ResearchAndMarkets’ "Radio Advertising Global Market Opportunities and Strategies to 2033" report shows that the global radio ad market hit the $26 billion mark in 2023, and is expected to grow to $29.7 billion in 2028, and reach $33.1 billion in 2033.
While terrestrial radio broadcast advertising, the largest segment of the radio ad market, accounted for 67.3% or $17.5 billion of the 2023's total, the terrestrial radio online ad segment is expected to be the fastest growing segment through 2028, at a compound annual growth rate of 13.5%, gaining $2.0 billion of global annual sales by 2028. Overall, the radio advertising market is projected to gain the most in the U.S., at $1.0 billion.
“Growth [from 2018 to 2023] resulted from the growing number of radio listeners, rising adoption of digital radio, increasing infrastructure development and rise in disposable income,” Research And Markets' news release says. “Factors that negatively affected growth include a decline in radio ad spending and strict government regulation. Factors that could hinder the growth of the radio advertising market in the future increasing tendencies of consumers to skip or avoid ads.”
Among radio advertising categories, media and entertainment is expected to be the fastest growing, at a 3.0% CAGR from 2023-2018.
Globally, the top 10 radio owners accounted for 13.7% of the total market in 2023, led by Cumulus Media with 2.3%, and iHeartMedia and Hubbard Radio with 2.2% each. Others listed in the top 10 are Cox Media Group (1.7%), National Public Radio and Univision (1.2% each), Townsquare Media (0.8%), Urban One and Alpha Media (0.7% each), and Bonneville (0.6%).
The report recommends that radio ad companies “focus on AI integration to enhance targeting precision, focus on integrated radio and outdoor advertising solutions, focus on terrestrial radio online advertising, expand in emerging markets, focus on strategic partnerships to enhance market position, focus on diversifying distribution channels for market expansion, provide competitively priced offerings, focus on value-based pricing strategies for competitive edge, continue to use B2B promotions, focus on targeted digital campaigns for enhanced engagement, focus on cross-channel integration for seamless brand messaging, focus on industry-specific expertise for targeted client engagement and focus on small and medium enterprises for market expansion.”