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How does it work? The evidence for radio’s effectiveness

Discover the headline findings and evidence for the effectiveness of radio as an advertising medium. Learn how radio combines with other media and overcomes ad avoidance challenges. Find out how radio can increase advertising awareness and sales.

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How does it work? The evidence for radio’s effectiveness

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  1. How does it work? The evidence for radio’s effectiveness

  2. The evidence for radio’s effectiveness • Radio effectiveness – the headline findings • How ad avoidance challenges media effectiveness • How radio successfully combines with other media

  3. The Awareness Multiplier Radio Effectiveness The Headline Findings The Sales Multiplier

  4. The Awareness MultiplierHow did we conduct the research?

  5. Radio lifts advertising awareness by 3% for every 100 ratings Awareness index Ave. Brand Source: Millward Brown

  6. Radio is four times more cost-effective than TV Source: Millward Brown

  7. The Sales MultiplierHow did we conduct the research?

  8. Radio lifts sales by 2.2% for every 100 ratings Average = 2.2% Ave. Source: dunnhumby

  9. The evidence for radio’s effectiveness • Radio effectiveness – the headline findings • How ad avoidance challenges media effectiveness • How radio successfully combines with other media

  10. Advertising is increasingly ubiquitous

  11. “There are so many commercial messages these days it is overwhelming” 65% AGREE

  12. High levels of ad avoidance hinder outreach in traditional media % of ads by medium which are “hard avoided” by medium Source: Clark Chapman Research

  13. Even higher ad avoidance for internet advertising % of ads by medium which are “hard avoided” by medium Popups Banners Source: Clark Chapman Research

  14. The evidence for radio’s effectiveness • Radio effectiveness – the headline findings • How ad avoidance challenges media effectiveness • How radio successfully combines with other media

  15. Radio and TV

  16. Radio and TVLow ad avoidance gives radio greater outreach * Exposure = total reach of 16-44s, net = reach adjusted for avoidance levels Total exposure* Net exposure* 23.1m 21.3m 17.5m 15.9m Sources: Rajar, Barb, Caviar (15-44), Clark Chapman

  17. Different modes and mindsets

  18. Sainsbury’sGetting “front of mind” at relevant times “picked up a recipe card” 41%

  19. Radio and TV What happens when 10% of a TV campaign is redeployed to radio? +15% Uplift in awareness Source: The Awareness Multiplier, Millward Brown

  20. Radio and newspapersAd avoidance challenges an advertiser’s ability to reach new consumers IN-MARKET AUDIENCE (ready to respond now) Source: RAB

  21. Radio and newspapersAd avoidance challenges an advertiser’s ability to reach new consumers RADIO PRESS IN-MARKET AUDIENCE (ready to respond now) WIDER AUDIENCE (not yet ready to respond) Source: RAB

  22. Radio and newspapersAd avoidance challenges an advertiser’s ability to reach new consumers RADIO PRESS IN-MARKET AUDIENCE (ready to respond now) WIDER AUDIENCE (not yet ready to respond) Source: RAB

  23. Radio and newspapersAd avoidance challenges an advertiser’s ability to reach new consumers RADIO PRESS IN-MARKET AUDIENCE (ready to respond now) The effect of ad avoidance WIDER AUDIENCE (not yet ready to respond) Source: RAB

  24. Radio and newspapersAd avoidance challenges an advertiser’s ability to reach new consumers RADIO PRESS IN-MARKET AUDIENCE (ready to respond now) The effect of ad avoidance WIDER AUDIENCE (not yet ready to respond) Source: RAB

  25. Radio and newspapers What happens when 50% of press ads are redeployed to radio? Source: RAEL, The Benefits of Synergy

  26. Radio and newspapersUnaided brand recall increases threefold 70% 25% Radio and newspapers Newspapers only Source: RAEL – The benefits of synergy. Base c 100 respondents per group

  27. Radio and the internet

  28. A high proportion of broadband users are listening to radio when online Source: Other Lines of Enquiry Base: 523

  29. Radio and the internet are natural partners...

  30. What happens when 50% of internet ads are redeployed to radio? Radio and the internet Source: RAEL – Radio and the Internet Study

  31. Radio and the InternetUnaided brand recall increases four-fold 27% 6% Internet only Radio and internet Source: RAEL – Radio and the Internet Study Base c 800 respondent

  32. Radio prompts follow-up online Base: 310 who listen to radio when online Source: Other Lines of Enquiry

  33. Radio multiplies traffic to brand sites % visiting test brand sites Source: University of Lancaster. Base: 55

  34. Radio and price promotions

  35. Brand IRadio + own price promotion % change vs. period preceding promotion Source: dunnhumby

  36. Radio in isolation

  37. Radio’s multiplier effect • Radio with TV = + 15% prompted awareness • Radio with newspapers = + 180% unaided brand recall • Radio with internet = + 350% unaided brand recall • Radio with price promos = + 27% more customers + 15% + 180% + 350% + 27%

  38. Thank you Research sources: • The Awareness Multiplier Study (RAB/Millward Brown) • The Sales Multiplier Study (RAB/dunnhumby) • You can’t close your ears (RAB/Clark Chapman) • The benefits of synergy (RAEL) • Radio & online (RAB/IAB/Other Lines of Enquiry) • Radio and the internet (RAEL) For further information go to: www.rab.co.uk

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