First Nine Months of 2012 Up 1%

Radio Holds a Steady Course in Q3


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New York, New York – November 16, 2012 – Consistent with Q1 and first-half performance, Radio posted moderate 1% growth through the first three quarters of 2012.  Digital spending was up 7% for the period, followed by a 2% gain in Off-Air; Spot was flat.

 

Third quarter revenue remained flat but Digital continues to represent a bright spot -- up 8%.

 

“While on-air advertising represents the core of Radio’s revenue stream, it’s most encouraging that advertisers are taking advantage of expanding digital opportunities offered by stations,” stated Erica Farber, RAB President and CEO.  “More marketers are tapping into the multi-platform aspects of Radio to reach our active and highly engaged audiences.  These expanding platforms afford Radio broadcasters additional avenues to bolster Radio’s growth.”

 

 

Growth in spending by domestic and import autos, national grocery, clothing and big box retailers helped fuel revenue for the quarter.  “Radio’s Q3 and year to date results reflect the American economic picture,” Farber said.  “Categories that are rebounding based on renewed consumer confidence have made Radio a greater part of their marketing plans.”  

 

Radio also received an influx of dollars based on hotly contested political races -- up six-fold over 2011’s Q3    pre-primary race spending.

 

Decreased third quarter activity by some of radio’s key categories, such as Communications/Cellular, Financial Services, Insurance Companies and Restaurants led to flat comps.

*Spot Radio, Digital and Off-Air revenues are based on a pool of more than 100 markets as reported by the accounting firm of Miller, Kaplan, Arase & Co. and extrapolated to the entire U.S. Digital Revenue is comprised from activity generated by websites, Internet/web streaming and HD Radio including HD2 and HD3 stations. Network Revenue includes the top five Radio network companies. Revenue data has been randomly verified since 2002. 

The lineup of markets/stations/networks may vary from year to year.  Percent change is calculated on revenue adjusted to current year reporting.

The Radio Advertising Bureau serves more than 6,000 member Radio stations in the U.S. and over 1,000 member networks, representative firms, broadcast vendors, and international organizations. RAB leads and participates in educational, research, sales, and advocacy programs that promote and advance Radio as a primary advertising medium.

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If you have any questions, please email revenuereport@rab.com or call 212-681-7200.