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Radio a ROI multiplier, but what of disruptions?

Posted by radio On December - 5 - 2013

[By: Kagiso Mnisi]


Can radio be the grand ROI multiplier for brands? From a viewpoint of a brand that aims to target a particular demographic that is guaranteed to listen, soak and respond to the message. Yes maybe. Imagine stay a home mom in leafy Greenside, who on every single morning listens to talk radio 702 whilst preparing lunch for the kids and has been a repository to the morning drive’s ads about Outsurance’s latest deals.


This is a sure hit for the brand involved to engage because of a religious listening. And then say the other side of the divide, during the same time of day, a freelancing designer who hitches a cab from Soweto and does not have the inclination to focus on Ukhozi FM’s ad messaging – a trusted companion to Soweto cabbies – when on board. He would rather put on his ear phones and listen to his latest playlist of preferred tunes. It is catch 22 of a situation for brands.


Though RAB’s report to foreground radio as the ROI multiplier is deserving of thought, it does not take into an account a holistic view of an intricate social fabric that is increasingly becoming master of its consumptive fate. The report focuses on the traditional channels that messages are purveyed and does not lower the boom on the current information creation dynamics.


In the report, the study evaluated glances at radio advertising effectiveness in terms of revenue return on investment (ROI) across a broad dataset. The results are based on an analysis conducted by Holmes & Cook of confidential ROI data supplied by nine econometrics agencies representing all major media agency groups, covering over 2,000 individual media campaigns across 517 separate advertising campaigns. The campaigns covered ten major sectors, and used a variety of multimedia combinations. It with a blinkered view holes into the clarity the advantages of a clearly communicated ad and perceives that all listening is religious.


The truth is within a wide public, individuals have become content curators towards ends that suit their lifestyles and visions. This poses a challenge to brands to seek innovative ways of selling ideals to these publics. Brand campaigns have now been left to sought through a largely youthful population that is actively tangled in tons of interwoven networks, these tap into micro socio-economic agendas than they do in readily available mainstream issues.


Another cog in the machine is that your average media consumer is likely to respond to a YouTube & Facebook ad, twitter trends and online subscriptions. All of this is owed to the fact that he or she spends half of the day surfing these platforms. Radio advertising has almost become an afterthought in this sense. What is even more interesting is that stations have become fully aware of these consumer patterns and are using an integrative marketing mix.


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