Radio. It s On. Presentation courtesy of the Radio Advertising Bureau, 2015 All Rights Reserved
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1 Radio. It s On. Presentation courtesy of the Radio Advertising Bureau, 2015 All Rights Reserved
2 RADIO A mass medium delivering audio content to passionate and loyal listeners across multiple platforms
3 RADIO TODAY Mobile Personal Social Local Interactive Live RADIO Experiential
4 RADIO. IT S ON. On Air Online On Target A mass medium capable of easily delivering your message to many people Digital capabilities offering interactive opportunities An environment that delivers consumers who are engaged and passionate about the content Targetable assuring the right people are exposed to your message Complements and enhances on air campaign by reaching consumers using multiple touch points Offering companionship and information A trusted medium and always available especially during times of crisis Delivers content wherever and whenever listeners want it Exposure to the message when and where consumers are ready to buy or shop
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7 CONSISTENT REACH LEVELS A MEDIUM FOR ALL SEASONS 92% 92% 93% 93% 94% 94% 91% 91% 91% 93% 93% 92% 94% 94% 94% P12+ P18-49 P25-54 Mar '14 Jun '14 Sep '14 Dec '14 Mar '15 Source: Nielsen Audio, RADAR , March 2014-December 2014, March 2015 (Monday-Sunday 24-Hour Cume Estimates, All Radio)
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10 REACH AND TIME SPENT ACROSS DEMOS Adults Weekly Reach: 91.2% Adults Weekly Reach: 93.9% Adults Weekly Reach: 93.6% Weekly TSL: 11hrs:56min Weekly TSL: 14hrs:32min Weekly TSL: 15hrs:52min Best Daypart: 3-7p Reach: 79.8% Best Daypart: 3-7p Reach: 84.3% Best Daypart: 10a-3p Reach: 84.2% African- Hispanic 12+ American Weekly 12+ Weekly Reach: Reach: 93.2% 91% Weekly TSL: 13hrs:15min Weekly TSL: 13hrs:55 min Best Daypart: 10a-3p Reach: 81.9% Best Daypart: 10a-3p Reach: 78.7% Source: Nielsen Audio RADAR 124, March 2015 (Monday-Sunday 24-Hour TSL and Cume Estimates; Monday- Sunday Daypart Cume Estimates)
11 HIGH REACH VS. OTHER MEDIA OPTIONS Adults % 92% 76% 77% 78% 42% Listened to Radio Past 7 Days Read Any Newspaper Past Week Used Cell Phone to Access Internet 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 18-34
12 HIGHER REACH VS. OTHER MEDIA OPTIONS Adults % 85% 81% 86% 67% 50% Listened to Radio Past 7 Days Read Any Newspaper Past Week Used Cell Phone to Access Internet 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 25-54
13 HIGHER REACH VS. OTHER MEDIA OPTIONS Adults % 86% 83% 79% 55% 55% Listened to Radio Past 7 Days Read Any Newspaper Past Week Used Cell Phone to Access Internet Watched Any TV Past Week Watched Any Non- Spent Any Time on Premium Cable Internet Past Week Past Week Source: Scarborough USA+, Release USA Adults 25-54
14 LISTENERS CHOOSE RADIO OVER FACEBOOK
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16 MOST USED SOURCE FOR MUSIC DISCOVERY AM/FM Radio 35% Friends/ Family 21% AM/FM Radio 29% Friends/ Family 22% 2014 YouTube 10% 2015 YouTube 10% Others 16% Spotify 1% Source: The Infinite Dial 2015 Edison Research / Triton Digital Sirius XM 4% Facebook 4% Pandora 9% Base: Those saying it is Very Important or Somewhat Important to Keep Up-To-Date With New Music Others, 20% Spotify 3% Pandora 8% Sirius XM, 4% Facebook 4%
17 BROADCAST RADIO PLAYS MORE LIKED SONGS Total CHR P1 AC/Variety Hits P1 Country P1 Rock/Alt P1 Classic Rock/Hits P1 Urban/Urban AC P1 Imagine you tune into the station you listen to most for music and listen to the next 10 songs. How many will be songs you like a lot? Imagine you start a session on Pandora and listen to ten songs without skipping any of them. How many will be songs you like a lot? Based on 1,100 respondents in PPM markets, 2014
18 MOST LISTENED TO AUDIO SOURCE Traditional AM/FM Radio 67% 84% YouTube/Vevo & TV Music Ch. 36% 69% CDs/LPs/Tapes 19% 60% Streaming 31% 54% Digital Music 17% 41% Satellite 11% 19% Question: Which of the following radio channels and sources did you listen to on (target day/typical day)? (n=1010) Used Yesterday Currently Used
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22 TECHNOLOGY DELIVERS RADIO BEYOND THE DIAL Expanding Radio s delivery platforms to create an interactive, engaging and highly communicative environment via devices and apps Image Source: Tune-In and iheartradio
23 FM-ENABLED SMARTPHONES Over the next 3 years 30 million phones will have an FM Chip To date, over: 2,335,000 app downloads 11,665 FM radio stations tuned to from the app 4,385,000 hours of listening through NextRadio And ranked 9 th in Google Play top free music apps Source: NextRadio + TagStation Insights For additional updates :
24 DELIVERS RELEVANT INTERACTIVITY Content cards provide information and highly relevant interactive tools: Click to buy (song or other related content) Upcoming concerts and album releases for artist currently playing Recent station playlist Source: NextRadio + TagStation Insights For additional updates :
25 MORE TECHNOLOGY THAT CONVERTS LISTENING TO ENGAGEMENT Technology converts radio listening into an engaging user experience, empowering listeners to see what they hear and take action. Image Source: Clip Interactive
26 PULLING DIGITAL CONTENT ONTO DEVICES Image Source: Clip Interactive Click here to view Clip Interactive case studies
27 RADIO S DIGITAL PLATFORMS ARE STEADILY GROWING Streaming Podcasts HD Radio Over 7200 streaming stations in MM Americans have downloaded a podcast in the past month Over 23 Million HD radio receivers are in the marketplace Source: Inside Radio / M Street Corp., 2014; No Canadian or Mexican stations are included; The Infinite Dial 2015 Edison Research / Triton Digital; HD Radio stat from ibiquity/hd Radio Alliance, 2014
28 MOST CHOSEN IN-CAR FEATURE AM/FM Radio 80% CD Player 68% MP3 Smartphone Player Access Satellite Radio 48% 45% Streaming Internet Radio/ Streaming Music Service 34% Satellite Radio HD Radio 25% 25% Q: Disregarding any associated costs, if you could select only up to 3 of the following options to be available on your next car entertainment systems, which 3 would you select? Preference for Entertainment Options in Next Car Source: Ipsos In-Car Audio Study, February 2015
29 THE BATTLE FOR THE DASH All major auto brands offered factory-installed HD Radio Technology as of 2014 Brands with HD Radio Technology Vehicle Lines with HD Radio Technology HD Radio as Standard Equipment Source: ibiquity
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33 BROADCAST RADIO LISTENED TO MORE BY PURE-PLAY LISTENERS Pandora Listeners Non-Pandora Listeners Hours Per Week Sources What Pandora Means for Radio, Vision Critical, November 2012; Base: American online adults, aged 18+ ; Sample: 1,017 American adults; of these, 323 identified themselves as Pandora users (used an Internet-only audio service in the past month; and at least sometimes use Pandora) 33
34 HEAVY PANDORA USERS ARE HEAVY BROADCAST RADIO LISTENERS Source: NuVoodoo study based on 1,110 respondents in PPM markets - released 2014
35 CHANGING VIEWS OF PANDORA LISTENERS Can't skip enough songs Commercials are annoying Using other services No local information Too predictable Gets boring Too many songs I don't like Not enough music discovery Too many political spots Miss hearing people NA Computer/mobile device negative 0% 10% 20% 30% 40% 50% 60% Source: Jacobs TechSurvey 11, 2015 Among those listening less
36 LISTENERS TAKE THEIR AUDIO ON THE GO On-demand content delivering sports, music, information and entertainment downloads whenever and wherever the listener wants it 66% of Smartphone users listen to online radio every week 55% of listeners said they listen to their favorite personalities on computers or mobile devices when away from a radio Source: The Infinite Dial 2014 Edison Research / Triton Digital; USC, Annenberg School for Communication & Journalism, PSI Study Released June 2012, Woodley, P. and Movius, L. People With a Favorite Radio Personality in LA; Scarborough USA+ Release 2 of 2012
37 GREATEST SHARE OF AUDIO 100% CDs Digital/iPods/MP3s Music Streaming Services Satellite Radio AM/FM Radio 0% 6a 7a 8a 9a 10a 11a 12p 1p 2p 3p 4p 5p 6p 7p Source: USA TouchPoints. Percent Share of Audio Usage by Source. Adults Average Mon-Fri. Note: Radio includes HD Radio and radio station streaming, Music Streaming Services include iheartradio, Pandora, Rdio, Slacker, Spotify, etc.
38 RADIO PEAKS DURING THE WORKDAY 45% 46% 42% 43% 44% 42% 42% 41% 39% How to read: Each day from 3-7p, radio reaches 41% of Adults % 21% 22% 6-10A 10A-3P 3-7P 7P-12M P18+ P25-54 P35-64 Source: Nielsen Audio, RADAR 124, March 2015 (Persons 18+, and 35-64, Monday-Sunday 24-Hour Daily Cume Estimates, All Radio)
39 RADIO SPARKS BRAND CONVERSATION Radio is a social medium Heavy Radio listeners (2+ hrs. daily) generate 329 WOM impressions annually More than Heavy TV Viewers (5+ hrs. daily) at 218B Heavy Print readers (1+ hrs. daily) at 209B Heavy Internet users (5+ hrs. daily) at 208B Source: Keller Fay Group 2013
40 RADIO BOOSTS CAMPAIGN EFFECTIVNESS Source: Nielsen Catalina Solutions Copyright 2014
41 DRIVING INFLUENCE AND BEHAVIOR Radio Advertising topped Television, Social Media, and Direct Mail and was A media advertiser saw a 2x as effective as Newspapers in influencing Healthcare choices. 16% conversion rate for promos when using radio as a reminder medium, building increased frequency. Source: Nielsen Catalina Solutions Copyright 2014
42 REACHING MAIN STREET CONSUMERS 94% 92% 90% Households who plan to buy a smartphone next year Ate at fastfood/sit down restaurant 5 or more times in past month A18+ shopped any major department store in past 3 months Household plans to buy/lease a new SUV or luxury vehicle next year A18+ whose household used an accountant this past year A18+ who are registered to vote in district of residence Source: Scarborough USA Release 2 (August 2012-September 2013)
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44 AN EMOTIVE MEDIUM
45 A POSITIVE ENVIRONMENT TO DELIVER AD MESSAGES 49% To get into a better mood 46% Relax & unwind when tense 36% Take your mind off problems 35% Get an energy boost 33% Hear things that make you laugh 31% Keep you company when alone 29% Add to the fun when with other people Source: Mark Kassof & Co. ListenerThink; based on an online survey of 989 listeners 18-64
46 DRIVEN BY AN EMOTIONAL CONNECTION TO RADIO PERSONALITIES Have called into a station, met a DJ in their community, or interacted in some other manner 80% 70% Consider radio personalities to be regular people like themselves Agree that their favorite radio stations reflect who they are as a person* 66% This radio hosts are like a friend whose opinions they trust and value. 70% Source: Woodley, P.. Parasocial Interaction between On-Air Radio Personalities and Listeners. USA, Annenberg Scholl for Communication & Journalism, released April 2014; * Latitude Research and OpenMind Strategy, State of Listening in America, May 2013.
47 PERSONALITY TESTIMONIALS DRIVE RADIO LISTENER TRUST 55% 36% 2% 8% Increase Decrease Stay the same I don't know Does hearing one of your favorite radio station personalities provide testimonials for health care or medical products or services make you trust that product or service
48 Prizes 12% What s Going On Locally 39% Get in a Better Mood 40% Sports 16% Source: Jacobs TechSurvey 11, 2015 RADIO S EQUATION MUSIC + INFO + EMOTION Keeps Me Company 45% Charitable Events 20% In the Habit 48% Talk Shows 28% News/ Weather/ Traffic 49% Music Surprises 28% Main Reason for Listening to Radio Like to Work with Radio 55% Escape Life s Pressures 31% DJs/ Hosts/ Shows 55% Discover New Music 34% Hear Favorite Songs 67% Emergency Info 34%
49 NO COMMERCIAL SKIPPING 2011 highlights 93% retention 2006 highlights 92% retention No time shifting No below the fold No load times Sources: 2011 Nielsen Audio, Media Monitors, and Coleman Insights
50 RADIO WORKS FOR THE CONSUMER AND THE ADVERTISER
51 RADIO. IT S ON. On Air Online On Target A mass medium capable of easily delivering your message to many people Digital capabilities offering interactive opportunities An environment that delivers consumers who are engaged and passionate about the content Targetable assuring the right people are exposed to your message Complements and enhances on air campaign by reaching consumers using multiple touch points Offering companionship and information A trusted medium and always available especially during times of crisis Delivers content wherever and whenever listeners want it Exposure to the message when and where consumers are ready to buy or shop
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