When you reach more than nine in ten Americans, radio truly is the medium of the masses. But that means it touches more than a 13-year-old with an allowance. Katz Media's analysis of MRI-Simmons data shows that radio offers numerous opportunities for advertisers to reach high-income audiences.
No format has deeper inroads with the wealth than classical radio. MRI-Simmons says the average listener of the classical format has a household net worth of $622,689. And all-news radio ranks second, with $614,235 average household net worth. Both formats outperform all other media, including television, newspapers and magazines. While Conde Nast Traveler magazine ranks third, four of the top five media channels with the highest net worth audience are on radio. The analysis says news-talk radio ranks fourth, with average household net worth of $597,578. It is followed by adult alternative radio, with its listeners sitting on an average $596,082.
The numbers mean four formats do better with the wealthy than media including The Atlantic, the Golf Channel, and Fox Business Network, while talk radio—with average net worth of $559,684—comes in ahead of Kiplinger’s and the Wall Street Journal. Katz points out alt-rock listeners are also wealthier than readers of The New Yorker on average, and those tuning into soft AC stations are wealthier than the typical reader of The Economist.
“Radio truly is a media destination for upscale consumers, delivering high spenders across categories,” says Katz Media in the analysis. The results could help open the eyes of marketers for high-end brands, which the rep firm points out have typically focused their investments on print and TV platforms that cater to affluent interests such as travel, finance, gourmet dining, home design, and sports like tennis and golf.
Katz Media also analyzed the highest indexing expenditure categories for the affluent radio formats to see where listeners are wielding their massive spending power, compared to the average U.S. adult. In short, they spend a lot everywhere. MRI-Simmons shows all the top affluent radio formats display higher average monthly credit card expenditures than the average adult. And listeners of those formats also tend to overspend by varying degrees in nearly every buying category.
Yet while they may be dropping dollars at Walmart like most other Americans, the analysis also shows among verticals considered upscale, such as travel, tech, fine dining, fine jewelry, and luggage, radio listeners are heavy spenders. Katz says domestic travel over-indexes for all of the top affluent radio formats, but is among the highest categories for all-news, classical, and sports. Radio listeners are also big spenders on products and services, including dining, auto aftermarket, property and garden maintenance, veterinary care, and even flower shops.
“The commanding household net worth of certain radio formats make them ideal environments for advertisers seeking to reach affluent consumers. However, affluents’ appetite for audio extends well beyond these high net worth formats too,” Katz says in a blog post. “Regardless of what radio format they hear an ad on, these listeners have deep pockets and are spending their dollars across a range of categories, both online and in their local markets.”