Radio Delivers Massive Reach in Real Time

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1 [ PART 1 ] LANDSCAPE 2013 Radio Delivers Massive Reach in Real Time 1

2 What any content company aspires to is impact, and the best way to create impact is simultaneous mass. And the only way to reach simultaneous mass is by getting something on the radio. Mark Shimmel, COO, Epic Records Source: Advertising Week 2012 Conference 2

3 PART 1 Delivers Massive Reach in Real Time Engages and Influences Listeners Digital Technology Enables Expansion and Interaction Delivers Outstanding Results Thriving 3

4 mass reach 4

5 Radio s Assets Drive Its Mass Reach Radio remains important to listeners Favorite songs and local personalities rank highest Source: Jacobs Media TechSurvey 8; Based on 170 stations 12 radio formats 57,358 radio listeners 5

6 Radio s Assets Drive Its Mass Reach 4 emotional triggers that listeners value. A radio on while they work Gets them get in a better mood A feeling of companionship An escape from pressures of everyday life Source: Jacobs Media TechSurvey 8; Based on 170 stations 12 radio formats 57,358 radio listeners 6

7 today s 243 radio Million audience If the radio audience were a country, it would be the 4th largest in the world! Source: RADAR 116 March 2013, Arbitron (Persons 12+, Monday-Sunday 24-Hour Weekly Cume Estimates), 395,844 sample 7

8 90% radio reach of every age segment weekly OVER Source: RADAR 116 March 2013, Arbitron (Persons 12+, Monday-Sunday 24-Hour Weekly Cume Estimates), 395,844 sample 8

9 Nearly Everyone Uses Radio. In Real Time. Every Week. Radio reaches over 90% of virtually every segment of the population. That has been true year after year and remains true today. 92% 91% 92% 95% 94% 95% 93% 95% 95% 95% 95% P 12+ P12-24 P P P Hisp AA/Blk Weekly Radio Usage W P Col Ed, HH $75K+ P Col Ed M Emp Source: RADAR 116 March 2013, Mon-Sun 6A-Mid 9

10 Radio Has Greatest Weekly Reach of Young Adults vs. Other Media 94% Weekly Media Exposure 91% Adults % 80% 51% Listened to Radio Past 7 Days Read Any Newspaper Past Week Watched Any TV Past Week (M-Su, 5a-2a) Watched Any Non- Premium Cable Past Week Spent Any Time on Internet Past Week Source: Scarborough USA+, Release USA Adults (Sample Size: 28,781) 10

11 Radio s Weekly Reach of Adults Is Greatest of Major Media 94% Weekly Media Exposure 87% 82% 85% 58% Adults Listened to Radio Past 7 Days Read Any Newspaper Past Week Watched Any TV Past Week Watched Any Non- Premium Cable Past Week Spent Any Time on Internet Past Week Source: Scarborough USA+, Release USA Adults (Sample Size: 86,420) 11

12 Radio Delivers Prime Consumer Targets 94% 94% 93% 94% Purchased Women's Business Clothing (in past year) HH Planning to Buy/Lease a New Compact Car HH Financed Home Mortgage Frequent Fast Food Restaurants (10x past month) Source: Scarborough USA Release 2 (12 months only) 12

13 Radio s Share of Audio Usage Dominates Throughout the Day % Share of Audio Usage by Source Average Weekday Adults Source: MBI USA TouchPoints Note: AM/FM Radio includes radio station streams; Music Streaming Service includes iheartradio, Pandora, Rdio, Slacker, Spotify, etc. 13

14 Radio Dominates Among Audio Options 57% Adults % 13% 9% 5% AM/FM Radio CD Players ipods / MP3 players Satellite Radio Music Streaming Service Non-Exclusive Daily Reach (%) by Audio Source - A18-64 Source: MBI USA TouchPoints Note: AM/FM Radio includes radio station streams; Music Streaming Service includes iheartradio, Pandora, Rdio, Slacker, Spotify, etc. 14

15 Young Adults Prefer Broadcast Radio 51% Adults % 16% 9% 8% AM/FM Radio ipods / MP3 players CD Players Satellite Radio Music Streaming Service Non-Exclusive Daily Reach (%) by Audio Source - A18-34 Source: MBI USA TouchPoints Note: AM/FM Radio includes radio station streams; Music Streaming Service includes iheartradio, Pandora, Rdio, Slacker, Spotify, etc. 15

16 AM/FM Radio Is The King of In-Car Media % Using Almost All of the Time or Most of the Time In The Car AM/FM Radio 58% CD player 16% ipod/mp3 Player 11% Satellite Radio 10% Online Radio 4% HD Radio 1% Source: The Infinite Dial 2013 Arbitron Inc./Edison Research Base: Driven/Ridden in Car in Last Month, age

17 The Second Most Used Platform Today % Population/Household Penetration Source: TV HH, Nielsen Cross Platform Report March 2013; wkly Radio, Arbitron RADAR 116 March 2013 M-Su M-M; Internet, Pew Internet & American Life Project Setptember2012 Study; DVR,, Video Game Consoles Nielsen May 2012 National People Meter Panel; Cable & ADS November 2012 Nielsen Report; Online Radio, Smartphones, ipods/mp3s, Tablets and Social Net Usage Edison Media Infinite Dial: 2013; Hi speed Internet Access from Pew Internet & American Life Project May, June 2012 Tablets Pew Internet & American Life Project October 3, 2012; satellite radio, Scarborough USA Plus - Release Month; Twitter, Pew Research Center s Internet & American Life Project Post-Election Survey, November 14 December 09, N=1,802 internet users. Interviews were conducted in English and Spanish and on landline and cell phones 17

18 QUESTION: On a 7-day average, how long do people listen to the radio each day? ANSWER: 2hrs 36min Source RADAR 116 March 2013 Monday-Sunday 6AM-Midnight for Persons

19 Radio Accounts for Second Largest Share of Adult Consumers Media Usage Share of Daily Media Minutes Adults Source: MBI USA TouchPoints / Note: TV includes time-shifted viewing; AM/FM Radio includes radio station streaming; Internet excludes , but includes internet usage via PC, mobile, tablet, and ereader; Newspapers and Magazines include digital readership; Book includes via print, PC, mobile, tablet, and ereader; Streaming Movie includes via PC, mobile, tablet, and ereader.. 19

20 Radio The Original Social Network Connects with Young Adults On a typical day in the USA, of people 18-34: 48 Adults In Millions 65% more will use Radio than will go to Google Search % more will use Radio than will go to Facebook % more will use Radio than will go to YouTube 5 850% more will use Radio than will go to Twitter RADIO Every day, more than 2/3 of people invite Radio to be a major part of their lives Source: comscore Inc Ratings for February 2013 Average Daily Unique Visitors 18-34, factored to include mobile and pc; RADAR 116 March 2013, P18-34, 6A-12M 20

21 AM/FM Radio Is The Top Source For Music Discovery % Who Ever Use Each Source to Learn About and Keep Up-To-Date With New Music AM/FM Radio Friends/Family YouTube Music Television Channels Facebook Pandora Apple itunes Information/Displays at Local Store SiriusXM Satellite Radio Music Blogs iheartradio Spotify 16% 15% 14% 8% 44% 41% 39% 37% 30% 55% 73% 78% Source: The Infinite Dial 2013 Arbitron Inc./Edison Research Base: Those saying it is Very Important or Somewhat Important to Learn About and Keep Up-To-Date With New Music 21

22 consistent performance 22

23 Men and Women Tune-in Weekly Men 18+ (000) 106, ,112 Women 18+ (000) 111, ,519 Mar '12 Mar '13 Mar '12 Mar '13 And spend more than 2-1/2 hours a day with AM/FM radio Source: RADAR 112 March 2012 and RADAR 116 March 2013, (Monday-Sunday 6A-Mid Weekly Cume ) Men 18+ and Women 18+ Listeners 23

24 Multi-Cultural Radio Listening Remains Consistently Strong Hispanics African-American 16,518 17,191 16,788 15,303 12,337 12,674 14,247 14,600 Men 18+ (000) Women 18+ (000) Men 18+ (000) Women 18+ (000) Mar'12 Mar'13 Mar '12 Mar '13 And spend more than 2 hours a day with AM/FM radio Source: RADAR 112 March 2012 and RADAR 116 March 2013, (Monday-Sunday 6A-Mid Weekly Cume) Hispanic and African-American Men 18+ and Women

25 More Young People Listen to Radio Each Year ,407 66,476 Adults (000) Mar '12 Mar '13 And spend nearly 2-1/2 hours a day with AM/FM radio Source: RADAR 112 March 2012 and RADAR 116 March 2013, (Monday-Sunday 6A-midnight Cume and Daily TSL Estimates) Adults

26 Satellite Radio Doesn t Deliver Consumer Targets in USA or Top Markets 94% 95% 93% 94% 92% 93% 92% 93% 93% 93% 93% 11% 9% 11% 10% 9% 13% 14% 11% 10% 12% 12% USA LA NY Chicago SF Phila Wash DC Atlanta Boston Dallas Houston Radio Listen to Satellite Radio Source: Scarborough Release (Aug 2011 Aug 2012) Adults 18+, M-Su 6a-Mid Metro Area 26

27 strategic timing 27

28 listening to radio is live, not later Messages are delivered when and where they will perform best for an advertiser 28

29 Radio Reaches More Young People Than Any Other Medium From 5 a.m. 5 p.m. 50% 53% Adults % 38% 30% 20% 10% 0% 5 am-9 am 9 am - 5 pm Radio TV Internet Magazine Newspaper Source: GfK MediaDay 2012 (Fieldwork 11-12/Doublebase Respondents) weighted to population (000) Base A18-34, Mon-Sun. 29

30 Radio Is the Most Used Medium Closest to the Point of Purchase 0% 20% 40% 60% 80% 100% Radio TV live Internet via pc Other computer applications Music/audio (no radio) Other media Mobile TV DVD TV DVR Games Books Newspapers TV VOD Magazines Other reading Newspapers online E-books Magazines online % of Weekday Afternoon Reach 81.8 % Adults Source: MBI USA TouchPoints 30

31 Shopping Peaks Between 1 2 P.M. 30 SHOPPING PEAK (1P-2P) % of Adults Shopping By Time of Day Persons a 7 a 8 a 9 a 10 a 11 a 12 p 1 p 2 p 3 p 4 p 5 p 6 p 7 p 8 p 9 p 10 p 11 p Source: MBI USA TouchPoints 31

32 Radio Is the Strongest Pre-Shopping Medium 40% 30% 40% 37% 31% 29% Adults % 23% 20% 10% 0% 17% 15% 12% 9% 8% 6% 6% 5% 5% 5% 4% 4% 3% 3% 2% 1% 1% 1% AM/FM Radio Live TV Internet Mobile web/app Social Networking Print 2 hours before 90 minutes before 1 hour before Half-hour before Source: MBI USA TouchPoints 32

33 When The Lights Go Out October 29 th 2012 Hurricane Sandy Sandy Arrives The Day After Sandy Leaves Market % Inc. 10/29 Avg vs. 10/22 % Inc. 10/30 Avg vs. 10/23 % Inc. 10/31 Avg vs. 10/24 NY Metro 70% 8% 12% Nassau-Suffolk 245% 40% 27% Middlesex- Somerset Union 195% 57% 43% Stamford/Norwalk 367% 63% 79% Staten Island 42% -3% 47% Monmouth NJ 247% 69% 153% radio goes on Source: PPM New York Metro by County, November Wk , Mon. 7p-12m, Tues. 6a-12m, Wed. 6a-12m, P6+PUMM 33

34 for additional information (USA TouchPoints) Any brand names, product names, or titles used in this presentation are trademarks, trade names and/or copyrights of their respective holders. All images are used for purposes of demonstration only, and the entities associated with the products shown in those images are not affiliated with Arbitron in any way, nor have they provided endorsements of any kind. No permission is given to make use of any of the above, and such use may constitute an infringement of the holder's rights. 34

35 Catch Parts Two and Three Radio Delivers Massive Reach In Real Time Radio Engages and Influences Listeners Digital Technology Enables Expansion and Interaction For a copy of the presentation visit Let s look up Radio s reach in your market at 35

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