Study Finds Radio Drives Holiday Shoppers to Spend

RADIO ONLINE | Tuesday, October 21, 2025 | 3:01pm CT

Katz Radio Group

A new Holiday Retail by the Numbers study from Katz Radio Group highlights the influential role radio plays in driving consumer behavior during the 2025 holiday shopping season. Amid a mixed retail outlook-ranging from forecasts of modest year-over-year gains to a possible 5% decline-Katz reports that radio remains a dominant and trusted channel for advertisers seeking to connect with shoppers navigating inflation, tariffs, and tighter budgets.

According to Nielsen, AM/FM radio reaches 87% of U.S. adults weekly-more than any other audio platform-and connects with consumers across all key demographics during high-impact periods like Black Friday and Cyber Monday. Heavy radio listeners, Katz says, plan to outspend heavy TV viewers on holiday gifts and experiences, including charitable donations and restaurant dining.

Radio's effectiveness extends beyond awareness. Nielsen data cited in the report shows that radio ads generate a 22% lift in-store traffic and a 29% increase in online search activity across retail categories. For advertisers, that translates to an average $17-to-$1 return on ad spend in key sectors such as grocery, department stores, and home improvement.

Trust also plays a crucial role: Katz's Media Trust Study found 79% of adults view radio as a trustworthy information source-well ahead of social media and television. And with 81% of listeners considering their favorite radio personalities "like a friend or family member," the medium continues to deliver the authenticity and local connection that influence purchase decisions.

The study concludes that radio's unique combination of reach, credibility, and immediacy makes it an essential component of any holiday marketing strategy-helping brands rise above the noise and connect with consumers wherever they shop.

Download the study from Katz Radio Insights & Analytics here.