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4Q 2007 DR Radio Media Billings Decline $4 Million

1 Jun, 2008 By: Shay Moftakhar Response

'Computers, Software and Home Office' and 'Drug and Toiletry' categories each decrease more than $2 million.


Fourth-quarter 2007 DR radio media billings reported by TNS Media Intelligence (TNSMI) reflect an 18.3-percent decrease of $4,074,100, making 4Q the third losing quarter of 2007 and signaling a fallback after a third-quarter advance. Fourth-quarter 2007 experienced the heaviest loss of the year, almost tripling 2Q's reported losses and nearly five times the loss in 1Q 2007. This is a sobering setback when compared to fourth-quarter 2006's 28-percent ascent in the DR radio space. For the year, DR radio billings fell short of 2006's results by 7.6 percent, or $5.3 million.

 Figure 1 Percentage Breakdown Among DR Radio Outlets
Figure 1 Percentage Breakdown Among DR Radio Outlets

Similarly to the first two quarters of 2007, only seven categories reported gains in the fourth quarter. "Household, Furniture and Appliances" claimed the highest dollar gain with $1,471,900, and finishing second was "Audio Supplies and Equipment," with an $824,500 gain. Both categories advanced 27 percent. "Food and Beverage" doubled its order with a $313,600 rise. The percentage leader was the "Video Supplies and Equipment" category, with a staggering 33-fold jump of $219,300. Also worth noting was "Correspondence Schools" earning an extra $3,400, good for a 136-percent gain.

 Figure 2 Fourth-Quarter 2007 DR Radio Categorical Distribution
Figure 2 Fourth-Quarter 2007 DR Radio Categorical Distribution

The top dollar loser for 4Q 2007 was "Computers, Software and Home Office," which suffered a loss of just less than $2.7 million, or 97.2 percent — which was, surprisingly, not the top percentage loser. "Drug and Toiletry" also lost more than $2 million, with its 47.8-percent slide. The top percentage loser title went to 2007's worst performing category, "Business," which lost $1 million — or 98.7-percent. The "General" category lost 25 percent (or nearly $500,000). "Apparel" sank 67.8 percent.

 Figure 3
Figure 3

Only one of the three DR radio outlets reported a gain in 4Q 2007. Continuing the momentum started in the third quarter, local radio claimed a $338,400 advance of 5.4 percent, increasing its market share by 8.2 percentage points. Network radio squandered most of its 4Q 2006 gain of $5.5 million by losing $4.1 million, shrinking its market share by nearly 7 points. National spot radio almost diminished into nothingness with an 86-percent loss of $270,300, reducing its total market share to a paltry 0.24 percent.

 Figure 4 Total Quarterly DR Radio Media Billings
Figure 4 Total Quarterly DR Radio Media Billings

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