August 2003 Radio Revenues
Radio continued to withstand the decline in the economy as total combined local and national ad revenue remained flat for August compared to that same month a year ago. National figures for the month climbed 5% over August of 2002, while local sales dropped 2% after remaining flat for the past three months.
On a year-to-date basis, the total combined local and national ad sales figures for January through August rose 2% over those same months of 2002. National dollars for January through August of 2003 jumped 8% and local sales posted a gain of 1% when compared to the first eight months of last year.
To put the intermediate and long-term growth of the Radio industry into proper perspective, the Radio Advertising Bureau (RAB) introduced a Sales Index that equates base year 1998 to 100. The Index works similar to the Consumer Price Index so that information can be monitored on a monthly basis.
The total combined local and national sales index for August, 2003 was 127.4; the national index was 127.9 and the local 127.2. Look at the index from a year-to-date perspective, the combined total was 136.4, the national was 143.3 and the local was 134.5.
“Radio continues to work its way through the erratic economy,” said Gary Fries, President and Chief Executive Officer, RAB. “While business is being placed very close to the start time, it appears that September will be a positive month and the remainder of fourth quarter continues to strengthen.”
These monthly totals are based on the RAB Radio Revenue Index of more than 150 markets. The accounting firm of Miller, Kaplan, Arase & Co. provides the local and national revenue data on the more than 150 markets RAB uses to calculate its Revenue Index.
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