Dynamic Ad Insertion: What It Is & Why You Need It

Dynamic ad insertion is an excellent tool for any digital audio advertiser. It enables businesses to deliver highly personalized ads that can be changed in real time. Learn more about dynamic ad insertion and why it should become a part of your next campaign.

What Is Dynamic Ad Insertion?

Dynamic ad insertion (DAI) is a data-driven technology that enables real-time personalization of ads on a large scale. This system lets advertisers seamlessly incorporate ads into content and modify them depending on the listener’s location, music genre, or even the weather. The best way to explain how dynamic inserted ads work is to compare them with traditional ads. We’ll do it using the example of podcast advertising.

Imagine an ad where the podcast host reads the message during the live recording—this is an embedded ad. That means it becomes a permanent part of the content and will be heard by all listeners, with not much wiggle room for personalization or later changes. So, if a host advertises winter sports equipment before ski season, this ad will remain a part of the content for the time being. A listener who discovers this episode half a year later will still hear this ad, even though it’s not relevant anymore.

Instead, a dynamic ad can be swapped in real time or targeted only towards a particular audience segment, allowing businesses to broadcast highly relevant ads. Dynamic ads allow for insertion in the entire catalog of episodes (even those from five years ago) at any time during the podcast. As soon as your campaign or promotion ends, you can replace the ads with new ones or get rid of them completely. Think Christmas ads around Thanksgiving, not all the way in July. Using dynamic ads in your campaign provides a better audience experience and allows advertisers more flexibility and more effective budget management.

Key Benefits of Dynamic Ad Insertion

The introduction of dynamic ads was a game-changer for advertisers and listeners alike. It offers flexibility, control, and personalization like never before. Here’s why you should consider trying dynamic ads out for your next campaign.

Real-time Adaptation

The ability to adjust the campaign at any time is one of the biggest advantages of dynamic ad insertion. Advertisers can monitor the performance in real time and update, pause, or modify the campaign, as needed. For example, if you see that one of the ads isn’t performing as well as the others, you can turn it off completely to use your budget to its full potential.

Advertising on a Bigger Scale

Dynamic ad insertion enabled advertisers to run their campaigns on an unprecedented scale. This technology allows businesses to reach millions of listeners simultaneously. You can connect with your audience no matter the device or platform they use or the genre they prefer. As long as they fall into one audience segment, they will hear your ad—and all while maintaining a high standard of quality.

Hyper-Personalized Experience

Even though you can run your campaign on a massive scale, every one of the ads will be tailored to the particular listener, thanks to DAI. Dynamic ad technology leverages data like location, device, demographics, listening habits, and more to ensure your message reaches the right audience at the right time. And it sounds exactly the way they want to hear it.

Back Catalog Reach

Some popular podcasts have hundreds of episodes available on streaming platforms. And, those older episodes also get plenty of traction, from new and long-standing fans alike. Dynamic ad insertion makes it possible to place an ad in any episode, whether it rolled out yesterday or three years ago. It can be done in seconds and does not require any changes or updates from creators. Placing ads in older episodes can be an excellent way to expand the reach of your campaign. It also shows listeners that no matter what they listen to, they will get only fresh content from your brand.

Timely Messages

Businesses often advertise limited promotions or offer seasonal products. In these cases, DAI is an excellent solution for a campaign. Thanks to the ability to change or switch off ads at any time, your audience will never hear about a sale that has already happened or a special deal that expired months ago. For listeners, DAI removes the frustration of hearing an outdated ad, while advertisers can ensure every dollar spent on a campaign brings results.

Seamless Experience for Listeners

DAI allows advertisers to control almost every aspect of how the audience will hear your ad. For example, you can ensure they will not receive repetitive content over and over again. All this results in a better experience for your audience, as they are more likely to receive relevant messages when they are ready to hear them. What’s in it for advertisers? A great experience equals increased loyalty and higher trust toward your brand in the future.

Working with Studio Resonate for Dynamic Ad Insertion

Studio Resonate is the audio creative agency that can cover all of your audio advertising needs. And, our exclusive partnership with A Million Ads makes it possible to create dynamic ads that will take your campaign to the next level.

Clients have the option of providing us with a script and companion banners, or we can execute the whole project from start to finish. To ensure ads follow all requirements, we create audio in-house by Studio Resonate with the end goal of stitching together individual script elements. The result is a variety of custom ad versions tailored to each of your listeners with high precision.

Explore Podcast Advertising Options with SiriusXM Media

With decades of experience in anything audio and 150M listeners across our ecosystem, we are proud to say we know streaming advertising like no one else. Are you ready to create your next ultra-successful campaign together? Let’s talk.