Radio advertising in Germany - statistics & facts
The majority of revenue for radio stations comes from a license fee that consumers in Germany pay for radio and television. Advertising, however, also makes up a reasonable amount. In recent years, the revenue from advertising has slowly increased, which counters expectations that radio is dying out and being replaced by streaming. Having said that, when it comes to advertising revenue earned by all types of audiovisual media, radio ranks last.
Companies in various sectors invest money into radio advertising. Some of the industries most represented were FMCG, electronics, and the automotive market. Among the companies investing the most money were Lidl, Kaufland, Rewe, Penny, and Amazon. The discounter Lidl topped the list having put almost 80 million euros in radio advertising in 2023. In recent years, streaming has also become increasingly popular as it allows listeners to have more control over what they listen to. The ad spend on digital audio platforms has increased by over 20 percent for the last two years, indicating that it will be a real competitor for radio advertising. Moreover, radio broadcasters must have a large enough audience for businesses to feel like their investment is financially viable.
Despite the threat of streaming platforms, radio has a daily reach of around 74 percent in Germany, which considering the competition of new audio mediums is still very high. Not all radio broadcasters are equally successful, though. The top three radio stations in Germany in 2024 were RADIO NWR, BAYERN 1, and WDR 2. The first two recording over a million listeners every hour. In comparison, however, stations such as Klassik Radio and hr1 had just over 200,000 listeners. While people have not completely abandoned radio in favor of other audio services, the number of people who listen to the radio each day has seen a consistent decline over the past five years.
Radio has been an integral part of the media landscape for many years and therefore, has been seen by advertisers as a reliable medium to spread awareness about a business or product. The future, however, is dependent on where people chose to consume audio media. Thus, in the coming years it is probably that businesses will chose to advertise on platforms such as Spotify or Apple Music over radio, especially if the number or radio listeners continues to decline.
What is advertised on the radio?
Companies in various sectors invest money into radio advertising. Some of the industries most represented were FMCG, electronics, and the automotive market. Among the companies investing the most money were Lidl, Kaufland, Rewe, Penny, and Amazon. The discounter Lidl topped the list having put almost 80 million euros in radio advertising in 2023. In recent years, streaming has also become increasingly popular as it allows listeners to have more control over what they listen to. The ad spend on digital audio platforms has increased by over 20 percent for the last two years, indicating that it will be a real competitor for radio advertising. Moreover, radio broadcasters must have a large enough audience for businesses to feel like their investment is financially viable.
Radio reach
Despite the threat of streaming platforms, radio has a daily reach of around 74 percent in Germany, which considering the competition of new audio mediums is still very high. Not all radio broadcasters are equally successful, though. The top three radio stations in Germany in 2024 were RADIO NWR, BAYERN 1, and WDR 2. The first two recording over a million listeners every hour. In comparison, however, stations such as Klassik Radio and hr1 had just over 200,000 listeners. While people have not completely abandoned radio in favor of other audio services, the number of people who listen to the radio each day has seen a consistent decline over the past five years.
Radio has been an integral part of the media landscape for many years and therefore, has been seen by advertisers as a reliable medium to spread awareness about a business or product. The future, however, is dependent on where people chose to consume audio media. Thus, in the coming years it is probably that businesses will chose to advertise on platforms such as Spotify or Apple Music over radio, especially if the number or radio listeners continues to decline.
