As America settles into the new normal, Katz Radio Group will continue to update the marketplace regularly with new insights on America's perceptions and behaviors toward radio, communities and brands.
The Shifting Consumer Landscape
Radio Fans are Spending
The COVID epidemic has had economic impact on citizens across the country. With all of the COVID uncertainty, how are radio's biggest fans faring? A Katz analysis of the December wave of MRI-Simmons COVID-19 Consumer Insights Study data finds that heavy radio listeners (Quintiles I & II) are 9% more likely than the average American to say they're in better economic conditions than last year. Not only that, they are more likely than the average person to have increased purchases in a variety of categories during the pandemic.
As people have been spending a significant amount of time at home, it is no surprise that they are making home-related purchases. Heavy radio listeners are +15% more likely than the average person to be buying more home goods, and +10% more likely to spend more on home improvements and renovations. That being said, radio listeners are not spending all of their time and money at home - they are +13% more likely than average to have increased purchases of auto accessories as well.
Self-care also seems to be resonating well among heavy radio listeners. They are +15% more likely to have upped their beauty purchases, +11% on fitness equipment, and +10% on health/wellness supplies than the average adult. Even indulgences, such as home entertainment (+11%) and alcohol (+10%) are seeing more spend from radio fans.
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AM/FM Takes Largest Share of Smart Speaker Listening
RADIO #1 IN AUDIO AD MESSAGING OPPORTUNITIES ON SMART SPEAKERS
According to Edison Research's The Infinite Dial 2020, an estimated 76M Americans own a smart speaker - a number that has increased by +300% since 2017. With growing access to digital music sources in the home, what are these consumers choosing to listen to?
Looking at data from Edison's Share of Ear, recently analyzed by Cumulus | Westwood One, it is evident that if someone is listening to ad supported audio on a smart speaker, chances are they're listening to AM/FM radio.
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Listeners spend twice as much time listening to AM/FM than podcasts, and 3X more than SiriusXM. AM/FM's closest competitor is ad-supported Pandora, which claims -25% less time spent on smart speakers than radio.
For brands looking to tap into the power of audio to reach consumers at home on smart speakers, their best bet is on AM/FM radio.
Tackling COVID Vaccine Hesitancy
Vaccines have been developed, tested, and approved - and distribution has begun. One would think that the hard part should be over, with smooth sailing towards widespread immunity. But the Ad Council and COVID Collaborative is finding that their hard work has just begun. Driven by the desire to combat vaccine hesitancy brought on by information deficits, as well as misinformation, they are leading one of the largest public education efforts in history aimed at COVID-19 vaccine education.
VACCINE HESITANCY ABOUNDS
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In all, 70% of Americans have at least some level of hesitancy regarding the COVID-19 vaccine. Among Black Americans, that number jumps to 88%, with 25% expressing outright resistance to getting the vaccine. The Ad Council found that people’s hesitancy is driven by four key areas, the reasons behind which vary by race/ethnicity and political affiliation.
- Concerns about safety and side effects from COVID 19 vaccination
- Speed of the clinical development process
- Distrust in the political and economic motives of the government and corporations
- Established and novel conspiracy theories involving vaccines
RADIO'S ROLE AS A SOUND SOLUTION
In order to combat these areas of hesitancy, the Ad Council and COVID Collaborative are embarking on a national communications initiative to reach key audiences across the country through media, community outreach, and trusted messengers.
Radio can help spread the education message with an amplified voice of trust and influence in local communities. It is the #1 medium, reaching 223M adults weekly, and offering significant engagement among multicultural audiences (Nielsen Total Audience Report 2020). Listeners have longstanding relationships with stations and local personalities, leading to feelings of familiarity and trust with the medium, and the messengers. Radio ads are proven effective at boosting consideration, and on-air personalities are influencers in their local communities.
January 26-28th - Adweek- Outlook 2021. Join Adweek to hear from top marketing, media and tech executives, forecasters and thought leaders on emerging platforms, tools and monetization strategies that will super-charge growth and revenue in uncertain times. Register here.
January 26th - Ipsos - Brand Purpose Through the Lens of Personal Values. Webinar will share recent insights addressing the relationship between personal values and brand perception, and dive into learning to help brands bridge intent with action. Register here.
January 27th - Ipsos - America in Flux: Looking Ahead to 2021. Webinar will showcase findings from Ipsos’ ethnography project covering how behavior and beliefs continue to change during COVID-19, along with 2021-focused thought starters for brands and marketers. By understanding the underlying human mindsets that dictate behaviors, brands can better prepare for and respond to shifting consumer needs and actions. Register here.
The Evolving Landscape for Consumers & Brands
States have been taking steps to ease business restrictions to varying degrees, while some are reevaluating and pausing the process. Marketers need to carry on reassessing and adapting their actions in response to local regulations. Keep updated on state-by-state and category-specific actions with the links below.
More from Katz
Click here for previous releases of Katz's Sound Answers.
Click here for Katz's summary of the latest Nielsen data on radio's recovery.
For more insights from Katz Radio Group, visit our Insights Hub.