The conversation around proposing digital and radio advertising together has plenty of support. However, there remains concern from local media sellers that advertisers may steal from radio ad spending and move it to digital budgets. In most cases, these are separate buckets. Event better, having the ability to buy both from you is convenient and can improve the performance of a campaign.
For anyone still hesitant about recommending bigger digital spending, here’s why it’s okay and shouldn’t keep you up at night.
Comparing Ad Rates Is Not Apples to Apples
The cost for radio spots and digital ad tactics have no real comparison. They are completely different types of media. Radio ads have little to no cost for a station. Digital inventory does, which varies depending on the channel.
A $1,000 spend on radio ads gets a lot of buys. Conversely, a $1,000 display or geofencing campaign may not have the reach to engage the targeted audience. There are more considerations at play in a digital budget, as it needs to be sufficient to generate impressions that ultimately lead to conversions.
Extra Costs Are Normal with Digital
Depending on the type of campaign and if you’re providing creative services, the costs for digital can include additional fees. For example, you may be producing the video for an OTT/CTV buy, so there’s another expense.
Other costs could include campaign management for tactics like social media or SEM (search engine marketing).
Since radio spots include a script and voice, the fee may be minimal, or you may not charge them at all. So, again, it’s not an even comparison regarding these extras.
Digital Campaigns Run Longer
The radio spot buy cover a shorter period. For example, the advertiser may want to run a promotion for a month or less. Ideally, you’d have them make longer investments, but they may object or prefer shorter runs.
A digital campaign that runs for only 30 days is likely to underperform. There’s simply not enough time for any type of digital ad to really hit its stride and deliver the impressions and clicks that would qualify it as a success.
That’s why we always recommend the 3-6-5 approach: three tactics for six months at a minimum budget of $5,000.
Digital Ad Buys Are Multi-Tactic
Part of the 3-6-5 approach is the three tactics. One type of digital ad is often insufficient to drive performance. It can limit who sees it and where it is visible. Without other complementary channels, the goal, whether it be brand awareness or increased sales, is unlikely to be met.
Multi-tactic campaigns offer the most effective strategy for maximizing ad spend. A digital budget dedicated to three or more ad types enables the campaign to work in unison from multiple angles. Performance will improve, making the renewal much easier to win.
Digital Budgets vs. Radio Budgets: Not at Odds
A critical thing to remember is that these budgets don’t have to be in competition. You can lay out a media plan that includes both radio and digital, offering a cohesive campaign with broad reach and targeting.
With this approach, you’ll define why both ad types are essential to success. Advertisers don’t have to choose one or the other. They can get both from you!
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