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December 21, 2014

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October 2005 Radio Revenues
Struggling against tough comparisons to October 2004 which were boosted by heavy political spending, October 2005 Radio revenue figures were significantly off.  The downturn can be traced to specific markets in the battleground states from the 2004 election that were up against last year’s high comparison to the current non-political 2005. 
 
For the month of October 2005, figures were off 7% in grand total combined spot and non-spot ad dollars compared with October 2004.  National ad sales figures for October 2005 took the biggest hit, falling 19% when compared to last October.  Local sales figures fared better, dipping 2% in October 2005 compared to the same month from a year ago.  Total combined local and national spot revenue was down 7% for October of this year versus October of last year.  Non-spot Radio revenue declined 8% in October 2005 compared to October 2004. 
 
From a year-to-date perspective, grand total spot and non-spot Radio revenue remained flat over the first 10 months of 2005, compared with those same 10 months from 2004.  National ad sales declined 1% January through October 2005, over January through October 2004.  Local ad revenue increased 1% January through October 2005, compared with that same time period from a year ago.  Total combined local and national ad sales figures remained flat for the first 10 months of 2005, compared with the first 10 months of 2004.  Non-spot revenue dropped 1% January through October 2005 vs. January through October 2004. 
 
To put the intermediate and long-term growth of the Radio industry into proper perspective, the Radio Advertising Bureau (RAB) introduced an Ad 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 RAB Sales Indexes for the month of October 2005 are: total combined local and national, 115.0; national, 109.8; local 115.7.  On a year-to-date basis, the sales indexes for January through October 2005 are: total combined local and national, 139.6; national, 140.3, and local, 139.4
 
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.  Non-Spot data has been collected and audited since January 2002 and reported since September 2004. 


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