(by Lora Lewis) Charlie Sislen led off the NJAB Conference Super Session Thursday called “The Power of Radio,” paraphrasing Mark Twain: rumors of radio’s death are somewhat premature. In fact, he argues that 2016 is radio’s golden age. Nielson VP Rich Tunkle offered proof in the form of research that radio is still the most used media, and the most effective, thanks to less fragmentation.
Tunkle said the typical consumer in one month may interact with multiple apps and 20 television channels, but only seven radio stations, making a radio advertising campaign more cost effective. Tunkle added that 80% of consumers still rely on traditional platforms for listening and said, “More millennials will engage with radio in a day than will engage with Pandora in a month.”
Tunkle also unveiled new research on ROI for six spending categories including fast food and retail. In the radio ROI study, Tunkle says telecom advertisers got $14 back for every dollar spent. Department stores did even better, pulling in $17 for every dollar spent. Home improvement was $10 to $1.
Pierre Bouvard continued radio’s good news. He said in the current audio landscape AM/FM owns 52% of all audio engagement, it has five times the reach of Pandora, and 15 times that of Spotify. Advertisers, he notes, have the wrong perception of the share radio owns. “It is still number one in media time spent throughout the day and AM/FM is still reaching 92 % of adults each week.”
Katz Radio’s Stacey Lynn Schulman agreed: “Be bullish on radio.” She also pointed out the power of radio’s massive reach, noting that Pandora and other on-demand formats have to “one-sy” and “two-sy” their way to results. Radio is measurable, credible, and accountable.