Black Friday & Beyond: Radio ROI Is Key to Holiday Retail Success

As Black Friday marks the official start of the holiday shopping season, Cumulus Media Chief Insights Officer Pierre Bouvard is exploring how traditional radio remains a vital advertising platform for driving both in-store and online traffic.

According to Nielsen, AM/FM reaches 76% of adults aged 25-54 during Thanksgiving week and 78% during Christmas week. Its ability to connect with listeners while they are on the path to purchase gives advertisers an edge, as 65% of over-the-air radio listening occurs away from home. Edison Research’s Q3 2024 Share of Ear study found that 86% of ad-supported audio time spent in cars is dedicated to AM/FM radio, making it an unmatched medium for reaching holiday shoppers traveling between stores, work, and family gatherings.

As for influencing consumer behavior, research from the RAB and Dial Report reveals that campaigns significantly boost store traffic across industries. For instance, home improvement retailers experienced a 7% increase in in-store visits, while quick-service restaurants saw a 23% lift, and beauty retailers and car dealerships reported the highest increases at 32%.

Beyond brick-and-mortar stores, AM/FM also drives significant online impact. A LeadsRx analysis of 17 OTA campaigns found a 14% increase in website traffic attributed to radio advertising. Radio campaigns boosted new website visitors by 11% for auto dealers, were more effective than TV and online ads at converting awareness into purchases for Amazon Prime Day, and higher frequency radio campaigns increased website traffic by 49% for home improvement stores.

Nielsen’s studies underscore AM/FM radio’s proven return on investment, generating an average of $16 in retail sales for every $1 spent on radio advertising.

For retailers, radio remains a powerful way to reach holiday shoppers and maximize sales opportunities during the year’s most critical shopping season. Bouvard’s full pitch is available via the Cumulus Media/Westwood One Audio Active Group.