RADIO – The ROI Multiplier
RAB UK world first in evaluating radio ad effectiveness
in terms of revenue return on investment.
The results are based on an analysis of confidential ROI data supplied
by nine agencies representing all major media agency groups,
covering over 2,000 individual media campaigns across 517 separate
advertising campaigns. The campaigns covered ten major sectors, and
used a variety of multi-media combinations. All data were supplied
direct by the agencies, and unbranded to preserve client
confidentiality.
£8.70
Average ROI for Brands
£7.70
£5.80
£4.90
£2.00
464
122
122
41
12
RADIO
TV
Press
Outdoor
Online
• Brands using radio get their money back nearly eight
times over on average, and in many sectors, radio
offers the best ROI of any media
• For radio campaign planners, maximising weekly reach
rather than frequency delivers significantly stronger ROI
• The brands which have the highest radio ROI use
commercials which stand out, fit well with the brand
and communicate information clearly
• Using more radio boosts overall campaign ROI: if
existing budgets are reallocated from other media to
give radio a 20% share of spend, overall campaign ROI
increases by 8%
• For Canadian radio, this is equivalent to advertisers
recouping over $125 million in untapped return on
their advertising investment
On average radio advertisers get their money back 7.7
times over, although some categories show exceptional
performance, notably automotive and retailer brands, as
well as impulse products.
This makes radio the medium with the second-highest
return on investment (TV is first), out-performing press,
outdoor and online.
RAB ROI Multiplier Participating Agencies
ROI analysis provided by
Holmes & Cook, an award winning
econometric consultancy, providing
insight into marketing and
communications effectiveness
Note: Number of cases analyzed for each medium shown at base of column
RADIO ROI BY SECTOR
= RADIO delivers the highest ROI
All
£7.70
APRIL 2015 BOARD REVIEW
Automotive
£6.00
Finance
£2.30
FMCG
£1.90
Source: Radio ROI Dataset RAB: Radio – The ROI Multiplier
Govt. &
Charity
£16.70
Health
&
Fitness
£0.90
Leisure &
Ent.
£11.00
Retail
£18.90
Services
£2.40
Telecoms
£2.30
Travel
£5.70