For as long as frequency has been debated, so has Media Inflation Watch been a highly contentious issue. Not ones to mark our own homework, we asked Mike Leahy for a quick synopsis on how radio fared in 2011and we’re pleased to announce that the results are good – very good…
Media Inflation Watch, an analysis module of Media Manager online, hasn’t been too kind to radio in the last few years. Whereas station rates were pretty conservative, the performance delivered didn’t quite add up.
In the last few years RAMS data indicated that the average listener was spending less and less time with the medium. Although last 7 day numbers were still high, the numbers for the average ¼ hour and thus the performance of the average commercial spot was falling, placing severe pressure on the competitiveness of the medium as measured.
Fast forward to 2011, however,and a different picture emerges – one in which the average listener is deciding that it is worth devoting time with radio.Looking at the diagram below, and for the most part, audience growth continues to outpace rate card rate increases – (the most positive results seen by radio for some years!).
Radio also has the lowest cost per thousand at R29.13, when compared with television at R48.31 and print at R108.46, meaning that advertisers are able to reach all income brackets more cost effectively.
This, coupled with the audience resuscitation indicated below means that the number of listeners to the average spot is stabilised. It has led to a more competitive MIW index, to the relief of…well, everyone!