Radio: 2018's Fastest Growing Advertising Medium
July 31, 2018
The Fastest Growing Advertising Medium, Bar None.
Off the back of a tremendous Q1 2018, which saw radio ad spend grow by 12.5%, figures from WARC/AA released just last night have revealed that growth to be the fastest out of all advertising mediums.
Radiocentre’s Chief Executive Siobhan Kenny said:
“Radio is on a roll, and the medium continues to build momentum. After announcing record revenues for commercial radio and highest ever audiences earlier this year, these latest figures are further proof that the Audio Revolution is in full swing.
“Advertisers are recognising the true scale of the impact radio has for their brands and investing accordingly, so this boom for our brilliant industry shows no signs of slowing.”
Advertisers: think about your marketing mix. Are you getting the most out of your budget? If you're struggling to answer, why not check out our stations with the button below:
2018 has been a good year for radio with the very first Tuning In festival providing the backdrop for the Q1 results.
The festival which saw speakers from eBay and other massive players in the UK advertising market step forward to share how their advertising strategy has benefited from the power of radio advertising.
Now, with the news of the speed of the growth, it seems radio advertising is set for a bright future.
But how did it get there?
A Foundation of Trust
For us, trust is a precious commodity. With easy access to information and insights customers have become more informed and naturally sceptical. It's harder than ever to nurture trust in your customers buying journey in a way that's authentic.
And with data breaches, Analytica scandals and other digital goofs it's easy to see why advertisers are now looking for more of a stable platform for them to connect with customers who are quickly turned away by these types of stories.
Radio is most trusted medium for news, entertainment and ads.
As reported in the most recent public opinion survey undertaken by the European Commission, the Eurobarameter 88.
Trust is one of the most powerful currencies in business and marketing and it's currently high on the list of priorities of many brands.
“Trust in media is set to be a big topic of discussion in 2018, so it is really encouraging that this new research once again finds radio to be the most trusted medium in Europe."
-Siobhan Kenny, CEO of Radiocentre
With 48% of the UK public trusting radio, your customers will be ready and willing to engage with your radio advertisement. Remember: If people don't trust the medium, they won't trust the message.
Pinpoint Targeting When It Matters
As an advertiser you're under constant pressure to prove your marketing effectiveness. You need something efficient and cost-effective. Something you can guarantee will connect with your customers consistently at the times they're most likely to take action.
Not only that but you also need something that can provide your messages with the context to enable a meaningful interaction with someone who is engaged in an activity related to your message.
That's right, simply reaching your customers at the right times isn’t enough anymore. You need creative synergy, integration and context.
Because according to IPA Touchpoints; 92% of listening is done while listeners are engaged in another activity.
And if you need to see results, look no further than research conducted by Differentology, brands like McDonalds, Heinz and Deliveroo saw a sales uplift of 51% when they focused on targeted their customers when they were engaged in relevant activities.
That's where Radio comes in.
With strategic planning that delivers key touchpoints like drive-time, promotions, on-brand sponsorships and the ability to deliver relevance on a massive scale, radio provides pinpoint targeting when it matters the most.
Radio, according to Ebiquity:
"Is the most flexible medium as it can be used to target audiences by geography, demographics, context, time of day, day of week and addressability for listeners on connected devices”
Context is something we've discussed on this blog in detail. Read more here.
Big Short Term Sales Uplift, Without The Cost.
If you want your customers to know about your great deal you need to hit them hard and fast.
If you’ve done any research at all into this topic then you’ve probably come across a few different articles explaining that you need to hear or see something multiple times before it starts to sink in. Many industries address this with ad ‘frequency’. Frequency is essentially the amount of times your advert plays over a certain amount of times. Being played more results in more opportunities for your brand to be seen or heard.
However, with some advertising mediums where the costs are higher, increasing your frequency isn’t a viable option. The good news here is that some advertising mediums have been shown to naturally inspire more retention.
According to the Radiocentre, those exposed to radio were 52% more likely to include a brand name in their internet searches. Likewise, 58% went online within 24 hours of exposure to a radio ad to make a related search.
That’s the kind of immediate response you need.
Clear and Responsive Call To Action
In the same vein of logic that you’re considering your impactful entrance, make sure you’re considering your exit as well.
Powerful and impactful creative will win you eyes and ears, a solid call to action will win you the wallet. In fact, when Radio call to actions were studied by OutSmart, it was found that 61% of radio encounters generated a ‘do’ response. Likewise, those exposed to radio were 52% more likely to include a brand name in their internet searches.
A call to action can be as simple as a unique website URL, a telephone number, a text number or your store address.
Direct them – Make sure that you’re giving your prospects simple and easy instructions to push them down your sales pipeline without friction. Avoid things like phone
Put your call to action at the end of your advert - users prefer to learn about the offer before clicking a CTA- placing a CTA above the fold decreased conversions by 17%.
Keep it lean - Reducing clutter around a CTA increased Open Mile's conversion rate by 232%.
Low Cost Production and Delivery
Mediums like out of home and radio have, for a long time, delivered low cost audience per thousand. Radio, according to Ebiquity, delivers an average CPT (cost per thousand listeners) of £1.54. Out of home delivered an average CPT of £3.03.
But that’s just for the average price of airtime or advertising space itself, what about the cost of production?
According to the advertising decision makers interviewed by Ebiquity, radio production costs only accounted for 2.7% of all media cost. Take this with a pinch of salt. Your budget will change depending on your marketing objectives but, in terms of short terms sales response campaigns (which won’t run for extended periods of time), the information provided here should prove that you can advertise your promotion without breaking the bank.
Radio, the Sound Investment
With the news that radio is the fastest growing advertising medium, you need to ask yourself a question. Are you getting the most out of your advertising budget?
If not, it's time to talk to one of our radio specialists today.