5 Reasons You Should Tune In to Radio Advertising 


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5 Reasons You Should Tune In to Radio Advertising 

Step back in time to the roaring twenties. The first radio advertisement debuted in New York City at $50 for 10 minutes of airtime. Now zoom out to 2023, and broadcast ads can cost up to $5,000 per 60-second spot. Modern radio has changed a lot, but companies are still investing heavily into advertising spots.

The Big Question—Is Radio Advertising Worth it?
We’d say yes. Radio advertising has come a long way since its initial debut. Radio’s reach has recently surpassed TV marketing and it isn’t slowing. 92% of Americans over the age of 18 listen to the radio every week, making it a more popular medium than Facebook. And radio is constantly evolving and growing through apps, streaming services, and podcasts.

Unlike other marketing channels, radio advertising fosters the most consumer trust—more than 50% of listeners trust radio messages, as opposed to 30% for digital advertising and 40% for TV. That's because listeners are usually long-time local and/or paying supporters. It’s in the network’s interest to heavily vet all content for accuracy and relevance. There is also something to be said about your favorite host doing a personalized ad read. Trust goes a long way in a market that’s flooded with irrelevant, poorly targeted, and false content.

The cost of radio advertising by city and population size

Are Podcasts Radio?
Podcasting is considered a digital form of broadcast radio. Both traditional radio and podcasts use the same audio to sell and promote products and services. Unlike broadcast radio, podcasting has made advertising cheaper, easier, and more accessible. Businesses are now using both podcasts and broadcast radio together to target listeners on their commute, while at work, and while doing laundry. Podcasts are dubbed “radio’s reinvention” for a reason.

5 Reasons to Join the Airwaves
  1. Affordability
    Even in a city like New York with a radio reach of 8.4 million, radio ads cost roughly $1,405 per ad. Many factors affect the cost of radio advertising, the biggest being music, voice actors, editing, time placement, and the station itself.

    The formula to calculate the cost of radio advertising time slots

  2. Reach Broader Audiences
    Radio is everywhere, all of the time. There are over 40,000 radio stations worldwide, with more than 10 million people listening to a commercial radio station for at least one hour every week of the year. Also, radio allows you to tailor your message to demographics small and wide.

  3. Podcast / Streaming Advertisements
    Podcast listeners have grown 40% over the past 3 years and that’s an estimated 85 million people! Podcast advertising allows you to target your demographics more precisely to hit your exact audience. 54% of fans are more likely to buy from a brand featured on their favorite podcast. Podcast ads target the “unreachables” like listeners that opt for streaming services or use ad blockers when browsing the web.

  4. Timely Message Delivery
    15, 30, or 60-seconds is all the time you need (and all the time you have) to deliver your message. Radio advertisements are punchy and straight to the pitch. Most radio stations have everything needed to create an ad for you with quick turnaround. Cut production time by implementing audio advertisements.

  5. Provides Strong CTA
    Radio advertisements are highly effective at inspiring action. Radio is shown to deliver an average $8 in incremental sales for every $1 spent. That’s because commercials can be strategically scheduled to parallel your listeners' habits.

Bring Your Business on Air
Radio ads may work best for businesses with wide target audiences but there’s little doubt that radio ads are still worth it.

Subscribe to our blog and stay tuned.

Note from our editor: This post was originally published in October 2022 and updated on February 2023 for comprehensiveness.

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