Why Radio?

Radio continues to be a strong and effective advertising channel for businesses  it is a broadcast medium that can be accessed anywhere, anytime by anybody. With commercial radio available on DAB+ digital radio, portable devices, in-home and in-car, it really is an effective way to engage with your target audience, at any time of the day. The engaging and social nature of radio and its powerful connection with its audience makes radio the perfect way to build brand awareness and stimulate digital activity.  Radio is a cost effective, high-reach, high-frequency medium that is proven to drive people online.

Radio's authenticity and ability to create a theatre of the mind helps listeners to generate ideas and prompts call to action. Radio advertising builds awareness, prompts ideas and encourages brand search and purchase. Two thirds (68%) of listeners take action after hearing a brand on radio. (CRA Brand Campaign 2014).

Commercial radio audience listening has continued to grow. In 2016, 10.5 million people listened to commercial radio each week up from 10.3 million people the previous year. Of this audience, radio reached 87% of 10-17 year olds each week, followed by 82% of people aged 40-54 years and 78% of 25-39 year olds.

2015 Commercial Radio Listening Summary

Listed below are key reasons why commercial radio advertising is effective.

Key facts:

  • Radio is live and local, reflecting the community of listeners. Provides the opportunity to connect live with local issues/events/figures.
  • Radio is regarded by listeners as one-to-one, but as it engages people on a personal level at the same time, radio also has the power to broadcast to hundreds of thousands/millions at the same time.
  • Commercial radio can reach over 18 million listeners each week.
  • Unprecedented loyalty across all age groups with almost 10.5 million people listening to commercial radio each week. Over 1.5 million from the 16-24 year old age group alone. 4 out of 5 listeners have been listening to the same radio station for more than two years.#
  • Estimated 50 million radios in Australia – average of 5 devices per household, which means more radios than people.
  • People choose to listen to radio, they want to listen and be engaged and they listen to an average of over 14 hours of commercial radio each week (almost 18 hours to radio overall).
  • Strong listener connection with their favourite station and announcer. Radio is a reliable/regular/ constant friend to its audience.
  • Word of mouth and friend recommendations are considered key marketing tools. Do not discount the power of an on-air radio personality endorsing a product – the listener is hearing it from a "friend".
  • Radio content influences people – hearing it from a “friend” is more likely to change the listener’s opinion or behaviour.
  • Cost effective production of radio advertising. 
  • People connect with radio – people choose to wake up with it.
  • Mobile and portable – ability of radio to connect to consumers wherever they are and in a range of devices.
  • Targeted nature of radio – power of being able to schedule a message at a specific time of day to target your audience. For example, how powerful is hearing an ad for kids snacks when you’re picking them up from school.
  • Radio is the original social media. If radio were invented today it would be a sensation  free content anywhere, any time, and different types to suit your mood (gossip; music; news; sports). 
  • Radio is the original interactive media – live on-air, via sms, email, online opportunities to interact and express a view on music, social issue - to even speak live to celebrities and politicians.
  • Two thirds (67%) of radio listeners are open to advertising messages, the highest across any form of media. (CRA Brand Campaign 2014)
  • Radio is up-to-date and informs people  reliable when access to other media breaks down. For example, when natural disasters strike, it is on-air when mobile phone networks go down.
  • Radio is constantly reinventing itself – broadcasting in analogue and digital. 27% or 3.6 million people listen to DAB+ digital radio in the 5 capital cities***

Source: GfK Radio Ratings, Survey 1-8, 2016, Mon-Sun midnight to midnight, all people 10+, all Commercial and digital listening, unless otherwise stated.

**Nielsen Radio Ratings, Survey 1-8, 2013, Mon-Sun midnight to midnight, all people 10+, all Commercial and digital listening.

***Source: GfK Digital Radio Report, Survey 4 2016, Mon-Sun midnight to midnight, all people 10+, digital listening only.

#Source: GfK AudienScope Q2, 2014.

For more information, please contact Leo Hronsky at leo.hronsky@commercialradio.com.au or 02 9281 6577.

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