With local advertising projected to hit almost $170 billion in 2025, AM/FM Radio is the fifth largest beneficiary of that advertising revenue.
According to the latest forecasting from BIA Advisory Services, $12.3 billion of local advertising will be spent with AM/FM Radio and digital aspects of the medium. Of that figure, $2.3 billion is spent with radio’s digital offerings.
That rests behind $16.3 billion earmarked for over-the-air and digital television, $32 billion for PC/laptop advertising, $36.8 billion in direct mail, and $39.6 billion in mobile advertising. Without political advertising, over-the-air television is expected to see a 24.9% decrease in local revenue in 2025.
“The main takeaway — in terms of trends from all of that information — is that radio is still a very important ad platform,” BIA Advisory Services Vice President of Forecasting and Data Analysis Senan Mele said. “64% of U.S. adults listen to traditional radio, and over half of them tune in to AM and FM stations every day, averaging over 12 hours per week.”
The largest sectors spending money with terrestrial radio and radio digital products are Investment & Retirement Advice ($518 million), Quick-Service Restaurants/Fast Food ($499 million), Supermarket/Grocery Stores ($441 million), Commercial Banking ($430 million), and Hospitals ($403 million).
Real Estate Development (+8.2%), Mattress Stores/Sleep Centers (+2.3%), and Direct Life Insurance Providers (+2.2%) have all seen year-over-year increases in AM/FM Radio spending.
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