Traditional radio has been popular for decades, but marketers today seem surprised when they learn about current listenership stats. For example, in a recent Infinite Dial survey by Triton Digital and Edison Research, it was found that eighty-two percent of the population's go-to car audio source is AM/FM radio.
Competition is fierce when it comes to in-car audio options between CDs, streaming music, satellite radio, and podcasts. This can lead advertisers to ask, how does traditional radio mange to lead the pack?
For one, it's easy. Think about it — when you first turn on your car, the radio is right there at an arms length. And if it happens to be turned 'off', all you have to do is push a button. The vast majority of listeners still find this to be more convenient than other entertainment options.
AM/FM is also a top medium to receive information about your community. For most of the country, radio is a main source for all things local: news, events, stories, and announcements. Plus, local personalities (and even national personalities like Ryan Seacrest) keep drivers company during commutes. Many people have favorite on-air hosts that they look forward to listening to during their morning drives to the office.
Connected Cars Are the Future
What's next for car audio advertising? The simple answer is data. Connected cars are becoming more and more relevant and with that growth comes a higher interest in in-car advertising.
Wait, data? What do we mean when we talk about connected car data?
Connected cars have the ability to track a lot of information about listeners, their current location, where they live and work, the music and stations they listen to, and commuting patterns. This is big time data for advertisers.
However, there are a few issues that need to be addressed before auto companies can sell this kind of in-car data. The big ones are privacy and security. When data and technology combine, it's important for the technology companies involved to prioritize cybersecurity — especially in a world where consumers are constantly on the look out for bots and fraud. Not to mention, auto companies will have to get permission from drivers to use their data in the first place. It's going to be like GDPR on steroids.
Another important thing to consider is how to manage the large amount of data that comes in. What data is useful and who will benefit from it?
Here's what we know right now: car audio is going places. From current listenership stats to the future of connected cars and big data, it's worth tuning in.
If you want to learn more about ways to improve you audio strategy, take a look at this blog post, "We Can't Hear You, Turn Up Your Audio Strategy."