Spot radio spending falls as 2013 ends
Off 3 percent during fourth quarter as political and auto fall
March 17, 2014
Spot radio ad spending took a small hit to end 2013, wrapping up a year where overall radio ad revenue was flat.
A decline in political ad spending in an off-election year, combined with a decrease in spending by automotive, took a toll on spot during fourth quarter, according to numbers out today from the Radio Advertising Bureau.
Spot radio spending, which accounts for about 80 percent of all radio ad revenue, fell 3 percent in fourth quarter, to $3.626 billion.
Total fourth-quarter radio advertising was flat at $4.6 billion, with network (up 7 percent), digital (up 18 percent) and off-air (up 11 percent) seeing gains that offset spot’s decline.
For the full year, spot was off 1 percent, to $14.054 billion.
Off-air, which includes things like advertiser-sponsored remote broadcasts, was up 5 percent for the year, to $1.584 billion, and digital was up 16 percent, to $889 million.
Network radio was also down for the full year, falling 4 percent, to $1.122 billion.
RAB said a large part of the spot declines were because of the lack of political advertising in 2013, which was not a presidential or congressional election year.
Though candidates and political action groups spend much more on television than radio, they typically ramp up radio buys in the fourth quarter to escape the political ad clutter on TV.
And in election years, radio also benefits from other advertisers getting bumped off of television during fourth quarter. Those bumped advertisers often move their money to radio.
Spot radio was also hurt last year by declines in automotive ad spending, the No. 1 radio category, off 1 percent during fourth quarter and 3 percent for full 2013.
The dips likely reflect the bigger ad push in 2012, when auto had a very strong year coming off the 2011 Japanese tsunami that impacted car sales.
Toyota Dealer Association, the No. 1 auto advertiser last year, cut spending by 7 percent for the full year.
And Honda Dealer Association cut back by a third in fourth quarter, though it still ranked as the No. 2 auto advertiser in the quarter.
While auto and political were down, a handful of ad categories did increase spending on radio last year, most notably communications.
Communications was up 18 percent over 2012 and ranked as the No. 2 category behind auto for the full year.
Four communications advertisers ranked in the top 10 for the year, including AT&T, the No. 1 spender, up 63 percent over 2012.
T-Mobile (up 29 percent), Sprint (up 91 percent) and Tracfone Wireless (up 41 percent) also saw notable increases for the full year.
So what’s going on at ‘The View,’ anyway?
It’s going to be a green Valentine’s Day
Yep, it’s another comic book series
NFL gets its own YouTube channel
Super Bowl ads: Fun’s not always effective
Billboard: ‘Deflate mortgages, not balls’
NBC’s Miss Universe surges on new night
Man shoots himself outside FNC offices
This week’s top movies, songs and books
Buyer’s primer on Super Bowl viewing
Seattle: Big bump from the Super Bowl
‘Ellen’s Design Challenge,’ eye-catching
So it begins, week of the Super Bowl
- Tom Smith becomes managing director at Allison+Partners
- Rachel Rusch becomes VP of event series at Fox
- Sixteen join Rodale's upcoming title Organic Life
- Amy Emmerich becomes head of video at Refinery29
- Kyle Dean Massey joins the cast of ABC's 'Nashville'
- Richard Lewis joins Starz's 'Blunt Talk'
- Colm Feore joins the cast of Fox's 'Gotham'
- Adam Levine performing on ABC's Oscars telecast
- Carrie Underwood performing NBC's Super Bowl opening theme
- Will Ferrell, Kevin Hart and Ariana Grande guesting on 'Tonight'
This week’s top movies, songs and books
This week’s daypart ratings
This week’s broadcast ratings
This week’s cable ratings
This month’s new media traffic data
This week’s younger viewer ratings
Programmatic media planner wanted in New York
Assistant digital media planner job in Dearborn, Michigan
Media planner/buyer position in Baltimore
Freelance media planner/buyer available
Media planner/buyer job in Cleveland