Disrupt Radio hits turbulence: unable to pay staff and the station is taken off DAB+

The digital station is just 15 months old but it has hit financial woes, with staff left unpaid and the station no longer available on DAB+.

Disrupt Radio chairwoman Michelle Guthrie.

Disrupt Radio’s future is in jeopardy as its struggles to establish a foothold in the market, with staff left unpaid and the removal of the station from the DAB+ signal.

The station’s founder Benjamin Roberts confirmed to The Australian the turmoil engulfing Disrupt was the result of a recently proposed investment failing to eventuate.

“Disrupt was due to have a significant investment in early August. That didn’t happen, due to circumstances outside of our control, and so we were forced to move a lot of things around, which included live on-air programming, payment cycles for staff in mid-August, and responding to changes in broadcast distribution and live content,” he said.

“It’s been a very challenging couple of weeks for our team, but we’re not immune from a tough advertising and capital market.

“It’s been particularly difficult for those who haven’t been through the rough and tumble of a start-up before.”

Since the station’s inception 15 months ago, high-profile recruits hosting their own shows have included former ABC radio host Libbi Gorr; broadcaster, businessman Jules Lund; and former AFLW player Moana Hope. However Disrupt has failed to attract notable audience numbers.

When the station, which is based at Southbank in Melbourne, launched last year it made headlines for engaging rock legend Sir Bob Geldof as its temporary breakfast host, but more than a year on, its quest for a solid audience remains unfulfilled.

Disrupt Radio founder and chief executive officer Benjamin Roberts.

In the latest official GfK radio ratings data, released last month, the station – which broadcasts in three major capital cities – attracted just 4000 listeners in Sydney, 1000 in Melbourne and fewer than 1000 in Brisbane.

Disrupt’s chairwoman and former ABC managing director Michelle Guthrie was upbeat when she spoke with The Australian last year, saying the station was not a short-lived project.

“We are aiming to continue to grow and build on our audience and connect with a new type of radio listener,” she said at the time.

The station’s Facebook page has not posted any new content for two weeks and Disrupt’s website makes no mention of the trouble plaguing the station, including that previous episodes are now being aired on repeat.

Mr Roberts said despite the latest financial woes, Disrupt’s operating model was “built to withstand headwinds”.

“We’re predominantly freelancer and contractor based, which gives our people total optionality, and the business an opportunity to adapt to a changing environment quickly and easily,” he said.

“Start-ups are not for the salaried and superannuated, and I made it very clear to people I personally hired that it might be a bit of a rollercoaster.”

Mr Roberts anticipated funding would flow though this week with updates on the media outlet’s future in coming days. He said Disrupt – which on the weekend was still unavailable on DAB+ – was not set up to be purely live digital.

DAB+ uses digital technology to transmit radio stations (unlike stations that use radio waves) to broadcast content that can be adjusted depending on a listener’s location.

“Disrupt wasn’t designed for a 100 per cent live broadcast environment, or purely DAB, so we’re very fortunate to have a deep library of extraordinary ‘back content’ at Disrupt Radio that most people haven’t yet had an opportunity to listen to,” Mr Roberts said. “We’re also fortunate that most listening occurs through our own online streaming and on-demand platform which not only reduces our reliance on DAB (digital audio broadcast), but gives our business, people and shareholders an opportunity to pivot and follow audiences and advertisers.”

Originally published as Disrupt Radio hits turbulence: unable to pay staff and the station is taken off DAB+