A few months ago, Doug Schoen wrote in Forbes, the country's leading business publication, "You wouldn’t know it from all the media coverage focused on streaming video and streaming music, but recent Nielsen data shows radio actually has the most reach among American media consumers."
To Schoen's point, this week alone, an inordinate amount of attention went to Howard Stern's new contract with satellite radio, a medium that only accounts for 5% of total weekly audio consumption. Also, there was a lot of chatter about new copyright royalty guidelines and how they would affect streaming services like Pandora and Spotify who only account for 12% of weekly audio consumption. Despite the fact that traditional AM/FM radio is the #1 reach medium in America with 93% penetration, the press had very little to say.
With all of the public relations oxygen being sucked out the room by Pandora, Sirius/XM, and other new media, no wonder why Maine small business owners sometime second guess their decisions to advertise their goods and services on Portland radio. But here is one piece of interesting news about AM/FM radio that business owners may have missed last week.
A new study by Nielsen released last week revealed that compared to all new forms of media, people in higher income households spend more time using AM/FM radio than any digital platform. Considerably more time:
AM/FM radio's dominance in high income households is especially impressive since these people are most likely to have access to a diverse range of media options. Significantly more so than in households generating lesser amounts of income.
Despite the proliferation of new media devices in high-income homes, radio is still, by the most used medium among adults member of those households. So, when Maine small business owners need to market their goods and services to consumers with the most money to spend, radio is still the right choice. Or, to quote Doug Schoen from Forbes, "The implications of results like these are profound for the communications and advertising industries and as a marketing professional with over 35 years of experience, I found this data nothing short of fascinating. It’s quite clear that we should all be paying more attention to radio, its reach and potential to help our businesses. It’s doing the job with expert efficiency."
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