Nielsen's 2025 Ad Trends Report: Radio And Audio Stay Strong Amid Industry Shifts.

As marketers tighten ad budgets heading into 2025, Nielsen’s new Annual Marketing Report shows traditional media channels like AM/FM radio and emerging digital audio platforms continue to play a vital role, especially in industries that value reach, trust, and storytelling.

Over half of global marketers (54%) say they’re likely to cut advertising spend this year, but that doesn’t mean a retreat from radio or audio. Marketers are reevaluating media mixes and doubling down on cost-effective platforms with proven impact, especially for mid- and lower-funnel objectives.

Radio and Audio: Still Delivering Results In A Digital World

Despite the ongoing shift toward digital, Nielsen highlights that radio maintains one of the highest ROI scores among all media channels, ranking fourth globally in effectiveness, outpacing even many digital formats. While perception trails reality, savvy marketers continue leveraging AM/FM’s scale and trust to build brands and drive response.

Moreover, audio advertising is expanding across platforms. Podcast and streaming audio buys continue to grow, with 14% and 16% of marketers, respectively, saying they plan to increase their spend on these channels by over 50% this year. While not leading the pack in digital ad growth, both formats held steady or grew modestly year over year — a notable feat in a cautious market.

Balanced Budgets Favor Audio Integration

The report shows marketers are pursuing a more balanced media strategy, with 44% saying their digital vs. traditional budget split will remain between 40% to 60%. That balance benefits audio platforms, which straddle both worlds, whether it’s broadcast radio’s mass reach or targeted streaming ad insertions on podcast networks.

Healthcare, pharma, and travel brands often big spenders in radio, are keeping a firm foothold in traditional channels. TV and radio together still made up 56% of all U.S. ad spend in 2024, showing a continued commitment to legacy media in a fragmented landscape.

Audio’s Measurement Moment

A recurring theme in the report is cross-media measurement complexity. Only 32% of global marketers currently measure digital and traditional media holistically, and even fewer in Europe and Latin America. But those who do are finding surprising synergies.

According to Nielsen, radio combined with digital can significantly enhance campaign effectiveness, especially when supported by deduplicated cross-platform reach data. Marketers are urged to reassess their perceptions and consider radio’s performance through more rigorous, ROI-focused measurement tools.

AI and Audio: Complementary, Not Competitive

AI remains the most-watched trend of 2025, with 71% of large-budget marketers expecting it to impact personalization and optimization. But for audio, AI is less a threat than a tool — used for dynamic ad insertion, voice synthesis, content curation, and listener targeting.

Smaller brands, meanwhile, are leaning into authenticity — a strong suit of radio and podcasting. Influencer-style podcast hosts and trusted radio personalities offer a human touch that algorithms can’t replicate.

Looking Ahead: A Smart Play For Smart Ears

As streaming platforms and smart speakers proliferate, audio advertising is poised to remain a key piece of omnichannel strategies. Whether through trusted linear broadcast, high-impact sponsorships in podcasts, or dynamic ads in streaming environments, audio gives marketers scale, efficiency, and engagement in one of the most intimate mediums available.

With tighter budgets and growing demand for accountability, Nielsen’s report affirms what many in radio already know: audio works, and it belongs in the modern marketer’s media mix.