As consumer budgets tighten and media choices multiply, a brand best known for its direct mail efforts is taking time to advocate for terrestrial and streaming radio, with work with more than 65,000 small and mid-sized businesses across 120+ markets to prove it.
In a recent episode of BIA Advisory Services’ Leading Local Insights podcast, Valpak Chief Sales Officer Jay Loeffler dove into what the company behind the bright blue envelope full of coupons knows about local advertiser behavior – and why audio is still a crucial part of the equation.
While Valpak’s delivery method may be physical, its advertising platform is digital, with insight into millions of buying households, representing clients across geo-targeted mobile, social, and audio buys to extend the reach of mail offers and to reinforce frequency.
That includes working directly with radio companies like iHeartMedia on targeted campaigns, which Loeffler discussed with BIA Managing Director Rick Ducey. Valpak uses musical genre preferences and artist affinity data to pair advertiser offers with relevant audiences. A campaign targeting country music fans might feature Luke Combs; hip-hop audiences might hear Kendrick Lamar.
The audio is paired with digital display, CTV, and direct mail to create a complete, “surround-sound” experience. Another plus for radio: despite economic uncertainty, Loeffler noted that Main Street advertisers have remained active and engaged.
While only 44% of surveyed businesses had a positive view of the current economy, 61% expect revenue to grow in the next year. 55% plan to expand operations, and 78% say marketing is more important than ever. Loeffler noted that many small businesses, typically under 20 employees and less than $1 million in annual revenue, have become resilient and adaptable in the face of policy changes, inflation, and tariffs.
For example, instead of pushing high-dollar purchases, many advertisers are focusing on lower-cost services that still address urgent consumer needs. Loeffler pointed to HVAC as a clear example: when interest rates were lower, the offer was often a system replacement. Now it’s about servicing and maintaining that system.
The value proposition shifts from “replace now” to “keep it running” to meet consumers where they are, financially and psychologically, when large-ticket spending slows.
“There’s no one-size-fits-all magic bullet,” Loeffler said. “It differs by vertical, by geography, by seasonality,” but what’s encouraging is that local businesses aren’t retreating, they’re adapting. They’re testing, learning, and adjusting in real time.
A recent academic media analysis of the past decade of radio ad performance finds that including AM/FM in media plans boosts profit growth by 42 percent, increases pricing power by 17 percent, and delivers an average ROI of $10.59 per ad dollar. Those are the exact kind of strategic gains local businesses are seeking as they recalibrate offers and test new pricing.
For media partners, that means there’s fresh opportunity to help advertisers rethink not just how they message, but what they offer, what they measure, and where they spend – which opens doors for local radio sellers.
