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Time For Change 11 07 08

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This document discusses why radio is a good investment for advertisers. It provides the following key points: - Radio reaches over 93% of the population each week, with listeners spending 3+ hours on weekdays and 5+ hours on weekends listening. It also holds over 92% of its audience during commercial breaks. - Radio is expanding its digital capabilities like social media, mobile, and interactive opportunities. - Other media like television, print, yellow pages, and the internet are becoming more fragmented and less effective at reaching audiences. Advertising costs are also rising for these other media. - Radio spending by large companies like Walmart has increased significantly in recent years, showing the effectiveness of radio advertising.

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Theres never been a better time to increase your investment with Radio! Radios audience continues to grow. More listeners today than ever! Radio reaches 93% of the population every week. Thats 2.4 million listeners in the Portland area per week!* Radio is on the forefront of digital. Includes database marketing, social media, mobile and interactive opportunities. Radio Today * Total Survey Area Population Estimate, Spring 2008 2
Radio Today Theres never been a better time to increase your investment with Radio! Radios time-spent-listening is extraordinary. Three hours per weekday and five hours per weekend day. Radio holds more than 92% of its lead-in audience during commercial breaks. Listeners hear your messages! 3Source: RAB/Coleman Study
Radio is a way cooler device (than iPod)...Its about connectionits a century old and still occupying more hours in the average Americans week than network television and just about every other type of entertainment too. -- The Atlantic Monthly (December 2007) Radio Today 4
October 23, 2007 Radio Today 5
Radio is greatly under monetized. Look at the time people spend listening to radio vs. the money currently being spent to advertise on radio its out of whack." - Eric Schmidt, CEO Google USA Today Radio Today 6
Television DVR phenomenon 28% of Households now have DVRs and penetration is expected to reach 50% in 2011. DVRs do not contribute to more TV viewing, just more selective TV viewing. Ad skipping -- 85% of DVR users report skipping 75% of TV commercials. News Impact What do people see/hear when the TV is on? Competitive Landscape Sources: 1.Tech News World, 2007 2.Consumer research from Oliver Wymann firm, 2008 3.Jupiter Research, 2006 7
Television (cont.) Cable/Satellite TV Proliferation Now more than 60% penetration for the Portland market. Clutter: 24% of each hour That equates to at least 29 different advertising messages per hour that must run. Production Costs Very high compared to producing radio messages. Competitive Landscape 8 Source: Comcast, RAB
Print Predominantly a 55+ audience Print no longer effectively reaches Adults 18-49. Massive circulation drops The Oregonian has dropped 54,386 homes in weekday circulation in 3 years! Many dont read the paper at all 6 out of 10 households in Portland (62%) do not subscribe to The Oregonian. Digital Revolution Many sections of the newspaper have been completely replaced by the Web (Recruitment, Classifieds). Competitive Landscape 9 Source: Portland Business Journal, October 2008. Newspaper Performance Report
Yellow Pages Limited Exposure Less than half of Adults now use the Yellow Pages as a source of information. Ad Clutter Your ad is lumped in with all others in the same category. Number of Books At least six Yellow Page books published in Portland every year. When you google Portland Yellow Pages there are 9,420,000 results! Digital Revolution 60% of consumers now use search engines on a typical day (up from 33% in 2002). Competitive Landscape 10 Google, PEW Internet and American Life Project
After years of minimal radio spending, theres increasing evidence Walmart has embraced radio as a way to drive shoppers into stores. Theres also signs its working. The discounter has had some of the strongest sales during the downturn and has seen more upscale consumers looking for deals. Media Monitors says the countrys largest retailer aired 52,739 commercials last weekmore than quadruple its weekly average of 12,784 last year. Inside Radio October 29, 2008 Time For Change 11
Time for ChangeTime for Change Rethink Your Media Mix 12

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Time For Change 11 07 08

  • 1. 1
  • 2. Theres never been a better time to increase your investment with Radio! Radios audience continues to grow. More listeners today than ever! Radio reaches 93% of the population every week. Thats 2.4 million listeners in the Portland area per week!* Radio is on the forefront of digital. Includes database marketing, social media, mobile and interactive opportunities. Radio Today * Total Survey Area Population Estimate, Spring 2008 2
  • 3. Radio Today Theres never been a better time to increase your investment with Radio! Radios time-spent-listening is extraordinary. Three hours per weekday and five hours per weekend day. Radio holds more than 92% of its lead-in audience during commercial breaks. Listeners hear your messages! 3Source: RAB/Coleman Study
  • 4. Radio is a way cooler device (than iPod)...Its about connectionits a century old and still occupying more hours in the average Americans week than network television and just about every other type of entertainment too. -- The Atlantic Monthly (December 2007) Radio Today 4
  • 6. Radio is greatly under monetized. Look at the time people spend listening to radio vs. the money currently being spent to advertise on radio its out of whack." - Eric Schmidt, CEO Google USA Today Radio Today 6
  • 7. Television DVR phenomenon 28% of Households now have DVRs and penetration is expected to reach 50% in 2011. DVRs do not contribute to more TV viewing, just more selective TV viewing. Ad skipping -- 85% of DVR users report skipping 75% of TV commercials. News Impact What do people see/hear when the TV is on? Competitive Landscape Sources: 1.Tech News World, 2007 2.Consumer research from Oliver Wymann firm, 2008 3.Jupiter Research, 2006 7
  • 8. Television (cont.) Cable/Satellite TV Proliferation Now more than 60% penetration for the Portland market. Clutter: 24% of each hour That equates to at least 29 different advertising messages per hour that must run. Production Costs Very high compared to producing radio messages. Competitive Landscape 8 Source: Comcast, RAB
  • 9. Print Predominantly a 55+ audience Print no longer effectively reaches Adults 18-49. Massive circulation drops The Oregonian has dropped 54,386 homes in weekday circulation in 3 years! Many dont read the paper at all 6 out of 10 households in Portland (62%) do not subscribe to The Oregonian. Digital Revolution Many sections of the newspaper have been completely replaced by the Web (Recruitment, Classifieds). Competitive Landscape 9 Source: Portland Business Journal, October 2008. Newspaper Performance Report
  • 10. Yellow Pages Limited Exposure Less than half of Adults now use the Yellow Pages as a source of information. Ad Clutter Your ad is lumped in with all others in the same category. Number of Books At least six Yellow Page books published in Portland every year. When you google Portland Yellow Pages there are 9,420,000 results! Digital Revolution 60% of consumers now use search engines on a typical day (up from 33% in 2002). Competitive Landscape 10 Google, PEW Internet and American Life Project
  • 11. After years of minimal radio spending, theres increasing evidence Walmart has embraced radio as a way to drive shoppers into stores. Theres also signs its working. The discounter has had some of the strongest sales during the downturn and has seen more upscale consumers looking for deals. Media Monitors says the countrys largest retailer aired 52,739 commercials last weekmore than quadruple its weekly average of 12,784 last year. Inside Radio October 29, 2008 Time For Change 11
  • 12. Time for ChangeTime for Change Rethink Your Media Mix 12