Radio Ad Spend 2020
The Traditional Broadcast Radio, Terrestrial Online Radio, and Satellite Radio categories are expected to grow in terms of ad spending in 2020. The Traditional Broadcast Radio is expected to have the slowest growth; projected to be up just 0.13% in 2020 to $15.94 billion. Satellite radio, will grow 5.81% to $182 million in 2020. Finally, the fastest growing category is Terrestrial Online Radio growing at 7.82% into 2020 up to $1.93 million.
Radio categories Expected to Grow in Ad Spending in 2020
- Traditional Broadcast Radio Advertising makes up the largest portion of radio advertising revenue
- Traditional Broadcast Radio Advertising will experience a slight increase in ad revenue from $15.92 billion in 2019 up to $15.94 billion in 2020: a CAGR (Compound Average Growth Rate) of just 0.13%
- Terrestrial Radio Online Advertising is set to grow from $1.79 billion in 2019 to $1.93 billion in 2020. That's a CAGR of 7.82%
- Terrestrial Radio Online Advertising will be the fastest growing category and a driver of growth for the industry
- Satellite Radio Advertising revenue is very tiny compared to the other categories, although it is growing
- Satellite radio was predicted to grow from $172 million in 2019 to $182 million in 2020. That is a CAGR of 5.81%
This research was conducted primarily by investigating reports on the United States radio industry and then the subsequent breakdown and analysis on these reports. The Compound Average Growth Rate was calculated using the formula CAGR = (End Value / Start Value) ^ (1 / 1) - 1.
- Terrestrial Online Radio = ($1.93 b / $1.79 b) ^ (1 / 1) - 1 =7.82%.
- Traditional Broadcast Radio= ($15.94 b / $15.92 b) ^ (1 / 1) - 1 =0.13%.
- Satellite Radio Advertising = ($182 m / $172 m) ^ (1 / 1) - 1 =5.81%.