Radio ad volumes rise by 2%; services lead during Jan-Sept'24: TAM AdEx

Radio advertising in India exhibited a modest, 2% growth in advertising volumes during January-September 2024, as against the corresponding period last year. This was revealed in the latest AdEx India report on radio advertising in India for the January to September 2024 period. To compile this report, AdEx collaborated with RCS India analysing 120-plus radio stations in the country. AdEx India is a division of TAM Media Research.

The services sector retained its number-one position with a 30% share, followed by Auto (10%) in terms of ad volumes on radio during this period. Retail and BFSI stood at third position with a 9% share each. The BFSI sector posted a notable improvement and moved up from its fifth position in the corresponding period of 2023.

Among categories, properties/real estate emerged as the top category in January-September 2024 with a 16% share, followed by hospitals/clinics and cars (7). The third position was attained by retail outlets-jewellers with a 6% share. Cars exhibited a notable rise, clocking 60% growth in advertising volumes, with retail outlets-jewellers posting 50% growth. The automobile general insurance category entered the top 10 fastest growing categories list, with the highest, 260% growth during January-September 2024 as per the report.

More than 5,000 exclusive advertisers were found to be active during January-September 2024, a shade greater than last year, notes the report. Among companies, the Life Insurance Corporation of India (LIC) retained its topmost rank. New entrants in this list were Gujarat Cooperative Milk Marketing Federation (GCMMF), Hyundai Motor India, and Renault India.

Within the brand-specific advertising, LIC Housing Finance moved to the top slot, followed by Vimal Pan Masala, recording an improvement in their last year's ranks--third and second, respectively. New entrants in the top 10 brands list were LIC Jeevan Utsav, Maruti Suzuki Arena, Manappuram Loan Against Gold, Acko General Auto Insurance, and Malabar Gold And Diamonds. The TAM-AdEx report names more than 11,000 exclusive brands that advertised on the radio during this period, observing a 10% rise from 10,000 brands during the same period last year.

Among states, Gujarat led the pack in terms of advertising volumes with an 18% share, followed by Maharashtra at 16%. The top five states combined controlled 62% share of the total advertising volumes. Among cities, Jaipur maintained its top position with an 8% share of advertising volumes. The top 10 cities accounted for 62% of the total ad volumes during this period.

The report has also provided insights into preferred advertising time slots, with evening broadcasts emerging as the most popular, followed by morning and afternoon time bands. The evening and morning time bands together contributed to 69% of the total advertising volumes, highlighting advertisers' preference for peak listening hours.

In terms of advertisement duration, the 20-40 seconds format has stayed the most favoured format of advertisers much like last year. Advertisements in this duration range, combined with those under 20 seconds, control 95% of the total advertising volumes on radio during January-September 2024.

The education sector showed notable presence, with Schools and Coaching/Competitive Exam Centres emerging as new entrants in the top 10 list of categories. The top 10 sectors collectively contributed to 89% of the total advertising volumes during this period, indicating a concentrated advertising landscape.

The retail sector maintained its significant presence with a 9% share of advertising volumes, while the Food and Beverage sector and Education sector each contributed 8% to the total advertising volumes. Personal Accessories followed with a 7% share, while the Building, Industrial and land Materials/Equipment, and Personal Healthcare sectors each held 3% of the advertising volumes.

The report also highlighted the emergence of corporate brand image advertising, which showed significant growth, recording a 2.9-times increase during the period. Mortgage Loans as a category demonstrated substantial growth with a 3.2-times increase in advertising volumes.

The data published in this report points to a gradual recovery in radio advertising, with traditional sectors maintaining a stronghold and new categories emerging rapidly. The increase in the number of advertisers and brands, along with the rise in advertising volumes, indicates the continued relevance of radio as an advertising medium in India.