The advertising landscape is constantly evolving, and a recent study conducted by Advertiser Perceptions has shed light on a significant brand shift in interest towards in-car visual ads synced with AM/FM broadcasts. The study, which surveyed 305 national media agencies and advertisers, revealed compelling insights into the growing appeal of in-dash visuals and their impact on the advertising industry.

Increased Interest in In-Car Visual Ads

The Quu 2024 In-Vehicle Visuals Report shows that 100% of new vehicles can display text, and 60% can show images.

According to the study, 80% of agencies and advertisers have shown a heightened interest in in-car visual ads synced with AM/FM broadcasts. This marks a notable increase from 64% in 2021, indicating a growing recognition of the potential of in-dash visuals as a powerful advertising medium. As RadioInk mensioned in its article brands will invest 16% more on radio with ads with in-car visuals.

Growing Awareness and Appeal

The survey also highlighted a substantial increase in awareness of in-car visual ads, with 33% of media agencies and marketers expressing that they are “very familiar” with this technology, compared to just 15% in 2021. Furthermore, 83% of respondents expressed intrigue in geographically targeted visual ads, showcasing a growing appeal for targeted solutions.

Value and Impact

Including in-dash visuals has proven valuable for advertisers, as reflected in their willingness to allocate a higher budget for AM/FM radio buys featuring these displays. Advertisers are now willing to spend 16% more on AM/FM radio buys incorporating visual displays, compared to a 12% increase in 2021. The Quu 2024 In-Vehicle Visuals Report revealed that 100% of new vehicles can display text, with 60% capable of showing images, emphasising the potential reach of in-car visual ads.

Integration with AM/FM Radio

With AM/FM radio maintaining an 86% share of in-car ad-supported audio, as reported by Edison Research’s Q1 2024 Share of Ear data, the strategic advantage of integrating visuals with radio ads becomes apparent. This substantial reach has remained stable over the past six years, further validating the effectiveness of integrating visuals with radio ads to capture a broad audience.

Targeting Younger Audiences

In-car visuals present an excellent opportunity to deliver a radio campaign’s message to younger drivers. A study commissioned by the Cumulus Media/Westwood One Audio Active Group revealed that 66% of adults aged 18-34 pay attention to the radio screen while driving, compared to 57% of those aged 35-49. This focus on in-dash visuals is closely linked to the amount of AM/FM radio time and miles driven, highlighting the potential for engaging younger audiences through in-car visual ads.

Appeal to Listeners and Purchase Intent

Listeners have exhibited high interest in in-car displays, particularly for sales and deals. The study revealed that 61% of heavy AM/FM radio listeners are keen on in-dash promotions, with heightened interest among specific listener segments such as Spanish (88%), Sports (74%), and R&B/Hip Hop (71%) audiences. Furthermore, integrating in-car visuals with radio ads has boosted purchase intent, with significant recall rates for brands and products featured in these ads.

Targeting Geographically

The interest in geographically targeted in-dash visuals is particularly strong among younger audiences, with two-thirds of heavy AM/FM radio listeners expressing interest in this feature. This underscores the potential for targeted, location-specific advertising to resonate with audiences, especially among younger demographics.

Significant Audience Engagement

The study also highlighted that about 70% of heavy AM/FM radio listeners and 64% of mega-milers who drive over 150 miles weekly regularly notice the in-car radio display. This high level of engagement emphasises the potential for in-car visual ads to capture and retain audience attention, making them a compelling medium for advertisers to consider.

The findings of the Advertiser Perceptions study underscore the evolving landscape of advertising and the growing appeal of in-car visual ads synced with AM/FM broadcasts. As advertisers seek innovative and impactful ways to reach their target audiences, integrating visuals with radio ads presents a dynamic opportunity to captivate listeners and drive brand engagement. With the growing interest and awareness surrounding in-car visual ads, it is evident that this advertising medium is poised to impact the industry in the coming years significantly.