Study: AM Radio Is Indispensable Even To Younger Demos

A new study of U.S. car owners/lessees reveals that, as the importance of the vehicle as a third space grows, U.S. consumers are highly valuing in-vehicle entertainment, especially if personalized and comprehensive; that AM radio is indispensable to most, and video increases the likelihood to buy a particular vehicle.

This report, commissioned by DTS, Inc., presents the findings of a survey conducted by Censuswide among 1015 U.S. Consumers who currently own or lease a vehicle (17+). The survey was fielded between 09.29.2023 - 10.03.2023. Censuswide abides by and employs members of the Market Research Society and follows the MRS code of conduct which is based on the ESOMAR principles.

While today’s dashboards are often a mirror of the consumer’s cell phone, 56% of today’s car owners reject that, saying they want much more from their in-cabin entertainment experience than  just a cell phone on wheels.

They want it to “be personalized to their entertainment preferences, offer the highest quality audio experiences, make all content easily discoverable, adjust the in-cabin environment (seat position, temperature, etc.) to their comfort and wellness preferences, incorporate safety technology that sends alerts (e.g., distracted/drowsy driving) and constantly update to meet digital advances and  evolving needs.” And these results are especially compelling among younger consumers, with well  over 2/3rds of those aged 25-34 (71%) and two-thirds of those aged 35-44 (66%) agreeing with this  vision of the dashboard.

So, it is not surprising that the vast majority (65%) of consumers surveyed – and around 80% of those 44 and under – say in-vehicle entertainment is important to them.

Of those who say the in-vehicle entertainment is very important or important, having a broad range of content (local radio, streaming, podcasts, audio books, etc.) is key, with 81% saying that this is important or extremely important. 

An equal number (80%) say that accessing relevant, easily ‘discoverable’ content (i.e., recommended in the dashboard) without looking for it, such as local radio, streaming, podcasts, audio books, etc., is important or extremely important. And nearly as many, 75%, indicated that content being personalized, i.e. suggested content that recognizes individual preferences or past choices, is important or extremely important. 

Enhancing that content with rich visual/textual information (i.e. album cover images, biographical info) about the artist and song listened to is important or extremely important to over 3 in 5 (63%),  while being able to continue listening to a radio station digitally when the vehicle has gone out of broadcast range is important or extremely important to the vast majority – 82%.

AM Radio Is Essential – Especially to Younger Consumers

Consumers, overall, agree (60%) that AM radio, which offers emergency/weather disaster updates, local content, community news, sports, and live, real-time traffic reports, is an indispensable part  of their vehicle’s dashboard. Interestingly, it is most important  to those 17 – 44 than to those  45 and over.