RAB Sets Sights On 10% Share Of Display Revenue By 2010
The Radio Advertising Bureau has predicted that commercial radio can achieve a 10% share of display advertising revenue by the end of the decade as it exploits its power as a brand conversation medium.
The radio industry body claims that the ambitious 10% target is achievable because of the continued growth in radio audiences, better understanding on the medium in creative departments and greater acceptance by major advertisers such as Proctor & Gamble.
The RAB also said that the radio industry is more productive creating a dialogue with consumers and helping to build brand awareness. It recently launched a guide for advertisers explaining how radio can help brands evolve in the new marketing context (see RAB Launches Brand Conversation Guide For Marketers).
Figures from the past two quarters show that radio has achieved a 7.1% share of the display advertising market. This is the first time that the sector has broken the 7% barrier across a full twelve-month period as it continues to lead the way out of the advertising downturn.
In 1996, the commercial radio industry was challenged to hit the 10% mark by business guru, Sir John Harvey Jones. At the time the sector had a 4.3% share and the prospect of more than doubling it looked remote.
However, Douglas McArthur, chief executive of the RAB, said: “Being challenged by Sir John to talk about 10% was pretty scary, and I have never gone on the record in accepting 10% as a target – preferring to use 8% as a target. The latest figures confirm our position of being over 7% for the whole of the last year, so I think I need to re-address this daunting target of 10%.”
Last month The RAB forecast a massive upturn in radio listening hours thanks to the growing popularity of digital stations, but warned that the new technology also brings dangers to conventional programming and advertising (see RAB Forecasts Listening Growth Through Digital Radio).
RAB: 020 7306 2500 www.rab.co.uk
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