Digital revenues will continue to be the bright spot in radio’s future, according to new projections issued by BIA/Kelsey. Radio’s online/digital revenues will grow to $479 million in 2011, up from $405 million in 2010. The five-year outlook indicates radio’s online/digital revenues will reach $758 million by 2015, representing a 13.4 percent compound annual growth rate (CAGR).
In particular, the report mentions the integration of digital and traditional assets, which is giving stations opportunities to attract advertisers through online, social media and mobile channels and drive on-air audiences online.
While radio revenues have seen sluggish growth of only 1.2% this year, the digital/online segment has grown 15% over last year and is projected to finish the year at $479 billion.