Revenue forecast for 2017 +4%
UK Radio is celebrating a record-breaking year for advertising revenue, with advertisers spending £645.8 million in commercial radio in 2016, according to the RAB. This is the highest ever revenue across the network! The main sector driving this is retail and more specifically online retail.
This boom has had an effect on availability in the market and since Q4 2016 we have seen some stations at full capacity two weeks in advance. For MediaCom clients it is now more essential than ever to book audio in line with TV advanced booking deadlines (typically 8 weeks) to guarantee the best schedule, laydown and value.
Another big talking point across the radio market is the use of Programmatic and Digital Audio.
Whilst it’s one of the most exciting areas in 2017 for the UK, it is also a main focus point in the US. The audio market in the UK normally follows trends set out in the US, and in 2016 AD Week in the US ran a ection dedicated to “NEW GOLDEN AGE OF AUDIO”, which was a clear indication of where the Audio market in the UK is heading.
DAX and Xaxis are by far the industry leaders in Digital Audio and have a number of areas and projects they are developing, but the three that we believe advertisers should be most interested in are: Data, Effectiveness and Sync.
Data – DAX are currently signing agreements with other media owners to use their data. The first partnership of its kind was Haymarket which allowed DAX to use their best-in-market Auto Intenders data. MediaCom ran the first campaign in the UK to use this data and the results we received back were fantastic.
Effectiveness – for Digital Audio this is a worldwide issue and DAX have been developing tech in this area for the last year and now have Listener Insight ID. This allows us to track users post listen to see if they go to a certain website. This is invaluable data for clients and I think will help gain new brands on board and repeat spend.
OOH Sync – MediaCom saw success with traditional radio and OOH sync with a big soft drinks advertiser in 2016 and we feel this is now another element to add to that campaign. It enables advertisers to give their OOH plan to Dax and they will geo-fence the Audio. You can also target areas such as cinemas, shops, restaurants. It sounds a nice simple win but not many are currently doing this.