2. 2
OUR GOAL:
Provide a snapshot of radio’s
capabilities in 2011 and into the future

3. 3
RADIO
• On Air
– A mass medium capable of easily delivering your message to many people
– Targetable (by demo, lifestyle and geography) to assure the right people are
exposed to your message with little waste
• Online
– Digital capabilities offering interactive opportunities to complement and
enhance your campaign and reach consumers using multiple touch points
• On Target
– An environment that delivers consumers who are engaged and passionate
about the content
– Exposure to your message when and where consumers are ready to buy or shop

4. 4
radio
On Air. Online. On Target.

5. 5
TODAY’S RADIO AUDIENCE
Increase of almost 9 million over 4 years ago
241,362,000
The Weekly Broadcast Radio Audience
Increase of nearly 1 million over 2010
Sources: RADAR 110 September 2011, Arbitron (Persons 12+, Monday-Sunday 6a-12Mid Weekly Cume Estimates, % of Population Reached)

6. 6
TODAY’S RADIO AUDIENCE
What percentage of America
listens to radio each week?

7. TODAY’S RADIO AUDIENCE
93%
of Americans 12+ every week
Sources: RADAR 110 September 2011, Arbitron (Persons 12+, Monday-Sunday 6a-12Mid Weekly Cume Estimates, % of Population Reached)

8. 8
PEOPLE CONTINUE TO SPEND TIME
WITH RADIO
% Daily Reach 331
P18+
109
77
Minutes
Per User
41 94%
22 77%
64%
35%
27%
Magazine Newspapers Internet Broadcast Radio Television
Note: Internet usage excludes e-mail: TV usage excludes time-shifted viewing
Source: ―How U.S. Adults Use Radio and Other Forms of Audio‖, 2009; an Analysis of the Consumer Mapping Study by the Council of Research Excellence

9. 9
BROADCAST RADIO IS THE DOMINANT
SOURCE FOR AUDIO CONTENT
% Daily Reach of Audio
109
P18+
Minutes
Per User
53
72
77%
81
37% 69 65 40%
67
15% 12% 10% 9%
Broadc ast CDs/Tapes Satellite Radio iPods / MP3s Stored on Streaming on Other Audio
Radio Portable MP3 Computer Computer
players
Note: ―Other Audio‖ includes background music at
restaurants, retail, elevator music, etc.
Source: Council for Research Excellence, Consumer Mapping Study, ―How U.S. Adults Use Radio and Other Forms of Audio‖, 2009;

10. 10
BROADCAST RADIO CAPTURES MORE THAN
14 HOURS OF TUNE-IN EACH WEEK
15:37 15:39
13:48 13:16 14:16
Hrs. & Min. With Radio Hrs. & Min. With Radio
W18+ M18+ P18-34 P35-64 P65+
Source: RADAR 110 September 2011, Arbitron (Monday-Sunday 24-Hour Weekly Cume Estimates)

11. 11
ETHNIC RADIO CAPTURES MORE THAN
15 HOURS OF TUNE-IN EACH WEEK
16:29 16:21
15:39 15:22
13:50 14:16
15:39 15:20
13:16 14:16
13:16 13:17
Hrs. & Min.
With Radio
18-34 35-64 65+
18-34 35-64 65+
General Market Hispanics General Market African-Americans
• Slightly higher listening levels when looking at African-American
and Hispanic listeners
• African-Americans are heaviest users
Source: RADAR 110 September 2011, Arbitron (Monday-Sunday 24-Hour Weekly Cumes and Time Spent Listening Estimates)

12. 12
radio
On Air. Online. On Target.

13. 13
RADIO IS SPONSORED AUDIO CONTENT
STREAMING
BROADCAST INTERNET RADIO
RADIO
HD RADIO®
iPHONE®
iPAD®
IN-DASH
INTERNET
RADIO
AUDIO
iPOD®
DIGITAL
MUSIC
SERVICES
iTUNES®
LISTENER-
DRIVEN PODCASTS
RADIO

14. 14
RADIO’S PLACE IN THE DIGITAL LANDSCAPE
CONTINUES TO EXPAND
Television 98%
Local AM/FM Radio 93%
Cell Phone 84%
Broadband Internet 70%
Online Radio 56%
Online Video 54%
Facebook® 51%
YouTube® 49%
Digital Video Recorder 36%
Video on Demand 35%
iPod 31%
% of American 12+ Who Own/Use
Smartphone 31% Platform or Device
Audio Podcasts 25%
Broadcast Radio is the second most used device/platform in American’s lives
Source: The Infinite Dial 2011 – Arbitron Inc. Edison Media Research

15. 15
RADIO’S PLACE IN THE DIGITAL LANDSCAPE
CONTINUES TO EXPAND
Pandora 24%
MP3 player (other than iPod) 23%
Video Podcasts 22%
Hulu™ 20%
MySpace 17%
Android™ Smartphone 13%
Satellite Radio 12%
BlackBerry® 11%
iPhone 9%
LinkedIn 9%
Twitter® 8%
E-Readers 7% % of American 12+ Who Own/Use
Platform or Device
iPad 4%
Location-Based Services 4%
Radio is available in many of these growing digital formats
Source: The Infinite Dial 2011 – Arbitron Inc. , Edison Media Research

16. 16
WEEKLY ONLINE RADIO AUDIENCE
AT ALL-TIME HIGH
25%
20%
15%
10%
5%
0%
Jan '01 Jan '06 Jan '11
89 million monthly listeners 12+ in the U.S.
Source: The Infinite Dial 2010 & 2011 – Arbitron Inc. , Edison Media Research

17. 17
AUDIO STREAMING MIRRORS
THE WORKDAY
35000
30000 Local Broadcast Streaming
Audience (29 stations)
25000
AQH Persons 6+
20000
15000
10000
5000
0
Mo-Fr 1P-2P
Mo-Fr 2P-3P
Mo-Fr 3P-4P
Mo-Fr 4P-5P
Mo-Fr 5P-6P
Mo-Fr 6P-7P
Mo-Fr 7P-8P
Mo-Fr 8P-9P
Mo-Fr 6A-7A
Mo-Fr 7A-8A
Mo-Fr 8A-9A
Mo-Fr 9P-10P
Mo-Fr 12P-1P
Mo-Fr 9A-10A
Mo-Fr 10A-11A
Mo-Fr 11A-12P
Mo-Fr 11P-12A
Mo-Fr 10P-11P
Source: Jul2011 – Local Streaming Station Audience as Reported in Arbitron Monthly PPM Data for Persons 6+ (29 stations from 21 metros)

18. 18
ONLINE RADIO LISTENING IS A COMPLEMENT
TO OVER-THE-AIR RADIO, NOT A SUBSTITUTE
Listening to Broadcast Radio
89% 11% Listening to only Online Radio
% of weekly online radio listeners who listened to broadcast radio
versus those who did not
Source: The Infinite Dial 2010 & 2011 – Arbitron Inc. Edison Media Research

19. 19
DIGITAL GROWTH IN 2011
Projected 6,000 streaming More than 2,000 stations 31 million Americans
stations by 2012 broadcasting in HD have downloaded
a podcast in the
past month
Source: Inside Radio/M Street Corp., The Radio Book 2010-2011; iBiquity/HD Radio Alliance; Arbitron/Edison Research: Infinite Dial 2011

20. 20
THE EVOLVING DASHBOARD
EXPANDING RADIO’S VISUAL CAPABILITIES
In-dash technology offers listeners:
• HD Radio
• Multicast stations offering exclusive
sports and music formats
• News, sports and weather on demand
• Navigation system offering real time
traffic
• Song-tagging
• Applink – Pandora, Twitter, Facebook

21. 21
AM/FM RADIO IS STILL THE MOST
ESSENTIAL IN-CAR DEVICE
“Think about the time you spend in your primary car.
What percent of the time would you say you listen to…”
Sources: Arbitron-Edison-Scarborough Study 2011; The Road Ahead; BASE: use at least one audio device in car

22. 22
RADIO’S DIGITAL PLATFORMS:
HYPERLOCAL SITES
Branded and non-branded
station sites serving as an
entertainment source
delivering local events, news
and sports updates

23. 23
RADIO’S DIGITAL PLATFORMS:
ON-DEMAND AUDIO
• Offering sports, music, information and entertainment
downloads whenever the listener wants it
• News, weather, sports, private events, pre- and post-concerts
videos, etc.

24. 24
RADIO’S DIGITAL PLATFORMS:
AUDIO ON MOBILE
• 23% of mobile phone owners listen to music or some other form of audio each month
• An average of 4 hours per week is spent listening to audio content on a cell phone/smartphone
– 18- to 34-year-olds listen an average of 5 hours per week
• Radio apps consistently among the Top 10 free app downloads
– 7.5M+ listeners have downloaded apps for AOL Radio, Yahoo! Music™ and Last.fm
– 11.5M+ listeners have downloaded the iheartradio app
Sources: Arbitron-Edison Infinite Dial Study 2011; Simmons 2010 Mobile Consumer Report; Bridge Ratings Device Usage Update – Sample Size 1956;
CBS Radio and Clear Channel Online Music & Radio; iheartradio.com

25. 25
RADIO’S DIGITAL PLATFORMS:
MOBILE APPS FOR YOUTH
Radio Disney App allows listeners to gain access anytime, anywhere, plus
interact with Radio Disney for FREE with features including:
• Listen to live on-air, multi-task listening, song requests, shout-outs, recent
playlists, listen to on-air activity and learn about local events

26. 26
RADIO’S DIGITAL PLATFORMS:
LISTENER INTERACTIVITY
Listener Driven Radio ―Remote Control Radio‖ – WKLS-FM in Atlanta
• Offers listeners real-time control of a radio • Increase of social media usage by radio
station's programming • Listeners can ―program‖ the station by
• Move songs in the playlist queue; recommend tweeting, texting, etc., and voting about the
songs for airplay; receive SMS text messages, IMs songs on air—all in real time
or e-mails when their favorite songs play; song
dedications via Facebook

27. 27
RADIO’S DIGITAL PLATFORMS:
LISTENER INTERACTIVITY
Q: Which method do you use to communicate with any AM or FM radio station or one of its DJs?
215
Twitter INDEX
18-34
Facebook 170
INDEX Total 12+
155
Text message
INDEX
Email
Telephone
0% 20% 40% 60% 80% 100%
Arbitron/Edison National Media Survey 2011 (multiple answers accepted)
27
Sample size: 536 people who have ever communicated with a radio station (27% of US population 12+)

28. 28
SOCIAL NETWORK AND
RELATIONSHIP MARKETING
• Many stations are integrating Facebook and Twitter with their loyalty clubs
• Loyal listener databases extend the connection that listeners have with their
stations by offering exclusive opportunities and deals
• Databases are virtually untapped by advertisers

29. 29
SOCIAL MEDIA USERS FAVOR RADIO OVER
TV AND CABLE
Index of Social Networking Usage (100 is average)
RADIO USAGE TV/CABLE
106 HEAVY 63
111 MEDIUM/HEAVY 84
114 MEDIUM 103
98 MEDIUM/LIGHT 120
71 LIGHT 130
How to read: Light TV/Cable viewers are 30% more likely to be
users of social networking sites like Facebook and Twitter
Source: Scarborough USA+ Rel 1 of 2011 (12mo) ,Persons 18+ (sample size 77,480)
Social Networking Usage on a mobile device vs Media Quintile

30. 30
DATA MINING AND GROUP COUPONING
• Robust database
– Offers insights into programming and
marketing to listeners
– Provides engagement metric with
stations and advertised brands
• 22% of people who visit a broadcast radio
station Web site clip advertiser coupons
Source: Arbitron-Edison Infinite Dial Study 2010

31. 31
RADIO DELIVERS GROUP COUPONING
Household members use the internet for coupons
• Radio reaches 94.4% of them each week
• 33.2% NEVER use the Yellow Pages
• 43.1% did NOT read a newspaper in the past 7 days
Household obtains ―cents-off‖ coupon from e-mail or text messages
• Radio reaches 94.6% of them each week
• 32.4% NEVER use the Yellow Pages
• 44.0% did NOT read a newspaper in the past 7 days
Source: Scarborough USA+ Release 1 of 2011 (12mo) , Persons 18+ (Sample size for internet coupons: 34,985 and e-mail/text coupons: 33,100)

32. 32
radio
On Air. Online. On Target.

33. 33
RADIO DOMINATES THE RETAIL DAY
% of Media Time Spent per Day
A25-54
40%
35%
30%
25%
20%
15%
10%
5%
0%
Broadcast Radio Television Internet Magazines Newspapers
Source: Gfk MRI - MediaDay 2009 Single Year (Fieldwork 08-09/Spring Respondents) Weighted to Population (000) Base All; A25-54

34. 34
RADIO REACHES LISTENERS OUTSIDE THE
HOME WHEN THEY ARE READY TO BUY
100%
90%
80% 37%
49%
70% 58%
72% 72%
60%
50%
40%
30% 63%
51%
20% 42%
28% 28%
10%
0%
M-F 5A-10A M-F 10A-3P M-F 3P-7P M-F 7P-12M M-F 12M-5A
Proportion of Listening at Home Proportion of Listening Away From Home
Source: Arbitron Spring 2011, Persons 12+, National Regional Database

35. 35
RADIO REACHES CLOSEST TO THE
POINT OF PURCHASE
Radio is the most-used medium just prior to shopping
• 62% of shoppers listened to radio 13 minutes
prior to purchase
• 90% of consumers are in their vehicles less than 6 minutes
before shopping
–Audio captures 89% of in-car media time
Source: ―Video Consumer mapping Study,‖ Center for Research Excellence, June 2010 – Adults 18+

36. 36
RADIO MOTIVATES BEHAVIOR
• Radio drives sales
– On air personalities were given KINECT for XBOX 360 prior
to launch. The buzz they generated led Microsoft to
increase their forecast by 40%. XBOX 360 sales doubled.
• Radio builds brand trust
– Wells Fargo coached radio personalities to evaluate their
investments for retirement on the air. Campaign
generated 50,000 inquiries for investment information.
• Radio engages consumers
– Guitar Center’s ―Get Schooled‖ program used radio to
create a one-of-a-kind experience which led to 10,000
visitors to each event and outstanding reviews in the press
Source: Local Radio Case Studies

37. 37
LISTENERS HAVE EMOTIONAL CONNECTIONS
TO THEIR FAVORITE RADIO PERSONALITIES
My Favorite Local Radio Personality...
Makes me laugh 8.4
Cares about his or her listeners and fans 8.1
Is genuine 8.0
Talks about things that I like to
7.9
share/discuss with my friends
Is a credible source of information 7.7
Makes me think or reflect on a certain
7.6
topic
Based on 1-10 Agreeability Scale
Source: Katz Marketing Solutions: 2008 Starcom Mediavest GM Study

38. 38
PERSONALITIES VALUED WITHIN
THE COMMUNITY
Listeners are loyal to their
broadcast radio personalities,
have an emotional connection,
rely on them for entertainment
Listeners see radio personalities as
―heroes‖ within their community who
have helped support organizations
and cause-related events

39. 39
RADIO ADS ARE MORE PERSONALLY
RELEVANT THAN OTHER MEDIA
% Who Agree Strongly or Somewhat Agree
60%
50%
Radio
40%
Other Media
30%
20%
10%
0%
Local Products Reach People Meant For Connected to Community Reaching You Personally
Consumers perceive radio ads are more relevant and local
than newspapers, TV or Internet ads
Source: ―Personal Relevance Two: Radio’s Receptive Ad Environment‖ (2006), Harris Interactive/Wirthlin Worldwide; Radio ads compared to average of other media

40. 40
RADIO BOOSTS UNAIDED RECALL
Unaided Brand Recall
Two TV/Newspaper Ads vs. One TV/Newspaper Ad Plus Two Radio Ads
300 280
Test Advertiser Categories:
• Fast Food
• OTC Allergy Medicine
Recall Score Indices
200 34% Better • Auto
Recall for • Cell Phone Service Provider
Radio Mix • Credit Card
134
Newspapers & Radio
100 100
100
Newspapers
TV & Radio
0
When radio is included in a TV or newspaper campaign,
brand recall significantly increases
Source: ―The Benefits of Synergy: Moving Money Into Radio‖ with PreTesting Company (2004); Approximately 100 Respondents per Group

41. 41
RADIO BOOSTS UNAIDED RECALL
Unaided Brand Recall
Nearly 4 ½ times greater when radio is added to Internet-only campaign
35 33
32
30
30
27 27
25 25
25
Percent Recalling Brands
Test Advertiser Categories:
20 • Fast Food
20
• Other Restaurant
• Grocery Meat
15 • Grocery Canned
12
• OTC Headache
10 9 • OTC Breath
7 • Travel
4 4 • Electronic Device
5 3 3
1
0
Brand 1 Brand 2 Brand 3 Brand 4 Brand 5 Brand 6 Brand 7 Brand 8
Two Internet Ads One Internet, One Radio
Source: ―Radio and the Internet: Powerful Complements for Advertisers‖ With Harris Interactive (2006); Approximately 100 Respondents per Column

42. 42
RADIO DRIVES TRAFFIC, CONSIDERATION
AND BUILDS BRANDS
Theatrical Electronics Finance
(Thriller) (Digital Cameras) (Consumer Banking)
Goal Generate awareness about Increase purchase intent of Increase consideration and
film brand purchase intent
Radio Plan Top 20 markets – Summer ’10 Top 40 markets – 4Q ’10 Top 5 markets – 4Q ’10
Results 29% increase in film 12% increase in purchase 20% increase in likelihood of
awareness among moviegoers intent among prospects who opening an account among
exposed to radio campaign were exposed to radio prospects exposed to radio
campaign campaign
Source: Katz Marketing Solutions, Custom Research Study.

43. 43
RADIO’S TACTICAL STRENGTHS
Control by Time of Day and/or
Day of Week 96%
Reach People out of Home 89%
Geo-Targeting
(Target by DMA or Metro) 82%
Create/Rotate Messages Quickly 79%
Source: Compose 2010; Based on Expert Panel (40 Senior Planners/Researchers From Leading Media Agencies)

44. 44
RADIO’S ROLE IN THE
MARKETING PLAN Radio across platforms, with
mass reach and local
sensibility fulfills multiple
roles in the marketing plan
Brand Equity
Social
Awareness
Networking
CONSUMER
Word of
Promotion
Mouth
Experiential

45. 45
RADIO
• On Air
– A mass medium capable of easily delivering your message to many people
– Targetable (by demo, lifestyle and geography) to assure the right people
are exposed to your message with little waste
• Online
– Digital capabilities offering interactive opportunities to complement and
enhance your campaign and reach consumers using multiple touch points
• On Target
– An environment that delivers consumers who are engaged and passionate
about the content
– Exposure to your message when and where consumers are ready to
buy or shop

46. 46
CONSUMING AUDIO HOW,
WHERE AND WHEN THEY WANT IT
GETTING
WAKE UP READY FOR WORK AM COMMUTE AT WORK
#1 Medium from More people listen Audio captures 89% of 89 million consumers
5AM-5PM daily than visit the Web in-car media time tune in online every month
TELECOMMUTING PM COMMUTE FOR THE BIG GAME
Consumers listen on their 90% of PM commuters tune Listening surges
mobile device 5 hours/week in just before stopping to shop during sporting events

47. 47
FOR ADDITIONAL INFORMATION
• www.arbitron.com/home/radiotoday.htm
• www.raisingthevolume.com ( Katz Marketing Solutions )
• www.rab.com
• www.radioadlab.org
• www.radiomercuryawards.com
• www.researchexcellence.com
• www.thebestofradio.com
Any brand names, product names, or titles used in this presentation are trademarks, trade names and/or copyrights of their respective holders. All images are used
for purposes of demonstration only, and the entities associated with the products shown in those images are not affiliated with Arbitron in any way, nor have they
provided endorsements of any kind. No permission is given to make use of any of the above, and such use may constitute an infringement of the holder's rights.