AM/FM Radio Works For Auto Dealers
In the post-pandemic world, auto inventories are starting to grow again. Incentives are returning to counter the high interest rates and vehicle prices.
Dealers need to advertise to let consumers know about these deals. The best way to reach auto intenders is with AM/FM radio.
Nielsen Scarborough: American auto intenders clock a lot of miles in their vehicles
A Nielsen Scarborough study of 199,118 Americans finds new car buying intentions increase as miles traveled grows:
- Consumers who drive the most are +36% more likely to plan to buy a new vehicle in the next year.
- The next highest miles driven group is +18% more likely to purchase a new vehicle in the next year.
- Medium miles driven consumers are -6% less likely to buy a new vehicle in the next year.
- Those with light miles traveled are -25% less likely to purchase a new vehicle in the next year.
- Consumers with the very lightest miles driven are -23% less likely to make a new auto purchase in the next year.
People who drive the most are much more likely to be in the market for a new vehicle. The 40% of Americans who clock the most miles represent 51% of new auto purchasers.
Which media platform attracts those who drive a lot of miles?
Nielsen Scarborough: Heavy AM/FM radio listeners are way above the norm for auto purchase intention
Nielsen Scarborough reports that heavy AM/FM radio listeners are +19% more likely to be in the market for a new vehicle in the next year. In contrast, heavy TV viewers are -8% less likely to be in the market for a new vehicle in the next year.
Among ad-supported audio, AM/FM radio has a dominating 89% share of in-car time spent, per Edison’s “Share of Ear” study
When it comes to trying to reach consumers in the car, AM/FM radio offers auto dealers a stunning 89% share of ad-supported audio in the car.
Nielsen Media Impact: A Hyundai buy could grow its reach +40% with the addition of AM/FM radio
Auto dealers can see a sizeable impact by shifting a small portion of their TV budget to AM/FM radio. Nielsen Media Impact, the media optimization platform, analyzed a Hyundai local TV and cable campaign. The TV campaign reached 62% of persons 25-54 in the local market.
Shifting 20% of the TV budget over to AM/FM radio causes reach to soar from 62% to 87%, a +40% increase in monthly reach with the same budget!
Key takeaways:
- Nielsen Scarborough: American auto intenders clock a lot of miles in their vehicles
- Nielsen Scarborough: Heavy AM/FM radio listeners are way above the norm for auto purchase intention
- Among ad-supported audio, AM/FM radio has a dominating 89% share of in-car time spent, per Edison’s “Share of Ear” study
- Nielsen Media Impact: A Hyundai buy could grow its reach +40% with the addition of AM/FM radio