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%.
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%.