REPORT: GROWTH COULD BE GREATER IF RADIO FOCUSED ON MOBILE

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Issue Date: 
Aug 16 2011 - 11:00am

From Issue:

A new Borrell Associates report projects mobile audio ad spending will reach $667 million by 2016 — up from $161 million in 2011. This growth will be fueled by local advertisers, says Borrell, and could be even greater if “radio puts more focus on mobile,” writes Inside Radio.

More than 50% of “Main Street businesses” surveyed by Borrell said they planned to advertise in some way on mobile devices this year. Overall, local mobile ad spending will be $800 million this year and Borrell predicts it will reach $18.2 billion by 2016 (“roughly the same outlay spent on radio today,” notes Inside Radio).

Up until now though, argues Borrell, broadcasters have missed opportunities on mobile devices and on the Internet in general. “Unlike other local media with large sales forces and intimate market knowledge, radio consistently underestimated the promise of the web,” writes Borrell VP Kip Cassino.

Borrell warns broadcasters that they are missing an opportunity, one that pureplay webcasters are capitalizing on already. Subscribe to Inside Radio here to read more.

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