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LUXURY MARKETING UPDATE: MOBILE MULTITASKING; NEW CARS SOON TO COME WITHOUT AM/FM RADIO? March 13, 2013 (0 comments)
New York, NY—Your parents may not believe you can do homework while watching TV, but according to a new study by the ipsos.com’s Mendelsohn Affluent Barometer, 58% of all luxury consumers regularly multitask by using a smartphone, tablet, or laptop computer while watching TV. And 64% regularly multitask on multiple screens or devices. Finally, 51% actively engage with social media while watching TV. Facebook was the most popular by 26 percentage points, followed by Twitter, and then other sites like Pinterest.
Of all their devices, luxury consumers surveyed said they would find it hardest to live without their laptop and smartphone, followed by TV, desktop computer, or tablet.
According to a report in Luxury Daily, the implications of this behavior on luxury marketers is that they need to make sure their message stands out on the proper platform if they want to connect with their audience.
Separately, reports from a recent radio industry conference suggest that in as little as two to five years, AM/FM radios may no longer be included in the dashboards of new automobiles. Some automakers—rightly or wrongly—are convinced that younger consumers don’t listen to over-the-air radio anymore, using only streaming music services such as Sirius, iHeart, or Spotify.
But the article points out that Arbitron ratings (which measure radio listenership) say otherwise, and that many consumers—especially Baby Boomers, who cannot be counted out any time soon—still do listen to the radio. It argues that automaker partnerships with satellite and online radio services may also be behind the decision, as signing up new users is in the carmakers’ interest.
Radio has some inherent advantages over streaming services, most notably its singular ability to notify the public on a mass scale in the event of an emergency, and to keep tabs on traffic reports and other matters of local interest. But advertisers like the ability to accurately measure listenership, which, like any other online marketing, can be done with streaming radio, while Arbitron ratings are based on estimates from surveys.
The implications are significant for marketers. In an era where “narrowcasting” (targeting a very specific audience based on their habits and interests) is the trend for marketing, how will nationwide streaming services like Pandora or iHeart target a specific geographic area? Or will local retailers who now rely on radio to reach customers for a time-sensitive event have to find another broadcast medium?