Los Angeles Radio – Billion Dollar Baby.

In 2004, the Los Angeles Metro Radio market (Los Angeles and Orange Counties) once again exceeded $1 Billion in revenue according to the SCBA, based on individual station reports. The 59 commercial stations on 53 formats that are home to the metro put $1.045 billion in advertising on the air in 2004. That’s up slightly, by about 1%, over 2003, which marked the first time in history that a radio market exceeded $1 Billion in revenue in a year.

The Los Angeles Media Market, defined as the 5 county area including Los Angeles, Orange, Riverside, San Bernardino and Ventura counties, did over $1.275 Billion.

Compared to newspaper and spot TV, radio led the local media market in growth for 2004. The Jan – Nov 2004 YTD data from the Miller Kaplan Arase LLP/TNS-CMR Los Angeles X-Ray report showed Newspaper with a decline of 8.5% YTD in revenue over 2003, while spot TV was up 1.3% and Radio was up 1.5%.

The X-Ray report includes 35 LA radio stations. Newspapers included are LA Times, LA Daily News, La Opinion, OC Register, Riverside Press-Enterprise, San Bernardino Sun, San Gabriel Valley News Group, Ventura County Star, Long Beach Press-Telegram, Inland Valley Daily Bulletin and Copley LA Newspaper Group. TV Stations are Channels 2, 4, 5, 7, 9, 11, 13, 34, 52 and 56.

“Radio is growing because more advertisers are understanding just how consumers use different media. People spend over one-third of their media time each day with their favorite radio stations. That’s usually more time than they devote to any other medium, including TV/Cable TV. Between traffic congestion, working (nearly 3/4 of women 18-54 in Los Angeles work) and driving farther, we spend less and less time in our homes, with neighbors and with at home media. To make up for that, we create Virtual Neighborhoods where we can participate and feel as if we belong. That’s exactly what a radio station is – a Virtual Neighborhood.”

“More advertisers are realizing it’s time to build Virtual Businesses in those Virtual Neighborhoods and use radio to connect one-on-one with individual consumers. All the newest research by Wirthlin Worldwide and the PreTesting Lab indicate that Radio is unique in the way consumers relate to it. Radio truly becomes Word of Mouth advertising. And that’s what moves product.”

Courtesy of Southern California Broadcasters Assn.