Digital Revenue Continues To Grow For Radio


BIA/Kelsey is reporting that digital revenue for radio increased 14% in 2016, to $811 million, compared with only a minor increase in over-the-air revenue. The new data is part of BIA/Kelsey’s first-quarter Investing In Radio Market Report. Over-the-air revenue was flat at $14.1 billion, according to the new report, and the News-Talk category experienced an overall improvement in 2016, likely due to the presidential year.

BIA Kelsey SVP and Chief Economist Mark Fratrik said, “In an age where consumers have many entertainment choices, local radio maintains its strength and popularity in the marketplace among national and local advertisers. Our forecast also notes that by 2021 we expect radio to surpass newspapers and become the fifth-largest media category among advertisers.”

Fratrik added that the prospects for 2017 remain similar, with OTA revenues increasing less than one percent and online about 12 percent. BIA/Kelsey forecasts that the radio industry’s revenue in 2017 will reach a total of $14.9 billion, representing 10.5% of the $148.8 billion U.S. local advertising marketplace as estimated by BIA/Kelsey.

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