Advertisers Would Pay 16% Extra For In-Car Visual Displays That Sync To AM/FM Radio Ads
According to a May 2024 study of 305 national media agencies and advertisers conducted by Advertiser Perceptions, 80% of agencies and advertisers say they are interested in the ability to display visuals on in-car radio displays that sync to AM/FM radio ads.
Among media agencies and marketers, in-car advertiser visuals are growing in awareness
Agencies and advertisers love the idea of visual ad messaging on the in-car display synced to AM/FM radio ads. Awareness of this capability is growing. When shown an advertiser visual on an in-car radio display, two-thirds of media agencies and marketers say they are very or somewhat familiar with in-dash visuals, up from 49% in 2021.
Advertisers are willing to spend 16% more on AM/FM radio buys that include in-car visual displays
As awareness and interest in in-car visual displays that sync to radio ads have grown, so has the value advertisers and agencies place on this concept.
The addition of in-dash visuals to AM/FM radio ads is worth an average 16% increase in media spend on top of the AM/FM radio buy according to the Advertiser Perceptions study. This is up from the 12% increase agencies and advertisers were willing to pay in 2021.
Associating a visual with AM/FM radio ads takes advantage of AM/FM radio’s massive share of in-car listening
According to Edison Research’s just-released Q1 2024 “Share of Ear” study, AM/FM radio has a dominant 86% share of in-car ad-supported audio. AM/FM radio’s enormous in-car audience share has hovered in the high 80s for the last six years.
Younger drivers pay the most attention to the in-dash radio display screen
Advertisers are challenged by hard-to-reach younger consumers who skip online video ads, use ad blockers, and rarely watch linear TV. It turns out younger consumers pay the most attention to the visuals on in-car radio displays.
The Cumulus Media | Westwood One Audio Active Group© commissioned MARU/Matchbox to conduct a national study of 1,065 adults 18+ in June 2021. According to the study, 66% of adults 18-34 say they pay attention to the radio screen while they listen in-car. 57% of adults 35-49 say they pay attention to the in-dash visuals on radio displays.
The more you listen and drive, the more you notice the in-car AM/FM radio display
Attentiveness to in-dash visual displays increases by the amount of AM/FM radio time spent and miles traveled. 70% of heavy AM/FM radio listeners say they regularly/occasionally pay attention to the in-car AM/FM radio display screen when they listen. 64% of “mega milers,” those who clock 150 or more miles in the car weekly, say they regularly/occasionally pay attention to the in-car AM/FM radio display screen when they listen.
According to Quu, the firm whose technology enables the creation of advertiser visuals for the in-dash radio, and Xperi, the maker of in-car audio entertainment devices and DTS AutoStage, 80% of the cars on the road can depict song and artist information, the name and frequency of the radio station, and short advertising messages.