Radio has the ability to reach small business owners and self-employed workers.
Radio drives awareness, relevance, and consideration for B2B advertisers.
B2B professional/managerial adults trust radio.
Radio is a source for education as well as entertainment for B2B professionals/managers:
Radio is an aid for many business owners:
Radio drives online activity for B2B and consumer campaigns.
Federal Contractor Builds Awareness with Radio
Sources: 1) Scarborough USA+ 2020 Release 1 Jan 2019 - May 2020; 2) radioGAUGE from the RAB U.K [strongly agree scores]; 3) MRI-Simmons Doublebase 2020; Adults 18+ who are business-to-business professional/managerial; 4) MRI-Simmons Doublebase 2020; Adults 18+ who are business-to-business professional/managerial; 5) MRI-Simmons Doublebase 2020; Adults 18+ who are self-employed in their own business
An analysis by Media Dynamics Inc., of varied weight level schedules illustrates that the greater the number of stations included within a buy will deliver higher reach and lower frequency when compared to those same weight levels purchased on fewer stations.
The analysis also showed that as weight levels increased, reach levels also increased. The same was also true as additional stations were included within the buy at those same increased weight levels.
It is important to determine the goal of the overall campaign. The goal will determine the structure of the plan. Simply stated: A reach campaign should include numerous stations over an extended period of time. If the goal is to increase frequency, then the converse is true: Reduce the number of stations and weeks and increase the number of spots placed on the stations purchased.
By Multiple GRP, Week and Station Levels
Radio remains relevant in today's world of time-starved consumers. As the original mobile and social medium, it provides programming content meeting the entertainment needs of people according to their demography, geography, ethnography, etc., via its thousands of commercial radio stations, streams, multicasts and podcasts.
Radio is ubiquitous, reaching consumers on-air, online, on-site and on demand whether they are at home, at work or in their car. It is a passive medium allowing consumers to multi-task and listen while they work or play in today's world.
It is a reach medium, delivering messages 24/7 to consumers personally, one-on-one, in an attentive environment. It provides information as it reaches consumers closest to their time of purchase, as they drive to or from work, or even during a lunch break. When used synergistically with other media, it increases brand awareness, brand recall, and an advertiser's ROI. In various studies, it has also proven to increase website visitation and purchase likelihood.
Radio's core strength continues to be the power of words and sound. With its human voice to convince, it can be used as a branding medium. Advertisers continue to use radio personality endorsements to build trust and drive business, with these same personalities often providing personal experiences with the brand, on-air mentions and authentic chatter within their shows.
Radio is resilient. Its accessibility continues to expand with technology. Innovations in this same technology are both enhancing and expanding radio's ability to provide content to listeners whenever, wherever they want it on-air, online, or on demand. Today's technologies can increase and enhance the consumer's radio experience thru text messaging, mobile applications, visual experiences, time shifted listening via podcasts, and even on smart speaker devices.
There have been studies that prove radio's ability to complement other media and drive brand awareness, as well as increase return-on-ad spend. Additionally, as today's advertisers and agencies begin to focus on attribution, radio can now quantify its impact on campaigns. Various organizations can now pinpoint shifts in behavior with digital technology.
As the top source for music discovery and audio entertainment, radio has a dominant role among listeners of all generations and age groups. Radio and the personalities on those stations are companions, something that keeps the listener company, elevates their mood, informs them and makes them think and laugh.
Which commercial length is most effective? This is a difficult question to answer, as spot length must be dictated by the goal of the message. Allowing an ad budget to dictate the length of the ad is the most common mistake made by advertisers. Never try to get by with :15s and mentions when :30s or :60s are called for to adequately convey your message.
If your budget is limited, reduce Reach instead of cutting the length of your ad, or buy a less expensive time of day or advertise on a smaller station. Ad messages must always be exactly as long as they need to be or nothing else will matter.
Following are some parameters to keep in mind when determining what length spot you need to create. Additionally, keep in mind that for some ad categories, commercial length may be pre-determined based on boilerplate disclaimers required by law.
Mentions (:10 or less)
Source: "Radio Ads: How Long Should They Be?" by Roy Williams, founder and president of The Wizard of Ads
The commercial length and effectiveness can be impacted by various elements such as the number of brand mentions or ideas within the ad and even by the ad's format. According to Radio Recall Research, LLC, ad formats depicting a "Slice of Life" have the greatest recall across both :60 second and :30 second ads -- 22% and nearly 19%, respectively, Interview/Testimonials ranked second across both lengths. Announcer/Sing & Sell formatted commercials had the lowest recall scores with :60 and :30 second spots -- nearly 16% and 14%, respectively.
The number of brand mentions contained within the traditional length commercials also has a positive effect on recall. Commercials with less than 3 brand mentions scored the lowest in contrast to those that had 6-10 mentions. Typical spots that contained anywhere from 4-5 mentions delivered 19% for 60-second spots and 17% for 30-second spots.
60-second spots have a higher recall than 30-second spots; they also normally have more words than 30-second spots. The number of words in a commercial correlates more to recall than the length of the commercial.
If two commercials are exact in length, the commercial with the greater amount of words will have a higher recall.
As the audio landscape broadens, connecting with listeners’ ears is more important than ever. It is important for advertisers and marketers to not only reach listeners but also understand the impact and effectiveness of various ad lengths.
So, is there a difference in effectiveness between a short or long form ad? The answer? It depends.
Source: Integrating Short-Form Audio Ads Into Your Strategy, Pandora, 2019
Smart speakers are amplifying the audio experience as more Americans are adding them to their households annually.
A podcast is a series of on-demand audio files that focus on a certain topic or have an overall theme. They are free to listeners and can be downloaded online, via smartphones, computers, or tablets. Thousands of podcasts are produced weekly, and listeners can subscribe to their favorite podcasts to get notified when a new episode becomes available.
Brands seek celebrity or radio personality endorsers because they are well-known in their communities and listeners feel a certain bond with radio hosts.
Radio, with its human voice to convince, can be used to persuade and influence listeners.
Radio listeners have a strong personal connection with radio station personalities. 87% of radio listeners know any personal detail about their favorite on-air radio personalities/DJs.2
Listeners have an emotional connection with on-air personalities.
Since listeners feel connected with radio personalities, their statements about brands and product recommendations are assumed to be based on personal preferences.
As the original social media influences, DJ endorsements work well to build trust, drive business and website traffic for advertisers.
Radio and DJ endorsements are great at reaching a large number of consumers and getting them to your location, and can be customized by brand:
*Visit www.rab.com for additional case studies.
The U.S. 12+ population base increased from 308.6 million in 2010 to 329.4 million in 2020 according to the U.S. Census Bureau. As of December 2020, one of AM/FM radio’s key factors is its ability to reach 238.3 million listeners.
With the plethora of new media choices, radio still offers near universal coverage of the broad 12+ demo, underscoring radio’s appeal to listeners young and old.
(Source: Nielsen, RADAR 147, December 2020, Monday-Sunday 24-Hour Weekly Cume Estimate)
An important element of any campaign is to ensure that it is effective.
Frequency is a key component.
Sources: (1) RAB analysis of Mike Naples “Effective Frequency” (2) Nielsen, 2016 - total 898 (3) FCB Research)
Frequency Wearout - Download Slides
Calculating Reach vs Frequency
When gearing up for a campaign, it’s essential to be able to communicate to an advertiser how many people will hear their advertisement and how often throughout the radio campaign. Here are the definitions and formulas you need to give provide this information.
How to Calculate:
AQH Persons ÷ Population = AQH Rating %2
AQH Persons x # of commercials in ad schedule = GIs%1
AQH Rating x # of commercials in ad schedule = GRPs1
How to Calculate:
GRP's (%) ÷ Frequency = Reach (%)3
How to Calculate:
Gross Impressions ÷ Net Reach = Frequency2
For additional radio terminology, click here
For additional radio formulas, click here
Sources: 1) AAAA, RAB, Universal Spot Radio Buying and Selling Terms; 2) Nielsen Terminology and Definitions for Nielsen Radio Diary Service; 3) Fortune-Media Planning & Placement, Media 101
Since the pandemic hit, the percentage of Americans who have driven/ridden in a car in the last month has decreased from 88% in 2020 to 83% in 2021.1 Despite newer technologies evolving as options for in-car entertainment, on-the-go consumers still prefer radio as their top in-car selection.
According to The Infinite Dial 2021:
Radio’s Share of Ear In-Car.2
Out-of-home listening is mostly in vehicles.
According to Jacobs Media Techsurvey 2020:
Sources: 1) Edison Research, The Infinite Dial 2021; 2) Edison Research, Share of Ear 2020; 3) Edison Research, The Infinite Dial 2020, New Music Seekers; 4) Voicebot, In-Car Voice Assistant Consumer Adoption Report, January 2020
Sources: 1) Katz Media Group, Our Media, 2019; 3) Westwood One, Cumulus Media VERITONIC, Do Disclaimers Ruin Tier Two Auto Ads, May 2018; 4) Westwood One; VERITONIC; Testing of US-focused award winners at Cannes Lions, Radio Mercury Award finalists and winners 2018; 5) Westwood One, Nielsen Catalina Solutions, Groundbreaking Research Proves AM/FM Radio Delivers Strong ROI for Personal Care Brand, 2018; 6) Westwood One, Maru/Vision Critical, New Breakfast Brand Successfully Uses AM/FM Radio to Build Awareness and Drive Purchases, 2019; 7) Nielsen Studies 2014-2016
Definitions as per the American Marketing Association:
This list has been compiled solely to provide sources of monitoring services available for Radio in response to frequent requests for this information and in no way implies RAB endorsement of any specific company.
Kantar Media - Ad Verification
Critical Media212 400-8674
Sources: 1) Media Monitors, Sequent Partners, In4mation Insights, RAB, Radio Drives Search, 2017; 2) Dial Report & RAB, Radio Drives Store Traffic, 2018; 3) NumericOwl, RAB Radio Drives Auto Search, 2020; 4) NumericOwl, RAB, Radio Drives Auto Insurance Search, 2020; 6) Nielsen Campaign Effect Study - A Leading Video On Demand Streamer/NFL on WestWood One 2020; 7) Norbella for Bertucci’s case study; 8) Katz Media Group, Our Media, 2019; 9) Impact Radio Group, Iliad Media Group, Boost Idaho Business Case Study
Source: 1)Westwood One, Nielsen, Case Study: AM/FM Radio Generates Incremental Reach and Amplified Frequency for TV Tune-in Campaign, May 2018; 2) NumericOwl, RAB, Radio Drives Life Insurance Search, 2019 3) Nielsen, SBCA, The Value of SoCal Radio to the Auto Industry, 2019; 4) Westwood One, Nielsen, AM/FM Radio Makes Your TV Better 2018; 5) Nielsen PPM Custom Analysis, July 1-28, 2019 / P6+ unique audience exposed to a major wireless campaign on TV & Radio; 6) Jacobs Media, Tech Survey 2020; 7) Katz Radio Group, Our Media, 2019
Sources: 1) The Nielsen Total Audience Report, April 2020; 2) Nielsen Total Audience Report November 2020; 3) RAB; Statista, Radio Listener Monitor 2020; 4) MRI-Simmons Doublebase 2020; 5) Jacobs Media Tech Survey 2020; 6) Edison Research, The Infinite Dial 2021; 7) YouGov, Global study: Which types of ads do people trust, 2021; 8) The Media Audit 60 Market Aggregate 2020; 9) Katz Radio Group, Our Media, 2019; 10) NumericOwl, RAB Radio Drives Search For Auto Insurance 2020
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Optimum Effective Scheduling (OES) is a concept created to reach the majority of a radio station’s listeners 3 or more times by distributing ads evenly throughout a week.
Message retention and recall begins after three exposures. This is referred to as effective reach. The principle behind OES is concentration and repetition.1 An OES schedule generally consists of 35-60 commercials per week.1
Three-Step OES Formula:1
How to Calculate:
Radio Station Cume Audience ÷ Average Quarter-Hour Audience = Turnover Ratio
How to Calculate:
Turnover Ratio x 3.29 = Spots Per Week
Source: 1) Radio Advertising’s Missing Ingredient: The Optimum Effective Scheduling System, Steve Marx and Pierre Bouvard
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