BIA/Kelsey: Radio Industry Revenues Flat In 2011
April 10, 2012

In the first edition of its quarterly "Investing In Radio® Market Report," BIA/Kelsey reports that local over-the-air radio station revenue in 2011 reached $14.1 billion, a 0.4 percent increase from the year before. Radio's online revenues increased 15.1 percent in 2011, reaching $439 million.

In 2012, BIA/Kelsey anticipates online revenues will continue to grow at a fast pace, becoming an important portion of station income. The firm expects overall radio industry revenues to reach $14.6 billion in 2012, a 3.5 percent rise over last year, bolstered by the national election. Online radio ad revenues will grow from $505 million in 2012 to $767 million in 2016.

"Although radio's revenue ascent has been slow since its bottoming in 2009, the industry always picks up steam in an election year and is continuing to prove itself as a valuable local advertising medium, particularly as the integration between over-the-air and online improves," said Mark Fratrik, VP/Chief Economist at BIA/Kelsey. "News stations, in particular, continue to be leaders in many markets by creating comprehensive over-the-air and digital portfolios of ad products and formats to drive deeper advertiser engagement and prove their value in the ad buying mix."  

BIA/Kelsey's "Investing In Radio" shows the wide variations between some markets and identifies several small and mid-size areas that were able to distinguish themselves in 2011. For example, the Portland, ME market had the largest increase in revenues over 2010, with $25.4 million, or 22.8 percent. Continuing in order, Worcester, MA posted a 15.8 percent increase, with $12.9 million in revenue, followed by Ann Arbor, MI, a 10.5 percent increase with $6.1 million in revenue, and Providence-Warwick-Pawtucket, RI, where revenue grew to $45.3 million, a 9.9 percent increase over 2010.

Fratrik notes that this year began optimistically with a significant rise in transactions, starting with Cumulus Media's acquisition of Citadel Broadcasting and then Hubbard Radio's purchase of some of the Bonneville stations. Overall station transaction volume reached $4.3 billion in 2011 from a total of 1,080 transactions, of which, 682 were in metropolitan markets and 398 were in non-metro markets.

"The major transactions of the year turned out being unique unto themselves due to strategic decisions made by each company," Fratrik said. "In 2012 we think the improving economy will increase the number of station sales, particularly as they prove themselves to be more than an over-the-air profit center."




 
Breaking News
Louie Diaz Named PD At KLIF/Dallas
In Brief - August 29, 2014
The Week In Review: 8/24-8/29
August 28, 2014
NuVoodoo Releases Social Media Findings Of Ratings Prospect Study
T-Mobile's Music Freedom Expands With Six New Music Streaming Services
In Brief - August 28, 2014
August 27, 2014
STRATA Survey: Ad Agencies’ Interest In Digital Video Jumps 45% From A Year Ago
In Brief - August 27, 2014
August 26, 2014
Scott Carter Promoted To SVP/Marketing At Epic Records
CCM+E Nashville Debuts ALT 98.3
CBS Radio, Townsquare Media Partner To Create The Michigan News Newtwork
Stacey Thomas Appointed Director, Media Integration For CCM+E Philadelphia
In Brief - August 26, 2014
August 25, 2014
Lance Houston Named New PD Of Boston's 101.7 The Bull
In Brief - August 25, 2014
August 22, 2014
eQB NOW
The Week In Review: 8/18-8/22
Chris Edge Adds PD Duties At WDCG/Raleigh
SoundExchange Q2 Digital Radio Report Highlights Digital Radio Transformation
In Brief - August 22, 2014
August 21, 2014
NuVoodoo Ratings Prospect Study Reveals Broadcast Radio Beats Pandora For Music Satisfaction
CBS Radio Adds To Sports Programming Leadership Team
iHeartRadio Survey: Carrie Underwood Music’s Best Female Role Model
In Brief - August 21, 2014
Music News
Bicoastal Made In America Festival A Success
MTV VMAs Spike Sales For Beyoncé and More
Quick Hits: Bruce Springsteen, John Legend, Shakira
The Week In Review: 8/24-8/29
Quick Hits: Chris Brown, Weezer, Miley Cyrus, Brandon Flowers, Paul McCartney, Bob Dylan
Wiz Khalifa Earns First #1 Album, Taylor Swift Debuts At #1 With New Single
Quick Hits: Ariana Grande, Kings of Leon, Lady Gaga, Neil Young
Usher Slowly Revealing Tour Plans
Quick Hits: Bad Boy Records, Ty Dolla $ign, Gerard Way, Bob Dylan
Beyoncé, Miley Cyrus Rule 2014 MTV VMAs
Slipknot Unmasks Details of The Gray Chapter
Quick Hits: Eminem & Shady Records, Ed Sheeran, Prince, Grouplove, Cobra Starship
Quick Hits: Jessie J, Foo Fighters, Mariah Carey & Nick Cannon, Genesis, Fall Out Boy
The Week In Review: 8/18-8/22
Nickelback Signs With Republic Records
FMQB NOW

Jeff Sottolano
Director of Programming
CBS Radio

Advertisement:
Search FMQB.com
Advertisements:
FMQB Member Login
Email:
Pass:

Save
Not a member yet?
Sign up Now!
Sign Up for Breaking News!
Enter FMQB E-Tracking!