Advertisers spend almost as much on digital radio ads as broadcast radio ads

Learn how digital radio is closing the gap on traditional radio

Digital radio is an excellent medium for advertisers. It’s an underexploited market that offers advertisers a captive audience, as listeners cannot change the station or turn off the radio. In addition, digital radio ads have higher brand recall than digital audio ads and are cheaper than online video ads. 

The number of people listening to digital radio has soared in recent years. As of 2018, more than 70 million Americans listen to digital radio every week and almost half of all time spent listening to music is on streaming services such as Pandora and SiriusXM

Advertisers have taken note of this trend and are spending increasing amounts on digital radio ads. In fact, advertisers now spend almost as much on digital radio ads as they do broadcast radio spots.

Digital radio closing the gap on traditional broadcast radio 

Digital radio continues to grow strongly in the United States as consumers continue to transition from traditional AM/FM broadcasts to listening online or via digital streaming services. According to Nielsen’s Listeners Now: Audio Report, a growing number of Americans are tuning into their radios digitally, and that shift is having a major impact on the industry. 

Digital radio listenership has grown steadily over the past decade, primarily among those aged 18-34. This younger segment favors digital radio for its unique mix of music genres and niche programming. In fact, a recent study by Edison Research found that among users who listened to terrestrial radio at least once per week, 44 percent of them streamed it digitally via smartphone apps or websites. This is a significant increase from three years ago when only 27 percent used digital streaming services to listen to terrestrial radio.

The growth of digital radio isn’t just an isolated trend; it’s revealing an overall transition away from traditional broadcast AM/FM frequencies and toward listening online or via streaming services. Here are some key facts about this ongoing transition and how you can use them to your advantage as a business owner.

The rise in popularity of podcasts is a driving factor

The rise in popularity of podcasts is a driving factor for digital radio ads. In 2018, podcasts became a key platform for brands to connect with millions of listeners, who are increasingly tuning out traditional advertising. According to a recent Nielsen survey, 47% of podcast listeners say they regularly skip through advertisements, and only 6% say they listen to them.

The growth of podcasts creates a unique opportunity for brands to reach engaged, receptive audiences. In 2018, more than 48 million Americans listened to at least one podcast each month, up from just 9 million in 2008. That makes podcast listeners the most engaged audio listeners – more than double the reach of traditional radio listeners.

Brands are switching to digital radio instead of social media for better ROI

Digital radio has proven to attract a much bigger audience and give them the freedom to listen to your ads whenever and wherever they want. Digital radio can offer listeners better audio quality and unlimited usage, with no ads interrupting the broadcast. Digital radio is also easier to access via smart devices, such as tablets and smartphones.

Work With Hybrid Media To Create A Radio Campaign

For professional help creating and running your national radio ad campaign, work with the team at Hybrid Media. Put our team’s 300+ years of marketing and media experience to work for you.

Direct Response advertising focuses on delivering ROI by quickly capturing the attention of listeners and leading them to a call to action. At Hybrid Media, we purchase millions of dollars of low-cost media each week, resulting in significant savings for all of our clients. How much can you save?

Contact us for a free consultation today!

At Hybrid Media, we purchase millions of dollars of low-cost media each week, resulting in significant savings for all of our clients.

Contact us today to find out how much you can save by working with the radio advertising experts at Hybrid Media to create and run your national radio campaign.

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