RAB Q2 First-Half Rev Figures Down Again, But 'Off-Air' Up
August 21, 2008 at 11:56 AM (PT)
Here's to looking at the glass as half-full: The RAB's latest revenue comparisons don't show a lot of good news, but the RAB is touting a 10% increase in second quarter for "off-air" revenues (12% for the first six months of the year) as a positive sign.
Local revenue dropped 7% for the quarter ($3.792 billion) and 6% for the half-year ($6.978 billion), with national off 11% ($778 million for the quarter, $1.428 billion for the year). Network revenues were flat for the quarter at $293 million, and up 3% for the first half to $567 million. Grand total revenue fell 6% to $5.364 billion (off 5% to $9.862 buillion for the first half).
The RAB's release stressed the off-air number, which encompasses online activity and "experimental marketing partnerships," but which represents only 9% of total revenue. "Radio’s off-air platforms are realizing prosperity similar to that of other alternative forms of advertising," RAB Pres./CEO JEFF HALEY said in a press release. "The industry’s investment in new technology and digital distribution channels has extended Radio to the Internet, mobile phones, navigation systems and more. Combined with an enhanced on-air product and on-site experiential marketing, the result is a 360-degree experience for consumers with multiple touch point opportunities for advertisers."
Bright spots in spending included insurance companies, department and discount stores/shopping centers, and professional services, offset by problems in the automotive, financial services, home furniture/floor coverings, home improvement stores, communications/cellular/utilities, and TV networks/cable providers categories.