Communications, Financial Services And Retail Shine In Radio's Flat Q1
Radio's Digital and Off-Air Sectors Post Solid Gains As Spot Levels Off
May 17, 2013 at 7:24 AM (PT)
Radio’s first quarter was flat at $3.5 Billion, aided by an uptick in Spot in MARCH after a sluggish start to the year. Both Digital and Off-Air performed well throughout the quarter and were up 9% and 5% respectively, reports the RAB.
Spot spending by Communication/Cellular advertisers soared by over 1/3 (36%) for this quarter, propelling the category to #1 for the period. Also up -- in rank order based on spending --were Financial Services (+13%), Department/Discount Stores & Shopping Centers (+58%), and Home Furnishings/Floor Coverings (+6%). While dollar volume was virtually flat for Television/Networks/Cable Providers (-3%) and Restaurants (-2%), these were solid contributors to radio’s bottom line in the #2 and #4 spots; Automotive declined 20% and slipped to the #3 rank.
"Major increases in radio advertising by Communications/Cellular and Financial Services went a long way to offset a drop in Automotive spending," stated RAB Pres./CEO ERICA FARBER. "Additionally, spending is up in the Department/Discount Stores category -- reflecting increased confidence among retailers who have experienced radio’s ability to drive traffic and sales."
"Radio’s digital sector revenue continues to grow as radio stations invest in and promote their digital offerings to listeners, driving increased attention by the ad buying community," FARBER added.
Read the full report here.