los angeles metro · source: scarborough, r1 2018 (january 2017 –2018), riverside/san bernardino...
TRANSCRIPT
THOM\Value of Radio
Inland Empire
The following fact-based overview showcases the enormous power of Radio…
Including the intrinsic value of Radio
What radio means to listeners today
The commercial environment that only Radio provides
The ubiquitous platforms of Radio
A clear comparison of Radio to other media
The loyal and rabid connection of Radio and its listeners
And finally, why Radio is still the most powerful and compelling advertising platform today
SOUTHERN CALIFORNIA RADIO
WHY CONSUMERS ENJOY RADIO IN LOS ANGELES
Source: Nielsen Harris Poll October 15-23, 2014.
RADIO’S LOCAL CONNECTION IN LOS ANGELES
Source: Nielsen Harris Poll October 15-23, 2014.Copyright ©2014 The Nielsen Company. Confidential and proprietary.
“Radio personalities in LA are entertaining and talk about things meaningful to me.”
“I feel a strong personal connection to the radio station in LA I listen to the most.”
“Radio connects me to local products, stores and events in my community.”
6 in 10 agree
Source: Nielsen Harris Poll October 15-23, 2014.
Why do so many people in the Inland Empire still listen to Radio?
And why that’s important to advertisers.
WITH SO MANY LISTENING OPTIONS
AVAILABLE…
AM/FM Radio50%
Streaming Audio16%
Owned Music (CDs, Digital music files,
etc.)14%
SiriusXM8%
TV Music Channels 5%
Podcasts4%
Other3%
AMERICANS SPEND MORE TIME WITH
RADIO THAN WITH STREAMING AUDIO
Share of EarAmericans’ 13+ Share of Time
Spent Listening to Audio Sources
Source: Edison Research, Share of Ear Q1 2018, Americans spend an average of 3 hours and 49 minutes each day consuming audio. This graph represents the share of time spent with each. Based on a nationally representative sample of 5,538 American ages 13+ who completed a 24-hour audio listening diary.
Note: AM/FM radio includes over the air and online streaming. Streaming Audio includes pure plays such as Pandora, Spotify, and others.
AM/FM RADIO IS THE CENTERPIECE OF AUDIO
0.6%1%1%
2%2%2%
3%3%
4%4%
5%5%
9%12%
47%
Apple Music
AmazonMusic
Ad-free Pandora
Ad-supported Spotify
Ad-supported SiriusXM
Ad-free Spotify
Podcasts
Other
Other streaming audio
Ad-supported Pandora
TV music channels
Ad-free SiriusXM
Music videos on YouTube
Owned music
AM/FM radio
Source: Edison Research, Share of Ear, Q2-Q4 2017, Q1 2018. Persons 18+.SiriusXM: Ad-Supported: Spoken Word. Ad-Free: MusicPercentages may not add up to 100 due to rounding
Share of audio time spent among Persons 18+
The size and strength of AM/FM radio
Source: Scarborough, R1 2018 (January 2017 – 2018), Riverside/San Bernardino Metro, online radio listeners.
% of monthly Online Radio listeners who listened to over-the-air AM/FM RadioMonday-Sunday, 6a-mid
93.6% 93.0% 93.8% 95.0% 88.5% 96.6%
Adults 18+ Adults 18-34 Adults 18-49 Adults 25-54 Men 21-34 Women 25-54
Online Radio = Listening to AM/FM radio stations online and/or listening to audio content available only on the Internet.
ONLINE RADIO LISTENING
COMPLEMENTS OVER-THE-AIR RADIO
90.0% 93.9% 93.6% 94.6%92.6% 93.4%
19.2%24.3% 25.0% 24.0%
19.3%28.1%
0%
20%
40%
60%
80%
100%
Adults 18+ Adults 18-34 Adults 18-49 Adults 25-54 Adults 35-64 Women 25-54
Listened to Radio Past Week (M-Su, 6a-mid) Visited Pandora Past Week
Source: Scarborough, R1 2018 (January 2017 – 2018), Riverside/San Bernardino Metro.
RADIO REACHES MORE ADULTS ACROSS
ALL DEMOS IN A WEEK THAN PANDORA
MORE IE ADULTS 18+ LISTEN TO RADIO IN A WEEK THAN
VISIT THESE SOCIAL NETWORKING SITES IN A MONTH
90.0%
60.7%50.6%
34.3%25.3% 23.6% 20.5%
14.1% 10.4%
Source: Scarborough, R1 2018 (January 2017 – 2018), Riverside/San Bernardino, Adults 18+.
Reach %
RADIO IS STRONG IN A
FRAGMENTED MEDIA WORLD
33:22HR:MIN
Live + Time-Shifted
Television
12:20HRS:MIN
Radio
16:32HR:MINApp/Web onSmartphone
4:34HR:MINInternet onComputer
1:41HR:MIN
GameConsole
1:09HR:MIN
Video on Computer
4:13HR:MIN
Time-Shifted Television
Source: Nielsen, Total Audience Report, Q1 2018 / Base: Total US Population P18+.
Adults 18+ spend over 12 hours listening to radio each week
DESPITE FRAGMENTATION, THE RADIO AUDIENCE
IN SOUTHERN CALIFORNIA REMAINS CONSISTENT
Source: Nielsen Regional Database, Spring 2016 - 2018, Monday – Sunday, 6a-Mid, Persons 12+ Weekly Cume.
15.1 15.2 15.0
SPRING 2016 SPRING 2017 SPRING 2018
Source: Nielsen Regional Database, Spring 2018, Monday - Sunday, 6a-mid, Persons 12+.
RADIO REACHES 91.3%OF PERSONS 12+ IN
SOUTHERN CALIFORNIA EVERY WEEK
9.5 HOURSSPENT WITH RADIO
EACH WEEK
REACH AND TIME
91.3% OF SOUTHERN CALIFORNIANS
ARE REACHED BY RADIO EACH WEEK
SPENDING 9.5 HRSLISTENING EVERY WEEK
Source: Nielsen Regional Database, Spring 2018, Monday - Sunday, 6a-mid, Persons 12+.
THAT’S 15 MILLION LISTENERS
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RADIO’S REACH EXTENDS ACROSS ALL MAJOR
DEMOGRAPHICS IN SOUTHERN CALIFORNIA…
Weekly Radio Listeners
Source: Nielsen Regional Database, Spring 2018, Monday – Sunday, 6a-Mid.
4.3 Million Listeners
90.1% of Millennials use radio
MILLENNIALS (18-34)
GENERATION X (35-49)
3.7 Million Listeners
93.4% of Gen X use radio
BOOMERS(50-64)
3.3 Million Listeners
92.7% of Boomers use radio
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…AND RADIO REACHES A
DIVERSE AUDIENCE
AFRICAN AMERICANS (12+)*
6.5 Million Listeners
95.0% of Hispanics use radio
1.0 Million Listeners
90.4%of African
Americansuse radio
Weekly Radio Listeners
Hispanics (12+)
Source: Nielsen Regional Database, Spring 2018, Monday – Sunday, 6a-Mid.
Source: Texas A&M Transportation Institute and INRIX, 2015 Urban Mobility Scorecard, August 2015, Travel Time Index Rank.
“NATIONAL CONGESTION
RECESSION IS OVER”
Nearly all of the 9 million jobs that were lost during the Great Recession have been regained and the congestion problem is now worse than the pre-recession levels.
In 2014, congestion wasted an enormous amount of time, fuel, and money. Urban Americans traveled an extra 6.9 billion hours and purchased an extra 3.1 billion gallons of fuel totaling $160 billion.
Congestion not only affects people who travel during peak periods, but also during off peak times. Approximately 41% of total delay occurs during off peak hours - midday and overnight - when travelers expect free-flow travel.
In 5 years, the national congestion cost is projected to increase from $160 billion to $192 billion.
National delay will grow to 8.3 billion hours in 2020, up 20% in just 5 years and it’s safe to assume that the problem will only get worst for all urban areas especially Los Angeles which ranks 2nd in hours of delay per commuter (80 hours), behind Washington D.C . (82 hours).
Source: DMV, Total Vehicles Registered, August 2018 (Los Angeles, Orange, Riverside, San Bernardino, Ventura, Imperial, Kern, Santa Barbara, San Diego, and San Luis Obispo Counties).
There are over 18.3 million vehicles registered in SOUTHERN CALIFORNIA,
over 3.4 million in the IE
PEOPLE IN THE INLAND EMPIRE DRIVE OVER
18 BILLION MILES PER YEAR.
The average peak traveler spends an extra 59 hours stuck in traffic each year, up 40 hours from 1982 when
data was first collected.
Source: Texas A&M Transportation Institute and INRIX, 2015 Urban Mobility Scorecard, August 2015, Travel Time Index Rank.
Source: Texas A&M Transportation Institute and INRIX, 2015 Urban Mobility Scorecard, August 2015, Travel Time Index Rank.
INLAND EMPIRE COMMUTERS EXPERIENCE
MORE DELAYS THAN NATIONAL COMMUTERS
Annual delay per
auto commuter
(hours)
Travel Time Index
Planning Time Index (Freeway
Only)
“Wasted” fuel per auto
commuter (gallons)
Congestion cost per auto
commuter (2014 $)
Riverside-San Bernardino
59 1.33 3.21 18 $1,316
National 42 1.22 2.41 19 $960
Source: Texas A&M Transportation Institute and INRIX, 2015 Urban Mobility Scorecard, August 2015, Travel Time Index Rank.
1.43 1.41 1.38 1.38 1.37
Los Angeles-Long Beach-Anaheim
San Francisco-Oakland,CA
San Jose, CA Seattle, WA Honolulu, HI
Trav
el T
ime
Ind
exMORE CONGESTION MEANS MORE TIME
SPENT LISTENING TO RADIO IN CARS.
Inland Empire drivers spend 33% more time on the roads than under normal conditions due to traffic congestion. And, in order to arrive on time for important freeway related trips, travelers had to allow one hour and five minutes to make a
trip that would normally take 20 minutes in light traffic.
Travel Time Index – A measure of congestion that focuses on each trip and each mile of travel. It is calculated as the ratio of travel time in the peak period to travel time in free-flow. A value of 1.43 for Los Angeles indicates that a 20-minute free-flow trip takes 28.6 minutes in the peak.
Off Peak FREEWAYS
10.0%
Peak FREEWAYS
29.0%
Off Peak STREETS
29.0%Peak
STREETS32.0%
Percent of Delay Road Type and Time of Day
Source: Texas A&M Transportation Institute and INRIX, 2015 Urban Mobility Scorecard, August 2015, Travel Time Index Rank.
IN URBAN AREAS WITH POPULATION OVER 1 MILLION,
STREETS HAVE MORE DELAY THAN FREEWAYS DURING
BOTH PEAK AND OFF BEAK HOURS
THE SHEER SIZE AND DENSITY OF SOUTHERN CALIFORNIA TRAFFIC
The combined total population of New York, Chicago, Houston, Philadelphia, and Phoenix almost equals the 18.3 million
registered vehicles that make up Southern California Traffic.(Source: Census, 2017 Population Estimates (as of July 1, 2017) and DMV, Total Vehicles Registered, August 2018)
Over 3.4 million cars in the Inland Empire alone. (Source: DMV, Total Vehicles Registered,
August 2018)
Imagine...18.3 million cars filled with potential new customers.
The potential for more brand awareness and market share than 5 major cities combined!
That’s the value of Southern California Radio.
Source: Census, 2017 Population Estimates (as of July 1, 2017).
New York 8,622,698
Chicago 2,716,450
Houston 2,312,717
Philadelphia 1,580,863
Phoenix 1,626,078
25
12.4 MILLION SOUTHERN CALIFORNIANS USE RADIO AWAY FROM HOME DURING COMMUTING HOURS
•Source: Nielsen Regional Database, Spring 2018, Monday – Friday, 6a-10a + 3p-7p, Persons 12+.
82% of Adults 18+ who have driven/ridden in car cite
RADIO as their primary in-car entertainment/info device
Source: The Infinite Dial © 2018 Edison Research and Triton Digital. Age 18+ and has driven/ridden in car in last month.
AUDIO SOURCES USED IN PRIMARY CAR
21%
23%
28%
45%
49%
82%
Satellite Radio
Podcasts
Online Radio
Owned Digital Music
CD Player
AM/FM Radio
Source: The Infinite Dial © 2018 Edison Research and Triton Digital. Age 18+ and has driven/ridden in car in last month.
% currently ever using audio source in primary car
RADIO IS THE MOST IMPORTANT NEW CAR FEATURE
14%
16%
17%
23%
24%
27%
32%
45%
51%
62%
66%
88%
Hard drive for media…
Apple…
DVD Player
HD Radio
Media System
Satellite Radio
Wireless Internet…
GPS
CD Player
Bluetooth
Smartphone connector
AM/FM Radio
Source: Jacobs Techsurvey 12, May 2016.245 radio stations in U.S. & Canada, N=39,503, Interview dates: January 19 – February 22, 2016.
“Very Important” features among those planning on buying/leasing (or already bought) a new vehicle in 2016
Radio reaches 90.0% of Inland Empire Adults 18+
RADIO REACHES MORE IE ADULTS 18+
IN A WEEK THAN ANY OTHER MEDIUM
90.0%
35.6%
77.6% 73.6%83.0%
Listen to Radio PastWeek
Read Any Online orPrinted Newspaper
Past 7 Days
Watched AnyBroadcast TV Past
Week
Watched Any Non-Premium Cable Past
Week
Spent Any Time onInternet Past Week
Source: Scarborough, R1 2018 (January 2017 – 2018), Riverside/San Bernardino Metro, Adults 18+.
Radio reaches 93.7% of Inland Empire Millennials
RADIO REACHES IE MILLENNIALS
93.7%
58.0%65.8%
93.7%
Listen to Radio Past Week Watched Any Broadcast TVPast Week
Watched Any Non-PremiumCable Past Week
Spent Any Time on InternetPast Week
Source: Scarborough, R1 2018 (January 2017 – 2018), Riverside/San Bernardino, Millennials (18-29).
Radio reaches 93.5% of Inland Empire Gen X
93.5%
31.7%
76.5%70.3%
91.6%
Listen to Radio PastWeek
Read Any Online orPrinted Newspaper
Past 7 Days
Watched AnyBroadcast TV Past
Week
Watched Any Non-Premium Cable Past
Week
Spent Any Time onInternet Past Week
Source: Scarborough, R1 2018 (January 2017 – 2018), Riverside/San Bernardino, Gen X (30-49).
RADIO REACHES MORE IE GEN X
IN A WEEK THAN ANY OTHER MEDIUM
Radio reaches 90.6% of Inland Empire Baby Boomers
90.6%
35.6%
91.5%79.9%
73.9%
Listen to Radio PastWeek
Read Any Printed orOnline Newspaper
Past 7 Days
Watched AnyBroadcast TV Past
Week
Watched Any Non-Premium Cable Past
Week
Spent Any Time onInternet Past Week
Source: Scarborough, R1 2018 (January 2017 – 2018), Riverside/San Bernardino, Baby Boomers (50-69).
RADIO REACHES IE BABY BOOMERS
33Source: Nielsen Regional Database, Spring 2018, Monday – Sunday, 6a-Mid, Persons 18-64.
81% OF SOUTHERN CALIFORNIA RADIO
LISTENERS ARE IN THE WORK-FORCE
THAT’S 8.6 MILLION QUALIFIED
CONSUMERS LISTENING EVERY WEEK
RADIO’S EXPANSIVE DIGITAL REACH
Southern California Radio interacts with its listeners on-air and online:
Huge Loyal and active listener databases
Mobile Apps with geo-targeting by zip codes
Streaming audio for PC and Mobile listening
Rabid social network connection with Radio’s on-air talent
Web site interaction using couponing, product contests and special offers
11.15
Retail
OVER $6 OF INCREMENTAL SALES
FOR EVERY $1 SPENT
PAYBACK Per $1 Ad Investment
6.21
All Category Average
1.81Breakfast Bar
7.33
Snacks 4.17
Beer
Ratio of incremental sales revenue per thousand to advertising cost per thousand = Payback
3.81
Soft Drink
4.33
Snacks 23.21
Retail
1.38Soft Drink
3.12
Candy
1.97Soft Drink
Advertisers achieved $17 of incremental sales for every $1 spend on radio.
Exposure to Radio campaigns drove 10% increase in overall store sales.
Radio campaigns increased total number of buyers by 3% and increased dollars spent per buyer by 6%.
Source: The Nielsen Company. Study compared spending at four department stores in Q3 2014 to Q3 2013.
RADIO DRIVES SALES AT
DEPARTMENT STORES
Advertisers achieved $17 of incremental salesfor every $1 spend on radio
Source: The Nielsen Company. Study compared spending at four department stores in Q3 2014 to Q3 2013.
RADIO DRIVES SALES AT
DEPARTMENT STORES
$17:$1
Depending on the category, exposure to radio drove increase in sales, foot traffic, and dollars spent.
Radio exposure positively affected bottom line sales and drove new, valuable shoppers.
“Nielsen’s studies demonstrate the true value of radio to not only provide massive reach, but directly impact consumer spending.” – Pierre Bouvard, Chief
Marketing Officer of Westwood One and Cumulus.
“It helps increase sales and delivers positive ROI, providing a powerful and reliable way for advertisers to connect with consumers and grow their brands.” - Carol Edwards, Senior VP, Media Analytics, Nielsen
Hispanic consumers who are heavy radio users led all categories measured in total spend and drove increased sales ranging from 9% to 49%.
Source: The Nielsen Company. Study compared spending at four department stores in Q3 2014 to Q3 2013.
RADIO DRIVES SALES
Advertisers achieved $16 of incremental salesfor every $1 spend on radio
Source: The Nielsen Company. Study compared spending at four department stores in Q3 2014 to Q3 2013.
RADIO DRIVES SALES AT
MASS MERCHANDISE RETAILERS
$16:$1
Advertisers achieved $10 of incremental salesfor every $1 spend on radio
Source: The Nielsen Company. Study compared spending at four department stores in Q3 2014 to Q3 2013.
RADIO DRIVES SALES AT
HOME IMPROVEMENT STORES
$10:$1
Advertisers achieved $3 of incremental salesfor every $1 spend on radio
Source: The Nielsen Company. Study compared spending at four department stores in Q3 2014 to Q3 2013.
RADIO DRIVES SALES AT
QUICK SERVICE RESTAURANTS
$3:$1
60% OF AMERICANS SKIP TV
COMMERCIALS ALL OR MOST OF THE TIME
6.0%
21.8%
31.0%
26.7%
20.8%All the Time
Most of theTimeOccasionally
Often
Rarely/Never
How often do you watch TV in REAL TIME?
When not in real time, how often do you SKIP commercials?
32.4%
27.6%
15.0%
19.7%
11.9%All the Time
Most of theTimeOccasionally
Often
Rarely/Never
Source: Alan Burns/Triton Digital “The Future of Radio” September 2012.
53.8% OF AMERICANS OWN/USE A DVR
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NIELSENSDK
Nielsen Digital Audio Measurement is on the way
Software tested and ready
Top clients integrating the SDK
Collecting data now
Radio Delivers Solid ROI
Radio delivers a $6:$1 Return on Ad Spend
Radio drives listenersto tune-in to TV programs
Radio delivers repeat shoppers
New precision targetinghelps focus advertising on the right consumers
Southern California Radio is Strong
SOCAL Radio reaches 90%+ across all key
demos
SOCAL Radio Reaches 15M consumers when
they are ready to shop and buy
SOCAL Radio Reaches 8.6M working
consumers with money to spend
LET’S LISTEN TO JUST TWO MARKET LEADERS WHO
UNDERSTAND THE POWER AND PERSUASION OF RADIO.
Imagine your branding message on RADIO - targeted and effective, but most of all, successful.
RESOURCE REFERENCES
Alan Burns & Associates/Triton Digitalhttp://burnsradio.com/index.php?option=com_content&view=article&id=54&Itemid=60
Census
INRIXhttp://scorecard.inrix.com/scorecard/default.asp
Katz Mediahttp://www.katz-media.com/ourcompanies/RA/Pages/garber.aspx
Nielsen Audiohttp://www.nielsen.com/us/en/nielsen-solutions/audience-measurement/nielsen-audio.html
Presslaff Interactive Revenuehttp://www.presslaff.com/
RABhttp://www.rab.com/
Scarborough http://scarborough.com/