I think that Hot Tomato will so completely beat the current stations that it is probably worth the risk.

Brendon Sinclair