unleash your super powers seattle and usa 9-13-2012

Unleash Your SuperpowersWith The Power Of Radio In Seattle And The USA

Presented by: Mary Beth GarberDate: September 13, 2012

Radio:

Uses sound to create powerful emotional

connections between advertisers and

consumers unmatched by any other form of

communication

Radio is thriving because it connects with listeners in ways no other medium can match.

What Can A Few Seconds Of Sound Buy?

Source: Critical Mass Media Audio Signatures Study of 24 audio signatures among 250 respondents, conducted March 2012, underwritten and presented by Katz Media. www.sonicbrandstudy.com

• Incredibly detailed descriptions of the advertisers’ product, benefits, pricing

• Vivid descriptions of the advertiser’s spokesperson and mascot

Further proof that what we hear, even for a second, can impact what we “see” .

Our sense of hearing is the most powerful ofour five senses.

--Martin Lindstrom, “Buy-ology”

Can you name this advertiser?

Here’s what listeners said:

“It makes me smile”“It makes me feel like I want to get to know that little green fellow better!”“I love it. Feel happy/excited”“Makes me laugh. and I always know its a Geico commercial.”

87% correctly identified the brand


Here’s what the listeners remembered:“Geico is where you can save 15% or more when you switch insurance carriers.” “Insurance and it makes me feel good know they are available anytime.”

And here’s what they “saw”:“Just the image of the gecko. These always make me laugh.” “Makes me think of the green gecko”“I think of the Geico Gekko”



“It makes me think of pizza.” "It makes me hungry. I can just smell it.” “It makes me want to eat their pizza... i used to eat it all the time in college and now i want one now :(“


Can you name this advertiser?Here’s what the listeners remembered:“You get two pizzas for one great price.” “2 Pizza deal from Little caesars” “5 dollar hot and ready”

And here’s what they “saw”:“Yummy pizza...” “Images of baby Pan Pans (my favorite).” “It makes me think of pizza and Little Ceaser's cheesy bread.”



“Good, cared for. I've always loved the jingle. I'll look to them when I decide to buy and insure a home.”“A good neighbor.... it makes me feel relieved”“State Farm insurance is a reliable company.”



Here’s what listeners remembered:“That they're helpful.”“Reliable and there for you”“Like a good neighbor, State Farm is there!”

Here’s what people “saw”:"Pictures of homes with white picket fences. Makes me feel protected.”“The red logo pops into my head. It makes me feel secure.”“I think of a person in a red shirt talking of insurance”

Radio Empowers

Delivers Massive Reach In Real Time Engages and Influences Listeners Targetable Reach Digital Technology Enhances Interaction Produces Outstanding, Cost Effective Results Thriving

The Radio Landscape

Perception

Fact: Radio Delivers Massive Reach In Real Time

Radio is a pervasive part of

the average person’s media day.

13

4 emotional triggers that listeners value….

1A radio on while they

work

2Gets them get

in a better mood

3A feeling

of companionship

4An escape from

pressures of everyday life

Radio’s Assets

Drive Its Mass Reach

13

Source: Jacobs Media TechSurvey 8; Based on 170 stations | 12 radio formats | 57,358 radio listeners

Changing Technology Has Affected Which Media People Own, Have Access To And Use

Source: TV HH, Nielsen May 2011; wkly Radio Arbitron RADAR June 2012 M-Su M-M; Mobile Web comScore Feb 2011 via mobiThinking; DVR, Nov, 2010 NielsenWire; Cable & ADS July 2011 Nielsen Report; iPods/MP3s and Social Net Usage Edison Media Infinite Dial: 2011; Video Game Consoles from Lichtman Rseearch June 2010; Twitter comScore Dec 2011; Video Game Console, Internet usage, Wireless Cell Phone, Hi speed Internet Access from Pew Internet & American Life Project Dec 2010, May, June 2011; Tablets Audio4cast March 20, 2012; satellite radio, Scarborough USA Plus - Release 2 2011 12 Month

% Population/Household Penetration

Mass Media

0

10

20

30

40

50

60

70

80

90

10097

9388

78

70

6156

49 47 45 45 43

31 29

18 15 13 10

Commercial Broadcast/Internet Advertising Vehicles

Are You TYPICAL?

Weekly Media Exposure Adults 18-34

Source: Scarborough USA+, Release 1 2012 USA Adults 18-34, sample size 29,250.

Radio Has The Greatest Weekly Reach of Young Adults vs Other Media In The USA

Listened to Radio Past 7 Days

Read Any News-paper Past Week

Watched Any TV Past Week (M-Su,

5a-2a)

Watched Any Non-Premium Cable

Past Week

Spent Any Time on Internet Past Week

93%

51%

82% 81%

89%


Source: Scarborough USA+, Release 1 2012 USA Adults 25-54, sample size 88,248

Radio’s Weekly Reach of Adults is Greatest of Major Media In

The USA



Watched Any TV Past Week


Past Week


93%

58%

88%82% 83%

QUESTION: On a 7-day average, how long do 93% of people 12+ in the USA listen to the radio each day?

ANSWER: 2hrs40min

Source RADAR 113 June 2012 Monday-Sunday 6AM-Midnight for Persons 12+


Source: Scarborough USA+, Release 1 2012 Seattle Adults 18-34, sample size 617

Radio Has The Greatest Weekly Reach of Young Adults vs Other Media

In Seattle



Watched Any TV Past Week (M-Su,

5a-2a)


Past Week


95%

40%

73% 74%

92%


Source: Scarborough USA+, Release 1 2012 Seattle Adults 25-54, sample size 1,929

Radio’s Weekly Reach of Adults is Greatest of Major Media In

Seattle



Watched Any TV Past Week


Past Week


95%

45%

82%78%

90%

QUESTION: On a 7-day average, how long do 94% of people 12+ in Seattle listen to the radio each day?

ANSWER: 2hrs15min

Source Arbitron PPM Seattle April/May/June 2012 Monday-Sunday 6AM-Midnight for Persons 12+

41%

54%

27%27%

0.0%

10.0%

20.0%

30.0%

40.0%

50.0%

Radio Internet Television Newspaper

Source Scarborough USA Plus - Release 1 2012 12 Month Scarborough , Adults 18-34. Heaviest two quintiles of exposure.

Radio And The Internet Have Heaviest Weekly Usage Among Adults 18-34 in

The USA

Adults 18-34 are 52% more likely to be heavy users of radio than heavy users of television in the USA.

60% of listening is to only one radio station

Note: Radio and TV usage are based on time spent. Newspaper usage is based on number of different issues read and includes WSJ and USA Today. Internet includes Radio, TV and Newspaper website usage and Radio streaming.

47%45%

33% 34%

0.0%

10.0%

20.0%

30.0%

40.0%

50.0%


Source Scarborough USA Plus - Release 1 2012 12 Month Scarborough , Adults 25-54. Heaviest two quintiles of exposure.


The USA

Adults 25-54 are 42% more likely to be heavy users of radio than heavy users of television in the USA.



46%53%

23%31%

0.0%

10.0%

20.0%

30.0%

40.0%

50.0%


Source Scarborough Seattle- Release 1 2012 12 Month Scarborough , Adults 18-34. Heaviest two quintiles of exposure.


Seattle

Adults 18-34 are 100% more likely to be heavy users of radio than heavy users of television in Seattle.



47% 47%

32% 34%

0.0%

5.0%

10.0%

15.0%

20.0%

25.0%

30.0%

35.0%

40.0%

45.0%

50.0%


Source Scarborough Seattle - Release 1 2012, 12 Month Scarborough , Adults 25-54. Heaviest two quintiles of exposure.


Seattle

Adults 25-54 are 47% more likely to be heavy users of radio than heavy users of television in Seattle.



Emotional Connection to Listeners Benefits Advertisers

Fact: Engages and Influences Listeners

26

4 emotional triggers that listeners value…

Why people pick radio for their audio entertainment source

Radio’s Assets

Drive Its Mass Reach

26

Source: Jacobs Media TechSurvey 8; Based on 170 stations | 12 radio formats | 57,358 radio listeners

• A radio on while they work• Gets them in a better mood• A feeling of companionship• An escape from pressures of everyday life

“ ”

82%

Radio Connects Personally

27

75% 70% 72% 70%

Sources: USC, Annenberg School for Communication & Journalism, PSI Study released June 2012, Woodley, P. and Movius, L. People With a Favorite Radio Personality in Los Angeles; *Alan Burns “Here She Comes” 2012 online survey of 2,010 women 15-54 in May 2012

A personal, para-social interaction with their favorite

radio personality

Radio on because their

favorite personality

is on-air

Talk to their friends about their favorite personality or program

content

Follow their favorite

personality/radio

station on social media

Consider radio

personalities to be a good or best friend

or companion*

Because he actually replies to you and makes you feel important

“ ”

Radio Has the Power

of Persuasion

52%

28

51% 47%

They are very down to earth people, just like their listeners

Sources: USC, Annenberg School for Communication & Journalism, PSI Study released June 2012, Woodley, P. and Movius, L. People With a Favorite Radio Personality in Los Angeles

Have considered or purchased a product or

service recommended

by their favorite

personality

Have considered or purchased a

product/service advertised during their

favorite Radio personality’s

show

Their favorite Radio

personality influences

their opinion

There Is an Emotional

Attachment to Radio

29

9 out of 10 people who use radio heavily would be somewhat or very disappointed if their favorite station were no longer on-air

% who would be “very” or “somewhat” disappointed if the AM or FM Radio station they listen to most were no longer on-air

Source: The Infinite Dial 2011

30

Radio Is Always Available,Especially in Times of Crisis

people rely on radio

30% increase

PM drive Cumeon News Radio

in Chicago

February 2nd 2011Chicago Blizzard

40% increase

AM drive Shareon News Radio

in four major cities

March 11th 2011West Coast Tsunami

5-fold increase

Afternoon Cumeon News Radio

in Washington DC

August 23rd 2011East Coast Earthquake

DoubleMidday Cume

on News Radioin New York

August 28th 2011Hurricane Irene

Source: Arbitron PPM

By age, sex, qualitative, psychographic and place of listening

Fact: Targetable Reach

Nearly Everyone Uses Radio. In Real Time. Every Week.

0%

20%

40%

60%

80%

100%

P 12+ P12-24 P 18-34 P 25-54 P 35-64 Hisp 18-49 AA/Blk 18-49

W 25-54 A 18-49 Col Ed, HH

$75K+

P 18-49 Col Ed

M 25-54 Emp

93% 91% 93% 95% 95% 95% 93% 95% 95% 95% 96%

Weekly Radio Usage

Source: RADAR June 2012, Mon-Sun 6A-Mid Weekly Cume

Radio reaches over 91% of virtually every segment of the population. That that has been true year after year and remains true today.

Prime Consumer

Targets Listen to

Radio

33

94% 92% 93% 93%

Source: Scarborough USA+ 2012 Release 1 (12 months only)

Radio Reaches Younger

Shoppers During Retail Hours

34

6-10A 10A-3P 3P-7P 7P-12M

72%82% 83%

66%

Source: RADAR 113 June 2012 (Monday-Sunday Weekly Cume Estimates)

Adults 18-34

35

6-10A 10A-3P 3P-7P 7P-12M

80%85% 86%

63%

Source: RADAR 113 June 2012 (Monday-Sunday Weekly Cume Estimates)

Radio Reaches

Shoppers During Retail Hours

Adults 25-54

Reaching Young

Consumers Year

Round

36

JUN '11 SEP '11 DEC '11 MAR '12 JUN '12

94% 94% 94% 93% 93%

Source: RADAR 109, 110, 111, 112, 113 - June 2011, September 2011, December 2011, March 2012, June 2012, (Mon-Sun 24-Hour Weekly Cume)

Adults 18-34

“The Right Place at the Right Time” – A Real Benefit for Advertisers

90% of purchasing decisions made day of

purchase

70% just prior to purchase

82% of all shopping trips unplanned

shopping

72% of drivers frequently or sometimes

shop on their way home from work

95% of working people listen to the radio

during the day and/or in their cars on the

way home each week

Source: Nielse nVideo Consumer Mapping Study, Council for Research Excellence, with Ball State U. June 2010. Arbitron In Car Study October 2009; Source: The Nielsen Company e: http://blog.nielsen.com/nielsenwire Jan 2011; Arbitron /Edison “The Road Ahead” Oct 2011; “Radio in the context of daily life” – MBI August 2011, Adults 18-49; RADAR June 2012;

Radio gets your message across when the timing is right – just before people decide what to buy or where to

shop.

How to read: While 76% of all AM/FM Radio usage happens out of home, only 8% of all TV usage happens out of home.

Source: 2012 USA TouchPoints, Adults 18-64 2,000 e-diary sample using gfjMRI database; gfKMRI, Scarborough USA 1 2012;

More of total Radio usage is done out of home vs any other major media – giving advertisers the last word before purchase

Adults 18-64, % of overall usage done outside of home, by location

Radio Reaches More People During Working Hours Than Any Other Major Medium

Car/Transit Work Other Total OOH0%

20%

40%

60%

80%

TV AM/FM Radio Internet Newspaper Magazines

“Lunchtime is Primetime” for

QSRs

Over half of daily traffic occurs from 11am to

3pm

Source: 2012 USA TouchPoints

Proximity to the Purchase!

Source: 2012 USA TouchPoints

To be read: 60% of adults who purchased fast food from 12 to 12:30 had listened to AM/FM Radio at some point beforehand vs. 41% who had watched TV.

60% of Lunchtime

QSR Patrons have been engaging

with AM/FM Radio prior to

their visit!

Growth in Sphere of Influence, Growth in Revenue Streams, Enables Activation

Radio Moves With The Future

Digital Technology Enhances Interaction for Radio

As New Technology Develops…

20052000

2001

201020092007

2001

2001

…Radio Listening Remains Consistent

2004

Research Studies Concur –

Digital Audio Listening Is In Addition To, Not Replacing AM/FM Radio Listening

Radio listening is not decreasing, it’s just changing devices. July 2012

Target Spot White Paper May 2012

Jacobs Tech Survey 8 April 2012

The Infinite Dial: 2012* iHeart poll Clear Channel iHeartRadio Study released April 3, 2012

U.S.A. Touchpoints February 29, 2012

NPD’s Ben Arnold quoted in Audio4cast February 27, 2012

“Terrestrial radio is just one of many music alternatives for Pandora listeners, and Pandora listening is not coming at terrestrial radio's expense.”

Mark Kassof & Co February 2012 Survey of 349 people 18-64 who listened to Pandora in past 2 days

Digital Users Are More Likely to Be Heavier Users of Radio*

From the New Apple Conference – An Update on the iPod Nano

Radio. An alternative way to rock.

FM radio keeps you up on what’s going on out there – the game, the top news stories, your favorite talk shows – or whatever you love listening to. Just plug in your headphones and taps to see the controls. Flick the radio dial to change stations. Tap to set your favorites. Need to take a break? With Live Pause, you won’t miss a minute. Just tap to pause the song or show, then tap again to continue. You can even rewind as far back as 15 minutes, so you can be sure of the lyrics you’re belting out. Or fast-forward to catch to a live broadcast.

AM/FM Radio’s Share of Audio Usage Remains Dominant Throughout the Day

Source: 2012 USA Touchpoints

Throughout the day, Radio is the dominant source of audio entertainment.

Persons 18-34 in millions

49.0

26.424.3

15.6

3.20

10

20

30

40

50

On a typical day in the USA, of people 18-34:

85% more will use Radio than will go to Facebook

100% more will use Radio than will go to Google Search

215% more will use Radio than will go to YouTube

1430% more will use Radio than will go to Twitter

Source: comScore Inc Ratings April-June 2012, RADAR June 2012, P18-34, 6A-12M


Persons 25-54 in millions

3.0

18.5

39.040.1

92.1

0

10

20

30

40

50

60

70

80

90

100

Radio Facebook GoogleSearch

YouTube Twitter


130% more will use Radio than will go to Facebook

135% more will use Radio than will go to Google Search

400% more will use Radio than will go to YouTube

3070% more will use Radio than will go to Twitter

Source: comScore Inc Ratings for April-June 2012, Average Daily Unique Visitors 25-54; RADAR June 2012, P25-54, 6A-12M


Fact:

Produces Outstanding, Cost Effective Results

People listen and respond to radio commercials

QUESTION:

ANSWER: 93%

On average, what percentage of the audience remains throughout a commercial break on the radio?

Radio Holds Its Audience

Levels During

Commercial Breaks

50

1-min breaks

2-min breaks

3-min breaks

4-min breaks

5-min breaks

6+-min breaks

100% 99%96%

92%87% 85%

Source: Arbitron, Media Monitors and Coleman Insights “What Happens When the Spots Come On?” 2011

Weighted Average: 93%

Percent of Lead-In Audience During Commercial Breaks

Across Ages and Gender,Tune-in Is

High During Commercial

Breaks

51

6+ 12-17 18-34 25-54 35-64 65+ Male Female

93% 90% 89% 92% 93%98%

93% 92%

Source: Arbitron, Media Monitors and Coleman Insights “What Happens When the Spots Come On?” 2011

Radio’s Audience Delivery During an Average Minute of Commercial Breaks by Age/Gender

AM/FM Radio Adds Considerable Reach When Used in Combination with Other Media

AM/FM Radio Live TV AM/FM Radio + Live TV

Internet AM/FM Radio + Internet

Live TV/In-ternet

AM/FM Radio + Live TV/In-

ternet

59.0

79.8

90.6

48.8

77.9

90.895.6

+14%

+60%

+5%

© 2012 Arbitron Inc. 52Source: MBI TouchpointsTM

Average Day Reach, AM/FM Radio And Other Media Combinations Persons 25-54

6 a

7 a

8 a

9 a

10 a

11 a

12 p 1

p2

p3

p4

p5

p6

p7

p8

p9

p10

p11

p0

10

20

30

40

50

AM/FM Radio Live TV/Internet

AM/FM Radio + Live TV/Internet

© 2012 Arbitron Inc. 53

The Combination of AM/FM Radio with TV and Internet Raises Reach Significantly

Source: MBI TouchpointsTM

Average Day Reach, AM/FM Radio + Internet + TV By Time Of Day Persons 25-54

Source: Radio Advertising Effectiveness Program, Ipsos OTX, 2010-11; conducted for Katz Marketing Solutions.

Radio advertising does positively impact the 5 key branding metrics

6 Study Average % Lift

Affinity / Likeability

Awareness

Advocacy

Consideration

Purchase Intent

13%

20%

14%

38%

37%

Radio-targetedconsumers vs.Control groups

Radio Unleashes Your Superpowers With

Reach Targetability Digital Assets Results Thriving

Radio is thriving because it connects with listeners in ways no other medium can match.

unleash your super powers seattle and usa 9-13-2012

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