360 Degree Media Group Blog

Internet Radio Advertising Cost

Posted by Amy Baker on May 26, 2015 2:00:00 AM

Radio was once the king of media. It took a hit, but survived the invention of the television, and to this day still is a staple of Australian life. However, in the last decade there has been a new type of radio that is quickly winning the hearts and ears of listeners everywhere. Internet radio has truly exploded onto the scene. It was a revolutionary idea: have people choose the type of music they want to listen to, not simply the station. Today, internet radio is gaining a larger percentage of the market every year. With that larger market percentage comes a greater ability to market on these platforms. Luckily for businesses, the costs of marketing on internet radio is significantly different than on traditional radio. Here is what you need to know.


Internet Radio Advertising Costs Less Than Traditional Radio Advertising

Despite its massive popularity, internet radio has not quite caught up to the listenership of traditional radio just yet. Not surprisingly, the cost of advertising on online radio has also not caught up to traditional radio. It is quite feasible to save a large amount of money by choosing to advertise on Pandora or Spotify rather than traditional radio.

Target Audience

Whether or not the cheaper cost is beneficial to your business might depend on what the average age for your target audience is. Internet radio listeners tend to be younger than traditional radio listeners. In fact, in the United States young adults actually listen to internet radio more than traditional radio already. If this is your target audience, you are more likely to reach them using internet radio, so not only do you save a lump sum of money, but you can better reach your audience in the process.

Radio advertising costs in sydney


CPM stands for “Cost Per Thousand.” It shows the price of 1,000 advertisement impressions. It is estimated that the CPM for Pandora Radio is around $7. Comparatively speaking, that is relatively cheap for a CPM, similar to that of YouTube.


Of the many factors that determine cost of advertisements on internet radio, length of the advertisement is an obvious one. As you would expect, the longer the advertisement the more it will cost you. Typically, advertisements last either 15, 30, or 60 seconds.

Type of Ad

There are many different types of ads on internet radio that cost varying amounts. First, there are audio clips, which play 15, 30, or 60 second clips. These can be with or without visuals and are definitely the most common form of advertisements. Banner advertisement are also sometimes placed on the webpage, usually off to the sides of the page. Some other types of advertisements include display, billboard, homepage takeover, branded playlists, lightbox, and advertiser page.



Internet radio is providing an exciting opportunity for businesses to have a new mode of advertisement. It seems to be that internet radio advertising is more cost effective at the moment. As the popularity of internet radio increases, the cost should be expected to rise. Therefore, it is imperative that if your business is planning on advertise on this platform, you do it sooner rather than later. 


Find out more about online advertising with Facebook by clicking the link below:

Facebook Advertising Checklist

Topics: how to advertise on radio, advertising on radio, cost of radio ads