Home Login RADIO ONLINE RSS Facebook

Study Reinforces AM/FM Radio's Impact on Brand Growth


Cumulus Media and Westwood One
Cumulus Media and Westwood One

In a comprehensive analysis led by marketing effectiveness expert Peter Field, new insights have emerged underscoring the substantial benefits of AM/FM radio advertising. This week's Cumulus Media | Westwood One Audio Active Group blog outlines the findings and explains how important it is for brands to be known before they're needed.

Field, often regarded as one of the "godfathers of marketing effectiveness," presented his findings in a recent study titled "The Long and the Short of It - 10 Years On: Radio's Enduring Role in Effectiveness." This study, which draws from over 1,200 case studies in the Institute of Practitioners in Advertising (IPA) databank, highlights radio's pivotal role in enhancing brand visibility and profitability.

The research reveals that brands incorporating AM/FM radio into their media strategies enjoy a 13% increase in mental availability, meaning these brands are more likely to come to mind during purchasing decisions. Additionally, these brands see a 28% higher market share compared to those that do not use radio advertising.

The analysis also points to a significant correlation between radio advertising and pricing power, a crucial driver of profitability. Brands leveraging radio advertising boast a 17% increase in pricing power, which in turn contributes to a 42% increase in profits. Over time, the profit uplift from radio advertising has shown a steady increase, particularly evident since 2016.

Nielsen's recent sales effect studies further validate radio's financial efficacy, reporting an impressive $10.59 return on advertising spend (ROAS) for AM/FM radio, based on a comprehensive analysis of retail and consumer goods sales. This figure notably surpasses returns from many other media, emphasizing radio's consistent ranking as a top-tier medium for ROI.

The implications of Field's research are clear: AM/FM radio remains a formidable tool for businesses aiming to maximize market presence and profitability, reinforcing its status as a cornerstone of effective media planning.

To read the complete blog post by Pierre Bouvard, Chief Insights Officer, Cumulus Media | Westwood One, here.

Latest Radio Stories

Audio, Video Podcasts Serve Different Listener Needs
Edison Research at SSRS
Edison Research at SSRS
Audio and video podcasts play complementary roles in consumers' routines, with 70% of monthly podcast consumers reporting that they both listened to audio-only podcasts and watched video podcasts in the past month, according to new research from Edison Research at SSRS, SiriusXM Media and Publicis Media. More

CT40 Sets Holiday Specials With Fitz, Lauren Alaina
Country Top 40 with Fitz
Country Top 40 with Fitz
"Country Top 40 with Fitz" and syndication partner Skyview Networks have announced two holiday specials, including a Christmas program co-hosted by country artist Lauren Alaina and a countdown of the biggest country songs of 2026. "Deck the Hits with Lauren and Fitz" will be available for the weekend of More

Fred Jacobs to Step Down as Jacobs Media President
Fred Jacobs
Fred Jacobs
Jacobs Media founder and President Fred Jacobs will step down at the end of 2026, with his brother, Paul Jacobs, succeeding him. Fred will become Chairman and remain involved in research, select client work and other areas of the business. "I've been thinking about this for a couple of years now, and I'm More

Civic Media's IA, IL Station Deals Total $3.3 Million
Civic Media
Civic Media
Civic Media's planned acquisition of 16 radio signals in Iowa and Illinois carries a combined purchase price of $3.3 million, according to asset purchase agreements filed with the FCC. Financial terms were not disclosed when the transactions were announced in October. Under More

Zimmer Names Mike Stern Director of Programming
Mike Stern
Mike Stern
Zimmer Communications has named Mike Stern Director of Programming, effective November 16. The veteran programmer joins the company after 13 years as a consultant at Jacobs Media, where his clients included Zimmer for more than a decade. Stern will oversee programming, music and on-air strategy across More

Voiceover Talent Steve 'Zeus' Stewart Dies at 59
Steve ''Zeus'' Stewart
Steve ''Zeus'' Stewart
Steve "Zeus" Stewart, a voiceover talent whose work spanned radio imaging, television networks and sports promotions, died October 26 at age 59, according to his obituary. He lived in Little River, SC. A cause of death was not disclosed. Born Steven Curran Stewart in Greensboro, NC, he grew up in Raleigh More

Return to Menu

Advertisement

Advertisement

Advertisement