Real estate leads radio ad volumes with a 15% share: TAM AdEx report

New Delhi: Radio’s ad volumes have been on the rise since 2020 and have increased 80% as of 2024. 

The growth was driven by sectors like services, auto, retail, and BFSI. 

The lead driver for advertising was services which contributed almost 30% of all advertising, according to a TAM AdEx report. 

While the growth from 2023 to 2024 was a modest 2%, the cumulative trend indicates that radio has steadily gained ground, particularly after the disruptions of previous years. 

Properties/Real Estate took the top position with a 15% share of ad volumes on radio. 

Despite there being more than 400 categories advertising on the medium, the top 10 categories were responsible for 51% of the total spend.

Alongside Properties/Real Estate, the cars category showed remarkable dynamism, registering a 57% growth in ad volume compared to the previous year. Maruti Suzuki India was the leading advertiser. 

The other notable categories included Retail Outlets–Jewellers, Hospitals/Clinics, and segments such as Life Insurance and Multiple Courses, which all recorded significant growth rates.

TAM AdEx report also highlights a growing trend of new advertisers using peak listening hours on the radio. It identifies two groups: consistent radio advertisers and "exclusive" advertisers – those new to the medium in 2024. Jeena Sikho Lifecare leads this new group. The sheer number of exclusive advertisers (over 5,750) suggests increasing interest in radio advertising. 

The TAM AdEx report emphasises that the evening time-band is the most preferred slot among advertisers, followed by the Morning slot. These periods coincide with commute times and early work hours when radio is a popular choice for both entertainment and information consumption.  

Geographical trends further add depth to the report’s findings. Gujarat led the state-wise ad volume rankings with an 18% share, closely followed by Maharashtra, which accounted for 16% of the total. Among cities, Jaipur topped the list, with New Delhi coming in at a close second. 

The top five states together contributed more than 60% of the total ad volumes, while the top 10 cities represented 62% of overall spending. These regional patterns highlight the importance of local market dynamics and suggest that advertisers are strategically targeting areas where radio has a strong listener base.

Regarding ad duration, the 20-40-second commercial continues to be the most prevalent format. However, the report also observes a growing trend of advertisements shorter than 20 seconds in 2024 compared to the previous year, suggesting an ongoing exploration and experimentation with different ad lengths to maximise audience engagement.