A new Insights piece from Katz Radio Group says the automotive aftermarket category spent more than $746 million last year, with 9% of that money — $67.1 million — going to radio.
“But there still remains ample opportunity to further leverage radio’s unmatched ability to engage with target consumers,” Katz says, noting that at 91%, radio delivers more consumers than any other media, and is the No. 1 choice in audio.
Trailing only total audio’s 99%, AM/FM radio’s 91% puts it ahead of TV+DVR, smartphones, CTV devices and various other media.
Katz also notes that AM/FM radio (70%) dominates all other media in reach and engagement when it comes to the car. It easily outpaces online audio (55%), podcasts (32%), CDs (25%) and SiriusXM (22%), among other sources.
AM/FM radio also enjoys an 86% share of ad-supported audio in the car or truck, well ahead of podcasts (7%), SiriusXM (4%) and streaming audio (3%).
Katz also asserts that its research provides evidence that radio investments will drive results for aftermarket auto brands. In brand lift studies for two brands — an engine product and a car parts retailer — both with robust radio campaigns, the engine product saw an 8% increase in purchase intent among those targeted by the radio campaign. The car parts retailer, meanwhile, saw a 32% increase in purchase intent among targeted consumers.
Overall, Katz says, consumers are receptive to radio advertising: 81% of auto decision makers agree “it’s smart for auto-related brands to use radio advertising to inform consumers.” And 60% of auto decision makers agree that “radio advertising could encourage me to buy auto products or shop at an auto parts retailer.”
“While supply chain disruptions have eased, economic conditions and the availability of vehicles continue to affect sales within the U.S.,” Katz says. “Conditions that have caused growth within the pre-owned vehicle category have also caused consumers to maintain their current vehicles longer.”
Additionally, workers are living farther from the office vs. pre-pandemic levels, which means there are more commuters on the road. As of June 2024, Katz says, more than 7 in 10 employed adults are commuting to a job outside the home. That’s up 29% since 2020.
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