November 2022 Local Sales Insight

Digital Makes The AM/FM Radio Plan Better And Vice Versa

New research from Nielsen shows why a blend of digital ad platforms and AM/FM radio is one of the most powerful combinations in media.

According to two studies by the Advertising Research Foundation and the World Advertising Research Center, the greater the number of media platforms used, the greater the marketing effectiveness. Even advertisers with small budgets who are sometimes concerned that adding new media platforms might spread themselves too thin see eye-popping increases in reach when AM/FM radio and digital are used together.

Campaign reach grows +13% to +20% when digital (online video and social) is added to an AM/FM radio plan

Nielsen Commspoint, the media planning platform, examined four types of AM/FM radio campaigns – small, medium, large, and very large. For each of the four AM/FM radio campaigns, the addition of digital was priced as a 20% increase to the base AM/FM radio plan.

In each case, adding a digital media component of online video and social to the AM/FM radio plan generated a +13% to +20% lift in campaign reach.

The addition of digital to the AM/FM radio campaign saw reach grow in every age group, especially among 18-24s.

AM/FM radio is a reach accelerator: Campaign reach soars +27% to +94% when AM/FM radio is added to a digital-only plan

For each of the three digital campaigns (heavy, medium, and light), the addition of AM/FM radio was priced as a 20% increase to the base digital plan. According to Nielsen Media Impact, the media optimization platform, heavy, medium, and light digital campaigns see a boost in audience reach when AM/FM radio is introduced into the media plan.

  • A heavy digital plan sees campaign reach increase +27% with the addition of AM/FM radio
  • A medium digital plan generates a +38% reach growth when AM/FM radio is introduced
  • A light digital media plan finds campaign reach almost doubles (+94%) when AM/FM radio is added to the plan

It is interesting to note that the greater reach lift occurs with adding AM/FM radio to the smallest digital campaign. Advertisers with small budgets are sometimes concerned that adding new media platforms might spread themselves too thin.

The addition of AM/FM radio to a digital plan results in reach lift across all demographics. The older the demographic, the greater the reach lift when AM/FM radio is introduced to a digital media plan. Given that older demographics hold the vast majority of the wealth in the U.S., growing 35+ reach is a powerful marketing strategy.

Nielsen Media Impact: Campaign reach explodes when AM/FM radio is introduced into a TV and digital media plan

Nielsen Media Impact reports a 57% campaign reach is generated by a media plan based on an investment of 68% linear TV, 13% connected TV, and 20% digital.

What happens when AM/FM radio is introduced into the media plan at a 10% allocation with no budget increase? Reach explodes. Nielsen Media Impact reports an astonishing +41% increase in reach due to the addition of AM/FM radio to the media plan with no budget increase.

Key takeaways:

  • Campaign reach grows +13% to +20% when digital (online video and social) is added at a 20% increase to an AM/FM radio plan
  • AM/FM radio is a reach accelerator: Campaign reach soars +27% to +94% when AM/FM radio is added to a digital-only plan at a 20% budget increase
  • Nielsen Media Impact: Campaign reach explodes when AM/FM radio is introduced into a TV and digital media plan

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