• by Jack Loechner , Staff Writer @mp_research, December 4, 2014

According to The Radio Advertising Bureau (RAB), the Radio industry continues to build its digital profile, as Digital revenue in Q3 showed growth of 11% over last year. In addition, despite a flat national advertising market across media, total Radio ad revenues showed signs of rebounding with improving trends over Q2 performance (-2% vs. -3%), and Off-Air revenue posted a 14% gain, for its fourth consecutive quarter of double-digit growth.

Year-to-date through September changes for Spot and Network were identical to their Q3 showings(-3% and -4%, respectively).

Erica Farber, President and CEO of the Radio Advertising Bureau "… advertisers recognize the unparalleled benefits of reaching Radio’s dedicated audiences on every device and platform they are using… off-air opportunities for advertisers is a clear indication that Radio is focused on continuing to deliver more innovative solutions…."

The report notes that advertisers are recognizing that the best way to communicate with consumers and build brands has evolved far beyond simply running a Spot schedule on-air. On-air personality involvements, events, station websites and other digital options continue to generate support, use and results among major brand marketers as well as local businesses.

Growth signs while several of Spot Radio’s top tier revenue categories registered dips while facing very strong Q3 delivery last year, include upticks from:

• Health Care (+4%)
• Professional Services (+5%)
• Insurance Companies (+1%)

And these industries also showed increases in year-to-date spending, up 6%, 6% and 7% respectively. There was upward momentum from many categories in the next tier that helped improve Radio’s bottom line this quarter, many of which reflect the impact of increased consumer optimism and spending in the housing, travel and personal entertainment areas, says the report. These are (in rank order based on dollar volume):

Farber says “…much of the increased volume derives from locally-focused, Main Street businesses… directly observing the impact of Radio advertising on their bottom lines… “

Radio’s ability to motivate listeners to action is reflected in the increased spending in many categories from advertisers that count on Radio to help raise funds, fill seats, fill jobs and depend on results from their investments.

Radio’s Top 10 Advertisers list in Q3 2014 is a cross-section of major brands from seven different categories:

• Comcast Xfinity
• AT&T
• T-Mobile
• McDonald’s
• GEICO
• PepsiCo
• Sprint
• Toyota Dealers Association
• Allstate
• Safeway

For additional information from the Radio Advertising Bureau, please visit here.