AM Diversity

American Demographics, Dec, 1998 by Matthew Klein

The perception of the AM radio audience as a homogeneous bastion of older white men by and large might hold true, but companies whose products are positioned for other audiences might look for opportunities there. Fact is, the AM audience pool contains more of their target customers than they sometimes realize.

Without question, taken as a whole, AM's core constituency is made up of people aged 65 and older. Twenty-four percent of AM listeners in the top-25 metropolitan areas fall into this age group, according to Interep, a radio advertising sales and marketing company based in New York City. At the far end of the spectrum, young adults aged 18 to 24 make up only 4 percent of the audience-fairly low, even taking into account that the age group spans 7 years. But analysis of share data at the far ends alone might result in overlooking a strong showing among groups in the middle age segments. Twenty percent of the AM radio audience is aged 35 to 44, and 19 percent is aged 45 to 54, while 15 percent is aged 55 to 64 and 14 percent is aged 25 to 34.

"There's no question that AM stations are always concerned about trying to grab more young people," says Michele Skettino, director of marketing communications for Interep. "But as the population ages in general, more people will fit the audience profile, bringing more dollars with them."

AM programmers are not just waiting for people to come of age, though, which would be the marketing equivalent of watching grass grow.

"We're seeing a shift in programming," says Skettino. "More sports are coming in, along with other programs that attract a younger audience." The all-sports format debuted a decade ago and today accounts for 10 percent of all AM stations in the top-25 metros.

What these findings highlight, and what marketers must remember, is that there is really no such thing as "the AM radio audience." Particular formats may have one, as can a particular station or program. This fact is illustrated by two of the newest AM formats-Spanish news-talk and children's programming.

"There's been growth in total Spanish-language programming," says Skettino. "As the Hispanic population continues to increase, there will definitely be more demand for programming. In general, some advertisers are excited about Spanish-language programming because Hispanics tend to be heavy users of radio and the formats are a good way to target the market."

Another format in its early stages is children's programming. If it grows, AM would have the opportunity to connect with the very young.

"The format has generated a lot of interest, but ratings data aren't in yet," says Skettino. "A lot of people are watching this because it's a niche that hasn't been tapped."

The emergence of Hispanic and children's formats suggest a strength of AM radio familiar to anyone acquainted with Larry King, Paul Harvey, or even any of their satirists: the ability for listeners to connect in a highly personal way with the programs. This maybe borne out by characteristics found in San Francisco, the top AM market. Twenty-eight percent of people aged 12 and older listen to AM radio in a given week.

"Part of it may be due to the strength of the AM stations there," says Skettino. "They have some very popular AM stations. But just off the cuff, it may be due to the fact that people in San Francisco tend to be very socially involved, and AM radio is one of the ways issues get discussed."

What this means for marketers is that even if AM doesn't have much clout in one city, it may be hopping in another. In areas where AM radio is thriving, there is a good chance that listeners have a more personal relationship with the medium than with other media options. The answer to this question might be found with the turn of the radio dial.