Kantar Media: Radio Ad Revenue "Tumbled" In 2013
March 27, 2014

Kantar Media has released its annual report on U.S. ad spending, finding that while overall ad dollars were up by 0.9 percent in 2013 to $140.2 billion, radio saw a 5.6 percent decline. In fact, Kantar describes ad spending on radio as having "tumbled" in 2013, as Local Radio fell by 4.1 percent and National Spot Radio was down 3.3 percent. This was attributed to "cyclical reductions in political spending." Meanwhile, spending on Network Radio fell by 15.9 percent, "largely due to a reduction in the number of monitored networks."

Ad spending during the fourth quarter of 2013 rose 1.6 percent versus the year ago period. "Advertising growth eased in 2013 without the stimuli of Olympic and political spending. However, the market still registered a gain for the fourth consecutive year," said Jon Swallen, Chief Research Officer at Kantar Media North America. "Although the macro theme of ad dollars moving to digital media still generates much discussion, another significant but less recognized trend has taken hold. The ad market is currently being carried by the Top 1000 advertisers who, as a group, are steadily spending more while the long-tail of small-sized marketers is sharply cutting back."

As for other notable media categories, TV saw a slight 0.1 percent decline in ad spending in 2013, while magazines were up by 1.8 percent. Newspapers saw a 3.7 percent drop in ad spending, while Internet (display ads only) had a 15.7 percent increase. Outdoor ad spending grew 4.4 percent last year.

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Mark Adams
San Francisco

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