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A June 2005 study, conducted by the Radio Ad Effectiveness Lab, tested radio's "Return On Investment" (ROI) advantage. There were major implications in this study including: · Radio moves product. Across four different advertisers, incremental radio advertising consistently and significantly increased product sales and delivered meaningful profit for each dollar of advertising. Radio demonstrated in this study that it can function as a primary medium for advertising. · Radio’s effects can be measured—when radio is used at sufficient weight. Radio is prepared to be held accountable for its advertising effectiveness. But effectiveness measurement requires that advertising be present at sufficient weight for statistics to accurately capture that result. · Most importantly: Radio’s ability to deliver strong Return on Investment for advertisers has been proven in a real-world test at last. In this study, radio’s ROI was 49% better than television’s, and radio advertising’s value is no longer just speculation. The full study can be found on the Radio Ad Effectiveness Lab's website. |
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