360 Degree Media Group Blog

Digital Radio Advertising Explained

Posted by Amy Baker on Jun 6, 2015 2:00:00 AM

In 2014, American young adults listened to more Internet radio than terrestrial radio. Internet radio is definitely bigger in the United States than Australia at the moment. However, if the trends in North America are telling us anything, it is that Internet radio will continue to grow at a rapid pace, and possibly rival the listenership of traditional radio. For advertisers, this provides a unique opportunity to advertise on another platform. Here is what you have to know about Internet radio advertising.



The primary listeners of Internet Radio are teenagers and young adults. This is very important to realize, because trying to advertise to senior citizens on internet radio would most likely be a fruitless attempt. There simply are not enough elderly listeners to support something like that. If, however, you are advertising towards a target audience of teenagers and young adults, Internet radio could be perfect for you. It is also important to think of the future of advertising. If teenagers and young adults are listening to Internet radio now, then when they grow older it will be an even more reliable way of reaching your audience. Over time, the average age of listeners for Internet radio will increase.

Internet Radio Advertising

Target Audience

Speaking of target audience, Internet radio provides one of the rarest opportunities to advertise directly to your target market in about as specific a way as possible. Internet radio provides listeners with hundred of music channels they can listen to. These channels could be broad (such as rock n’ roll) or much more specific (Arctic Monkeys Station). Because people can choose their own stations and music, advertisers can have a very clear cut picture of who is listening to which radio stations, and therefore should be able to identify there target audience easily. Additionally, personal data is always being collected from different online sources, so you may actually be able to quantify your target audience.



When Internet radio was first invented, there was really only one way to listen to it: your computer. Over the years technology has improved, and companies such as Pandora have reached agreements to implement their services in different forms of technology. Internet radio can now be found on mobile phones, television, smart watches, and even automobiles. What is so intriguing about this fact is that Internet radio seems to be accessible in almost every aspect of a person’s life, increasing the chances that it will be listened to, and thus your advertisement being heard.



It is safe to say that as popular as traditional radio is, its listenership has steadily declined over the past decade or so. There are many factors that play into this, but the rise of Internet radio has definitely been one of the larger ones. From 2009-2010 the growth of monthly Internet radio listeners was over 25%. This is an absolutely incredible growth, but obviously is something that cannot be sustained. This high growth number is attributed to the rise in popularity of Pandora, and the invention of other similar platforms such as Spotify. From 2014-2015 there was still approximately a 6% growth of Internet radio listeners.



The most successful business people are the ones that have a vision of the future. The future of radio increasingly looks like it will be Internet radio. Internet radio is a fast growing medium that is popular with the younger generations. It is extremely easy to reach your target audience as well. Lastly, it is also a relatively cost effective mode of advertising. Inernet radio is exciting for advertisers, and your company should definitely look into it. 


For information about alternative forms of advertising, click the link below:

Billboard Tip Sheet by The 360 Degree Marketing Group

Topics: Internet Radio Advertising, Online Radio Advertising, Radio Ad Costs, Radio advertising costs