10 Things Every Broadcaster Should Know About the Auto Industry

10 Things Every Broadcaster Should Know About The Auto Industry

@fnjacobs

Heavy In-Car Radio Listening

100% “During an average weekday, how much of your 90% total AM/FM radio listening takes place in a car?”

80%

70% 65% 63% 62% 60% 54% 54% 53% 52% 51% 50% 49% 43% 43% 42% 40%

30%

20%

10%

0% ALT RUR CHR CTY SPT AAA RCK HAC Total CLS AC UAC N/T

“100% of the time” or “most of the time” The Radio Revenue Story

CATEGORY 2009 2010 2011 2012 2013

AutomotiveAutomotive 23%23% 24%24% 26%26% 29%29% 29%29% 2014-15 Communications 22%Automotive22% 19% 18% 22%

TV/Networks/Cable 17% #118% 19% 18% 17%

Restaurants 21% 18% 19% 18% 16%

Financial 17% 18% 17% 17% 16% “Highway HiFi”

“I think about things such as, is there something I can do inside my vehicle that today I have to do outside my vehicle?”

- Marcy Klevorn CIO/Ford

1. *Radio’s “share of car” is solid In-Car Media Usage Total

Phone Other Audio books 3% 2% Other streaming 1% 2% Podcasts Pandora 2% 3%

Your Music 10%

AM/FM 66% Satellite 10%

Percentage of time spent in a car with each source In-Car Media Usage Own A Connected Car

Phone Other Audio books 3% 1% Other streaming 1% 3% Podcasts 2% Pandora 3%

Your Music 11%

AM/FM 55%

Satellite 20%

Percentage of time spent in a car with each source 2. Connected cars are coming fast The Connected Car

3. The devil is in the dealership Frequency Of Changing Audio Settings

All the time 5% Never - the same as when I acquired the vehicle 7%

Occasionally 18%

Never - I set them up, never changed them 78% Rarely 33% 38%

How often do you change the audio choices, pushbuttons, or settings in the vehicle you drive most often?

4. It’s About The UX

“The customer is at the center of everything we do.” - Mary Barra, CEO General Motors 5. Tech Drives Car Sales & Decisions

6. Apple CarPlay & Android Auto Toyota Entune

Chevy MyLink Mercedes mBrace2 25+ Connected Solutions Kia UVO

OnStar

Audi Connect Cadillac CUE Ellis & Associates 7. Drivers Love Connected Cars “Connected Car” Rating

Love + Like

Total 70%

Men 71% Women 65% Love it 43% Gen Y 73% Gen X 70% Boomers 67% Like it Silent 56% 27%

Caucasian 68% Other Hispanic 71% 5% African American 74% Avoid it Asian 78% Confusing Fair 9% 8% 8% Large market 72% Medium market 67% Small market 66%

0% 20% 40% 60% 80% 100%

Among in-car media system owners 8. Consumers want AM/FM radio…

AM/FM Radio 88%

Smartphone connector 66%

Bluetooth 62%

CD Player 51%

GPS 45%

Wireless internet connection 32%

Satellite Radio 27%

Media system 24%

HD Radio 23%

DVD 17%

Apple Carplay/Android Auto 16%

Hard drive for media storage 14%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% …but they want other options, too

9. Embracing Disruption 10. Autonomous cars are coming

Perceptions of Autonomous Cars

Enthusiastic + Like

Total 23%

Not sure Men 29% 23% Women 17% Leaning against Like the idea 15% 16% Gen Y 31%

Gen X 23%

Vehemently Enthusiastic Boomers 20% against 7% 16% Silent 16% Need more info 24% Large market 23%

Medium market 22%

Small market 22%

“Based on what you know about ‘autonomous cars,’ which 0% 5% 10% 15% 20% 25% 30% 35% of the following best represents your opinion?” 11. The future of radio (& TV) traffic reports

Traffic Traffic Sources

Radio traffic reports 65%

Local television 25%

Google Maps 24%

GPS 14%

Waze 13%

Other traffic apps 4%

Apple Maps 3%

Other /Traffic Info 3%

0% 10% 20% 30% 40% 50% 60% 70% Among those who spend time in a car on an average day Multiple answers allowed Traffic Source Relied On Most

Radio traffic reports 56%

Local television 16%

Google Maps 13%

Waze 7%

GPS 5%

Other 2%

Other traffic apps 2%

Apple Maps 1%

0% 10% 20% 30% 40% 50% 60%

Among those that use traffic information Traffic Source Relied On Most Gen Y Gen X

Radio traffic reports 38% Radio traffic reports 57%

Google Maps 32% Google Maps 13%

Local television 10% Local television 13%

Waze 9% Waze 8%

GPS 4% GPS 4%

0% 20% 40% 60% 80% 0% 20% 40% 60% 80% Boomers Silent

Radio traffic reports 66% Radio traffic reports 73%

Local television 15% Local television 14%

Google Maps 7% Google Maps 7%

Waze 5% Waze 5%

GPS 4% GPS 4%

0% 20% 40% 60% 80% 0% 20% 40% 60% 80%

Among those that use traffic information

Action Steps

Drive a “connected car” Action Steps

Invite a car dealer CEO to lunch Action Steps

Create a local car dealership strategy Action Steps

Develop a mobile strategy Action Steps

Ensure your brand is in-sync with Apple & Android Action Steps

Speak in one voice 10 Things Every Broadcaster Should Know About The Auto Industry

@fnjacobs [email protected] www.jacobsmedia.com/blog

@fnjacobs