US radio advertising revenue remained weak in October, according to new figures from the US Radio Advertising Bureau (RAB). Local sales figures for October fell 6% year on year, while national spend was down 15% and the combined total was down 8%.
In the year-to-date, local figures dropped 4% during the first ten months of 2001, whilst national revenue fell 19%; again, the combined year-to-date total was down 8%.
The deterioration is concentrated on the 15 largest markets in the US, according to the Bureau, and it is these markets that are showing a poorer performance. Below the top 15, radio is performing ‘reasonably well’, says Gary Fries, CEO at the RAB.
The top 15 markets saw year-to-date local declines of 7%, whilst national was down 24% and combined is down 12%. When the figures are indexed against 1998, though, the performance does not look so weak, with year-to-date local at 126.9, national at 114.0 and combined at 125.0 (where 1998 figures are equal to 100).
| Oct 2000 vs Oct 2001 |
YoY Jan-Oct 2001 |
| |
|
|
|
| Local Revenue |
| All Markets |
-0.1 |
All Markets |
-0.0 |
| Local Sales Index |
110.2 |
Local Sales Index |
126.9 |
| |
|
|
|
| |
|
|
|
| National Revenue |
| All Markets |
-0.2 |
All Markets |
-0.2 |
| National Sales Index |
102.5 |
National Sales Index |
114.0 |
| |
|
|
|
| |
|
|
|
| Local & National Revenue |
| All Markets |
-0.1 |
All Markets |
-0.1 |
| Combined Sales Index |
108.8 |
Combined Sales Index |
125.0 |
| |
|
|
|
| Source: Radio Advertising Bureau (US), 18/12/01 |
Early indications are that November is stronger than last year, particularly in local sales. However, the year is expected to end 8% down overall. For 2002, Fries predicts that national will remain flat while local rebounds to end the year up 4%; the combined total for 2003 is forecast to be up 3%.
