As radio battles to keep its place in the automobile dashboard, new data shows the importance of the fight. While over-the-air radio remains the dominant choice for ad-supported in-car listening, mobile audio habits are also shifting toward streaming services.
Edison Research’s Share of Ear report for Q3 2024 highlights how, for Americans listening through their phones in the car, streaming music is the preferred audio source.
Among US consumers aged 13 and older, streaming music accounts for 53% of in-car mobile audio consumption, far surpassing podcasts (17%) and owned music (14%). Other formats, including YouTube (9%), audiobooks (4%), AM/FM streams (2%), and SiriusXM (1%), hold smaller shares of mobile listening in cars.
This rise in mobile audio consumption comes as the use of phones for in-car listening continues to climb. In 2014, 15% of in-car audio users listened on their phones. A decade later, that number has nearly doubled, with 29% of listeners now using mobile devices in the car.
While a 2% share seems bleak, Edison’s latest report also shows that AM/FM captures 86% of in-car ad-supported audio time, even maintaining an 82% share among drivers aged 18-34.
The rise of mobile listening presents both challenges and opportunities for radio broadcasters. On one hand, the 53% share of mobile in-car listening claimed by streaming services like Spotify and Apple Music highlights a growing preference for on-demand, personalized content. On the other, the relatively small 2% share of AM/FM radio streams indicates a potential gap in reaching listeners through mobile platforms and the effectiveness of radio stations in advertising their apps.
As automakers position themselves to remove AM radio from vehicles, the risks for broadcasters become more pronounced. While AM/FM retains its stronghold as the dominant ad-supported platform, drivers may not be primed to seek out AM/FM streams on their phones if in-dash radios disappear.
