As COVID-era work-from-home policies dwindle, radio stands to see increased engagement from American commuters. As of June 2024, over 70% of employed adults are now commuting, according to data shared by Katz Radio Group.
The analysis by Katz, using YouGov information, shows a 29% increase in commuting since 2020, with the 30-44 age group leading the trend at 76%, followed by the 18-29 age bracket at 74%. The latter group saw the largest rise in commuting frequency, surging by 41% since 2020.
The rise in commuting has consequently led to increased car usage, underscoring the importance of AM/FM radio as a vital medium for reaching this expanding audience. Katz paired the new data with its previous findings about traffic flow – the latest 2023 Global Traffic Scorecard from INRIX reveals a significant uptick in traffic congestion, costing American drivers an average of 42 hours annually.
Most major radio markets are experiencing even higher congestion rates. Notably, New York City, Chicago, Los Angeles, and Boston have more than doubled the national average, with New York City leading globally at 101 hours of traffic per year.
Edison Research’s Q4 2023 Share of Ear report shows AM/FM commands an 86% share of ad-supported audio in cars, maintaining its dominance since 2017. As office commutes rise, traditional radio remains crucial for reaching out-of-home audiences. In contrast, digital audio platforms like Spotify and Pandora, typically enjoyed at home, have seen less impact from the commuting trend.
Out-of-home advertising has seen a boost from the return to offices, but Veritonic found that audio ads largely outperform billboards in memorability and purchase intent, with 60% of respondents recalling audio ads more vividly and 51% more likely to make a purchase after hearing one.
While audio ads also outperformed display, video, and social media ads in recall and purchase intent, the lead was less pronounced but still substantial. For instance, audio ads had a 49% higher recall than display ads and were 33% more memorable than social media ads. Regarding purchase intent, 40% of listeners showed a higher likelihood to buy after hearing an audio ad compared to those exposed to social media ads.
This data underscores the strategic advantage of integrating traditional radio into advertising campaigns.