Radio ranks second only to social media in advertising return on investment, according to Nielsen research, despite marketers placing the medium last among 10 channels when asked about perceived effectiveness.
The findings highlight a striking disconnect between how advertisers view radio and how the medium actually performs, suggesting its advertising value may be underestimated.
Nielsen’s benchmarks place radio ahead of eight other media channels in weighted advertising ROI. Radio generated $2 for every dollar invested, compared with $2.22 for social media, the only channel to outperform it.
The results also underscore radio’s continued audience reach, including among younger consumers, challenging the perception that traditional broadcast media primarily serves older demographics.
Radio’s measured returns also exceeded those of television, display advertising, search and connected TV. Podcasts delivered $1.49 in weighted ROI, performing comparably to television and display.
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