RADIO IN 2013 How Radio Advertising Fits in the Media Mix.

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RADIO IN 2013 How Radio Advertising Fits in the Media Mix

Transcript of RADIO IN 2013 How Radio Advertising Fits in the Media Mix.

RADIO IN 2013How Radio Advertising Fits in the Media Mix

0--Consumer

Radio

Internet

Newspaper

MagazinesOutdoor

Directory

TV

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TODAY’S MEDIA LANDSCAPE

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A GROWING AUDIENCE2012 RADIO AUDIENCE IS AT AN ALL-TIME HIGH!

Sources: Arbitron RADAR 115, December 2012 (Persons 12+, Monday-Sunday 24-Hour Weekly Cume Estimates)

242.0 MILLION

3

P 12+

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97 9288

7870

6156

49 47 45 45 43

31 29

18 15 13 10

% Population/Household Penetration

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MEDIA REACHRADIO’S REACH IS STRONG

Sources:: TV HH, Nielsen May 2011; wkly Radio Arbitron RADAR December 2012 M-Su M-M; Mobile Web comScore Feb 2011 via mobiThinking; DVR, Nov, 2010 NielsenWire; Cable & ADS July 2011 Nielsen Report; iPods/MP3s and Social Net Usage Arbitron/Edison Infinite Dial: 2012; Video Game Consoles from Lichtman Research June 2010; Twitter comScore Dec 2011; Video Game Console, Internet usage, Wireless Cell Phone, High speed Internet Access from Pew Internet & American Life Project Dec 2010, May, June 2011; Tablets Audio4cast March 20, 2012; Scarborough USA + Release 2 2011 12 months

% Population/Household Penetration

CONSISTENT TIME SPENTEVEN AMONG HEAVY USERS OF OTHER MEDIA

Source: The Infinite Dial 2012 – Arbitron Inc. & Edison Research

Hours:Min

5

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GOING STRONGRADIO IS THE 2ND MOST USED PLATFORM IN AMERICAN LIVES

98%BROADCAST RADIO 93%

54%

43%

37%

29%16%

14%

13%

12%

12%

10%

3%

Source: The Infinite Dial 2012 – Arbitron Inc. & Edison Research ;Note: Pandora is a subset of Online Radio and shown separately as a pure-play operator

% of Americans 12+ Who Use Platform

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AND STRONGERRADIO OUTRANKS TODAY’S DIGITAL DEVICES

Source: The Infinite Dial 2012 – Arbitron Inc. & Edison Research

% of Americans 12+ Who Own Device

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TELEVISIONSIGHT, SOUND AND MOTION

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TV Radio

UNAIDED BRAND RECALL

INCREASED 34% WHEN TWO RADIO

ADS REPLACED

ONE TV AD*

• Total TV households are down from 114.6MM in 2011 to 114.2MM in 20121

• Monthly time P2+ have spent with TV dropped 1 hour and 26 minutes from Q2 2011 to Q2 20122

• Weekly time dropped from 32 hours and 47 min in Q2 2011 to 31 hours and 45 minutes in Q2 2012

• Time shifted viewing by A18-49 increased from 12 hours and 14 minutes in Q2 2011 to 13 hours and 4 minutes in Q2 20122

• 77% of connected device users are watching TV while using another device3

• Radio delivers more than 93% of its lead-in audience during commercial breaks, on average4Sources: 1) Nielsen Company 2012; 2) Nielsen Cross-Platform Report Q2 2012; 3)

eMarketer, November 2012; 4) What Happens When the Spots Come On 2011, Arbitron, Inc., Media Monitors & Coleman Insights; *The Benefits of Synergy, Radio Ad Lab, 2004

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INTERNETTRACKING AND INTERACTIVITY

Sources: 1)Pew Research Center’s Internet & American Life 2011; 2) comScore “Validated Campaign Essentials” January 2012; 3) The State of Online Advertising 2012; 4) comScore “Validated Campaign Essentials Charter Study, March 2012; *Radio and the Internet: Powerful Complements for Advertisers, Radio Ad Lab, 2007

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Internet Radio

RADIO DRIVES ONLINE

SEARCH AND WEBSITE TRAFFIC*

• According to an April 2012 survey, only 82% of adults 18+ use the internet1

• Most adults go online just to pass the time1

• 63% of American consumers ignore or disregard internet ads2

• 72% of campaigns run next to objectionable content

• 60% of consumers state online advertising is annoying3

• 31% of ads are not in view or never have the opportunity to be seen4

• In many cases a large portion of ad impressions are not delivered according to plan

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NEWSPAPERDETAILS AND INFORMATION

Sources: 1) State of the News Media in 2012; 2) Pew Research Center 2012 News Consumption Survey 3) eMarketer, October 2012

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Newspaper

Radio

RADIO IS AN ENGAGING

MEDIUM THAT CREATES EMOTION

• Newspaper revenue dropped 7% in 2011 versus 20101

• Weekly circulation dropped 4% April-September 2011 versus same time period 20101

• Adults 65+ are most likely to be newspaper readers but their readership declined 3 percentage points in 20111

• Only 6% of A18-24 stated they read the news in a print newspaper the previous day2

• The average time U.S. adults spent with newspapers dropped to 22 minutes in 2012 from 30 minutes in 20103

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OUTDOORSTRATEGIC AND ATTENTION GRABBING

Sources:1) Outdoor Advertising Association 2011; 2) Premier Media

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Outdoor Radio

RADIO EXTENDS OOH

MESSAGING, PARTICULARLY

FOR WINDSHIELD

BRANDS

• Made up of 100 different formats (billboards, street furniture, transit, etc.) with more than 2,100 operators1

• Recommended limit of 7 words or less for each billboard puts tremendous constraints on the advertiser’s message

• Low recall of messages due to brief consumer exposure

• It is not assured to be seen by your target audience2

• Outdoor advertising can run the risk of vandalism and can be damaged due to weather conditions

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DIRECTORYREFERENCE AND FAMILIARITY

Sources: 1) Market Authority, Inc., November 2012; 2) Bloomberg Businessweek, April 2012;

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Directory

Radio

RADIO INCREASES TOP-

OF-MIND AWARENESS TO

HELP REACH, MOTIVATE AND

INFORM CONSUMERS

• BIA/Kelsey expects revenues from print and online directories to decline globally from $23.4 billion in 2011 to $22.0 billion in 2015

• 67% of consumers in 19 U.S. urban area households report using the printed directory at least occasionally1

• Among older consumers, such as Baby Boomers and Seniors (48+), print usage is much stronger

• Print revenue has decreased by $7.3 billion since 2007 as websites like Yelp, Google, and Groupon have taken over the market for small business ads2

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MAGAZINESPORTABLE AND TARGETABLE

Sources: 1) Association of Magazine Media; 2) eMarketer ; 3) Media Daily News, July 2012

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Magazines

Radio

RADIO’S FORMATS AND PROGRAMMING

TARGET CONSUMERS BY

INTERESTS AND LIFESTYLE

• Attracts mass and niche audiences with more than 20,000 titles1

• U.S. adults spent 16 minutes per day with print magazines in 2012 versus 20 minutes in 20102

• Circulation declined over 4% in 2011(includes paid subscriptions a single-copy sales)1

• 74 titles closed first-half 2011 and 48 first-half 20123

• Total consumer magazine ad pages declined 8.5% in Q2 2012 versus Q2 20113

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• Delivers a uniform user experience across all platforms (in car, mobile device, etc.)

• Reaches 92% of P12+ every week1

• Formats deliver all audiences – regardless of age, gender or language

• Reaches 91% of P12-24 every week1

• Reaches 94% of P18-49 every week1

• Drives traffic – online and on site

• 52% have heard about a new product, service or store on the radio2

• Personalities that speak to the interests of loyal listeners within their communities

• A flexible and nimble medium with low production costs

Sources: 1) Arbitron, RADAR 115, December 2012 (M-Sun 24-hour weekly cume estimates); 2) Radio Tomorrow, Alan Burns & Associates, 2012

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Other Media

Radio

INCREASES BRAND

AWARENESS, AD RECALL

AND CAMPAIGN

EFFECTIVESS

RADIOON-AIR. ONLINE. ON TARGET.

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Other Media

Radio

RADIO IS LIVE LOCAL AND

SOCIAL

• There are nearly 11,000 commercial local radio stations today1

• 70% of radio listeners follow their favorite personality/radio station on social media2

• 62% of radio listeners would be disappointed if their favorite radio station went away3

• 45% would be disappointed if Facebook went away

• 70% of radio listeners consider radio personalities to be a good or best friend or companion2

• Visits to radio station websites are on the rise3

• Up to 34% of adults in 2012 vs. 27% in 2010 visited in the past week

Sources:1) Inside Radio MStreet 2012; 2) USC, Annenberg School for Communication & Journalism, PSI Study Released June 2012, Woodley, P. and Movius, L. People With a Favorite Radio Personality in LA; 3) Radio Tomorrow, Alan Burns & Associates 2012; 3) The Infinite Dial 2012 – Arbitron Inc./Edison Research

RADIOON-AIR. ONLINE. ON TARGET.

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Other Media

Radio

RADIO IS THE ULTIMATE MOBILE MEDIUM

• 73% of vehicle owners with FM radio said they listen to the radio during car trips1

• Mobile device in-car audio use has grown from 6% in 2010 to 17% in 20122

• 80% of adults with internet access in the car listen to AM/FM on the radio and a local or distant AM/FM stream3

• 55% of listeners said they listen to their favorite personalities on computers or mobile devices when away from a radio4

• Radio is the dominant medium in the commuting schedule with 68% reach5

Sources: 1) The NPD Group; February 2012, based on a U.S. representative sample of over 1600 vehicle owners; 2) The Infinite Dial 2012 – Arbitron Inc./Edison Research; Base: Use a Cell Phone: 3) Radio Tomorrow, Alan Burns & Associates 2012; 4) USC, Annenberg School for Communication & Journalism, PSI Study Released June 2012, Woodley, P. and Movius, L. People With a Favorite Radio Personality in LA; 5) USA Touchpoints 2012.1

RADIOON-AIR. ONLINE. ON TARGET.

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Other Media

Radio

RADIO IS A SOURCE FOR

NEWS, INFORMATION & ENTERTAINMEN

T

• Reaches 86% of registered voters in district of residence1

• 87% of American-Americans and 89% Hispanics

• 33% of adults listened to radio the previous day to get news2

• Radio listening spikes during times of crisis

• As Sandy hit the NY metro, the average number of people using radio in any quarter hour from 7PM to 12M on the storm night (10/29) increased 70% (vs. the prior week)3

• 40% of online heavy radio millennial listeners use to the internet to listen to the radio in the past month4

• People who listen to Pandora spend more time with AM/FM radio than non-Pandora listeners5

• 19.1 hours per week with AM/FM radio

Sources: 1) Scarborough USA+ 2011 Release 2 (12 months only); 2) Pew Research Center 2012 News Consumption Survey; 3) Arbitron Inc., November 2012; 4) Inside the Minds of Heavy Radio Listeners, Scarborough USA+ Study, Release 1, 2012; 5) What Pandora Means for Radio, Vision Critical November 2012

RADIOON-AIR. ONLINE. ON TARGET.

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• Insert information specific to your station(s) here

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Other Media

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RADIOON-AIR. ONLINE. ON TARGET.

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RADIO CONSUMPTIONMIRRORS THE RETAIL DAY

Source: GfK MediaDay 2012 (Fieldwork 11-12/Doublebase Respondents) weighted to population (000) Base All

Radio is the #1 daytime medium

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Other Media

Radio

RADIO INFLUENCES PURCHASE DECISIONS

• Radio use is greater than use of other media outside of the home1

• AM/FM radio is the second most used medium reaching 59% of Adults 25-54 throughout their day and while during the daily activities1

• Broadcast radio is the most used medium closest to the point of purchase1

• Broadcast AM/FM radio delivers the largest reach at key pre-shopping periods

• Radio reaches 40% of Adults 25-54 two hours before they go shopping1

• Radio has the highest reach of Adults 25-54 on their way to grocery shopping (peak of 5-6PM)2

• Radio reaches 29% of A18-64 quick service restaurant patrons before the lunchtime peak of 11AM-12N2

• 52% of radio listeners have heard about a new product, service or store on the radio3

Sources: 1) USA Touchpoints 2012.1; 2) USA Touchpoints 2012.2; 3) Radio Tomorrow, Alan Burns & Associates 2012

RADIOON-AIR. ONLINE. ON TARGET.

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Other Media

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aid other media

RADIOON-AIR. ONLINE. ON TARGET.

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• Mass reach comparable to TV and the Internet

• Americans are exposed to 14.6 billion hours of radio every month1

• A mobile and engaging medium

• Delivers content to consumers where and when they want it

• Via computers, laptops, smartphones and over-the-air

• Increases brand awareness, influences purchase behavior

• An efficient and effective medium

• Delivering ad messages on-air, online, on target and on demand

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Other Media

Radio

RADIO ACROSS ALL PLATFROMS

HAS AN IMPORTANT

ROLE WITHIN THE MEDIA MIX

RADIOON-AIR. ONLINE. ON TARGET.

Sources: 1) Arbitron Inc. listening hours calculations based on RADAR’s combined PPM and diary survey estimates (Persons 12+, Mon-Sun 6AM-Mid)