With services like Netflix, Hulu, Disney+, and Amazon Prime Video commanding significant attention and ad dollars, even the streaming giants are turning to radio and podcasts to effectively promote their platforms in an increasingly crowded and chaotic marketplace.
Analysis by Cumulus Media/Westwood One Audio Active Group, drawing on data from Screen Engine/ASI’s quarterly tracking studies, highlights the critical role of audio media in reaching streaming audiences. The findings, spanning Spring 2023 to Fall 2024, show that audio platforms are uniquely positioned to complement traditional TV campaigns and deliver strong results.
Streaming platforms have seen dramatic growth in viewership, with Nielsen reporting that video streaming’s share of total TV time has climbed from 26% in 2021 to 40% in 2024. Despite this growth, consumer behavior is shifting as Americans cut back on ad-free video subscriptions, dropping from an average of 4.8 in Spring 2023 to 3.8 by Fall 2024. At the same time, ad-supported streaming subscriptions grew from 2 to 2.7 per person, reflecting a broader shift toward affordability and new revenue strategies by streamers.
The study also revealed a key demographic alignment between heavy audio listeners and video streamers. Younger audiences, households with children, and working professionals — the core streaming audience — closely mirror the profile of podcast and AM/FM radio listeners. By contrast, linear TV viewers tend to skew older and are less likely to align with these target demographics.
Despite allocating 92% of their media budgets to linear TV, video streamers see comparable ad recall rates among heavy podcast and AM/FM listeners as they do with heavy TV viewers — 33% for both groups, while audio is available at a fraction of the cost. In the first nine months of 2024, Apple, Hulu, Disney, and ViX ranked as the leading advertisers on radio.
Radio’s ability to extend campaign reach is another major selling point. Nielsen data shows that AM/FM radio outpaces linear TV in reach, especially among younger demographics and light TV viewers. For instance, reallocating just 20% of Hulu’s TV budget to AM/FM radio increased its reach by 76%, with remarkable lifts in key age groups: 18-24 (+226%), 25-34 (+171%), and 35-44 (+122%).
As streaming giants – and the advertisers that use them – are looking to cement their dominance and resonate with a dynamic audience, radio continues to provide the sound of success.
