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

How does it work? The evidence for radio’s effectiveness. The evidence for radio’s effectiveness. Radio effectiveness – the headline findings How ad avoidance challenges media effectiveness How radio successfully combines with other media. Radio effectiveness – the headline findings.

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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. Radio effectiveness – the headline findings The Awareness Multiplier 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. Radio effectiveness – the headline findings The Sales Multiplier

  8. The Sales MultiplierHow did we conduct the research?

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

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

  11. Advertising is increasingly ubiquitous

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

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

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

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

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

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

  18. Radio and TV

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

  20. Different modes and mindsets

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

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

  23. Radio and newspapers

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

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

  26. 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

  27. 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

  28. Radio and newspapersRadio’s low ad avoidance enables it to get messages under the radar RADIO PRESS IN-MARKET AUDIENCE (ready to respond now) The effect of ad avoidance WIDER AUDIENCE (not yet ready to respond) Source: RAB

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

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

  31. Radio and the internet

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

  33. Radio and the internet are natural partners… • Radio is best at… • Keeping me company • Helping me to relax • Making me feel happy The internet is best at… Helping me find information Saving me time and trouble Giving me what I want when I want it

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

  35. 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

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

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

  38. Radio and price promotions

  39. Brand IRadio vs. competitor price promo Total Volume % change vs. period preceding promotion Source: dunnhumby

  40. Brand IRadio vs. competitor price promo Total Volume % change vs. period preceding promotion Source: dunnhumby

  41. Brand IRadio vs. competitor price promo Total Volume % change vs. period preceding promotion Source: dunnhumby

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

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

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

  45. Radio in isolation

  46. Radio’s multiplier effect + 15% + 180% 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 + 350% + 27%

  47. 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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