Contributor: Celine Matthiessen, vice president insights & analysis, BIA Advisory Services
Radio isn’t just surviving in 2025 – it’s evolving. With $12.3 billion in projected local radio and digital radio ad revenue this year, combining both traditional and digital platforms, radio remains the fifth-largest advertising medium in the local market space. BIA’s analysis reveals shifts in how different sectors are approaching radio advertising.
The landscape looks different than it did even a few years ago. Investment firms and retirement services now lead radio advertising spending, followed by quick-service restaurants and supermarkets. But perhaps the most interesting shift is happening in digital radio, where finance, insurance and restaurant sectors are each investing over $95 million.
Some sectors are betting big on radio’s digital future. Real estate developers are increasing their digital radio spending by 15.8%, while restaurants and bars plan an 8.6% boost. Even traditional sectors like hospitals are spreading their investments across radio’s various platforms, recognizing its strength in reaching rural and remote communities.
As traditional broadcasting merges with digital capabilities, radio is proving it can do what it’s always done best – connecting advertisers with local audiences – while offering the targeting and measurement that modern marketers demand. In a media landscape that grows more fragmented each year, that’s no small feat.
As we move through 2025, radio’s ability to maintain its position as a top-five advertising medium while embracing digital transformation suggests a bright future for this resilient industry. The medium continues to prove that it can evolve with the times while maintaining its core strength: connecting advertisers with local audiences in meaningful ways.
RAB Members can view a presentation of this information as well as a PDF of the full presentation here.