Digital Audio Advertising: A Vital Component of Your Next Multi-Channel Marketing Strategy
The audio world is evolving, and the opportunities for advertisers in this space are increasing. In this article, Kym Treasure, the co-founder and chief executive officer at Audacia Audio, examines the significance of audio-based digital advertising in the current dynamic marketing landscape.
For the first time, streaming on-demand audio has surpassed the listenership of linear audio. According to Edison’s research, at the end of the second quarter of 2023, 50.3 percent of the audio listening time used daily by people in the U.S. aged 13 and above is currently on platforms that allow on-demand, and 49.7 percent are on linear media. In 2023, the number of on-demand audio streams will reach billions of streaming audio on demand yearly. Although global markets will have different shares, streaming audio has been a staple in the lives of many people worldwide in how they play music to enhance their lives, whether studying, relaxing, commuting to work out, partying, or anything in between.
Although the above data do not necessarily point to the traditional audio format one day becoming zero and being the sole way people listen to audio, people will likely be looking for some directed radio. This shift in habits has created possibilities for marketers to connect with audiences in a flash and in ways that were previously unattainable. With the many channels available to communicate with targeted audiences, integrating digital audio advertising into a multi-channel marketing plan is becoming increasingly important. It will become more effective when it is activated through programmatic technology, which allows for more control over targeting along with agility and incredible speed to market.
Audio advertising encompasses radio, podcasts, streaming music, and gaming platforms. According to PwC’s Global Entertainment and Media Outlook, digital audio is among the most rapidly growing advertising channels. Within Asia Pacific, spending on audio advertisements is expected to grow by a third between 2023 and 2025, from $2 billion to $4 billion per year. Marketers are increasing spending because people perceive this medium as informative, trustworthy, and relevant. Audio advertisements are an excellent method to get in touch with these customers with no screens in a personal and intimate environment.
How are Consumers Listening?
The increase in listening to digital audio streaming while driving (or in public transport) is evident across all generations. This is the most preferred place to hear podcasts for those aged 18-34 and 35-49. This is an excellent chance for companies to join their digital out-of-home (DOOH) and audio marketing campaigns to reach users on the move using both sound and sight
People are more likely to listen to music at home when they are not using their screens. For instance – cooking, working out, exercising and cleaning, or even contemplating.
What is the audience listening to? There are more than 5 million podcasts and more than 70 million episodes by 2023, According to the Spotify website. The popularity of podcasts is growing, and co-listening has been increasing. In particular, teens (aged 13-17) listen to their parents the most frequently on weekday mornings and weekends.
Comedy has been the top listened-to podcast channel, according to the most recent Edison research released in September 2023. then True Crime; however, because of the speed and ease in production, niches have sprung up, and micro-segments are continually forming.
Audio as Part of a Multi-Channel Strategy
Although there is a lot of potential in audio, it isn’t brilliant to suggest that it should be the only element in an advertising strategy since every digital marketer knows. However, audio can be essential in multi-channel systems, allowing advertisers to connect with consumers across every step of their funnel.
The advantage of audio content is the fact that it provides advertisers the opportunity to reach out to audiences in settings beyond the home and even outside of their everyday devices when they’re on the move and in non-screenless times.
With the help of the power of location-based targeting, we can determine the most effective places to reach audiences moving around with audio. This can then be combined with the DOOH provider to connect these locations to capture listeners visually while they are moving.
Utilizing audio as a part of a multi-channel marketing strategy aids in telling a compelling story throughout the entire journey of a customer. In creating a seamless flow across the various channels a campaign will be shown on, marketers can continuously keep their customers informed about their products, which will move closer to conversion and create brand awareness and a brand image.
Concerning converts and direct-to-consumer advertisements, podcasts allow companies to reach out to consumers via their favourite hosts using exclusive discounts and codes. It could be a specific URL to visit the promo code to apply during checkout, a particular phone number to call, or a remarkable landing page to get exclusive deals.
Brands can keep track of web traffic, coupon code use, call volume, and other metrics relevant to their business to evaluate how much return on investment (return upon the investment) of their podcast marketing campaigns.
It’s Time to Turn the Volume Up on Audio Advertising
The ability to take advertising to new heights is an essential goal for businesses in the ad technology industry, mainly due to the constant problems like the dwindling interest from the audience.
An alarming 42 per cent of people have turned to ad blockers due to the constant stream of ads that don’t resonate with their values or cultural preferences. This is significant since we face an ever-growing, saturated, and overloaded advertising environment that is full of video content but needs more resonance. Audio, with the aid of AI, could provide access to different media channels, allowing specific segmentation, languages, and the ability to target contextually ads, which are aligned to the content that people are currently consuming.
The audio industry is set for significant growth due to the convergence between audio technologies and AI. Based on current trends, this convergence is likely to bring unprecedented efficiency for businesses looking to integrate audio ads in their marketing campaigns on a large scale.