Digital Audio

The Ultimate Guide to Audio Advertising

Jun 21, 2024

There are a million moments throughout the day when listeners tune in to audio. Whether it’s sharing their favorite celebratory playlist at a party or washing the dishes with their favorite podcast, connected listening is happening everywhere.

Now more than ever, digital audio's popularity is skyrocketing. Adults continue to increase their time spent listening to digital audio—more so than other digital media. Audio advertising remains more relevant than ever, and it expands the opportunity for more precise targeting and stronger connections with consumers. 

Digital audio allows listeners to tune in from anywhere, and advertisers must capitalize on those magic moments of connection. So, what are the advantages of audio advertising, and how can we harness its power? Let’s get into it.

What Is Audio Advertising?

Audio advertising is the selling and insertion of ads in audio content, which can be streamed on a variety of devices. Traditional audio advertising, which includes broadcast or terrestrial radio, offers a broad reach and cultural legacy. However, these forms of audio advertising do have their limitations. Audio ads placed on these channels cast a wide net and don’t allow for reliable tracking and measurement of ad performance, making it difficult to determine a campaign’s effectiveness.

What Is Digital Audio Advertising?

Digital audio advertising is the insertion of ads into digital audio content, such as podcasts, satellite radio, and other streaming music platforms. With US adults listening to almost five hours of digital audio everyday, advertisers have the chance to cut through the noise and connect with audiences during their favorite moments.

One reason digital audio is so popular is because it helps listeners avoid screen fatigue, with the benefit of remaining connected and online—about 58% of young adults say audio helps them escape visual overstimulation.

Advertisers can reach customers through various digital audio channels, like podcasts and streaming platforms. They can also reach their target audience in more precise moments and locations, like during a listener’s favorite song or podcast.

In comparison to traditional radio, digital audio listeners are more engaged and listening through headphones and smart speakers. So, the ads must be higher quality, personalized, and relevant.

How Does Audio Advertising Work?

Audio ads have evolved from simple radio jingles into modern, complex, and targeted digital ads. However, much of the ad formatting remains the same.

These ads are inserted within digital audio content in various formats. Audio ads also vary in lengths of 15, 30, or 60 seconds. And with some mediums, like podcasts, ads can be placed before, during, or after a session or episode, also known as pre-roll, mid-roll, or post-roll.

A live ad reads and host reads are popular ad formats, when the host or the DJ reads aloud an audio advertisement. These ads are successful due to the connection that popular hosts form with their listeners. Similar to station hosts, podcasters also have a strong connection with their fans. Trustworthy hosts who read aloud ads can prompt higher recall levels among listeners.

Dynamic creative ads are more versatile. This type of ad format creates multiple versions of the same audio message, which is then altered according to context and other targeting strategies. So, depending on the location, weather, and time, the message can be optimized and altered to most successfully reach a target audience.

Today, digital audio advertising offers more flexibility when attempting to convert customers. For example, SiriusXM Media includes audio companion banner ads, which are clickable visual ads that complement the audio advertisement. Once clicked, they instantly bring the listener to the brand page or to learn more about the product.

A Brief History of Audio Advertising

Over a hundred years ago, the first radio advertisement aired in 1922 on New York City’s WEAF. Far off from today’s short and condensed ads—at over 15 minutes long—listeners heard about the new apartments in Jackson Heights, Queens. 

General Mills is credited with the first-ever jingle for its cereal, “Wheaties–the best breakfast food in the land.” The jingle was played on Christmas Eve in 1926. However, it only aired in the Minneapolis-St. Paul market, causing Wheaties sales to skyrocket in the Twin Cities. The jingle saved the company from bankruptcy, and General Mills rushed to broadcast it nationally.

Radio advertising continued to evolve and become ingrained in to pop culture. Many listeners grew to love specific jingles, like Alka Seltzer’s “Plop Plop, Fizz Fizz” (’76). Listeners also became accustomed to sponsored radio programs or live ad reads from hosts.

Then, when the first podcast appeared on iTunes in 2005, more targeted and niche opportunities arose. Podcast hosts presented an opportunity for personalized ads, and some hosts today will even compose their own brand jingles.

As audio advertising continues to evolve, ads can now exist on multiple marketing channels on diverse streaming platforms, devices, and formats. Plus, thanks to voice-activated smart speaker devices, brands have the ability to go the extra mile to interact with listeners.

The Advantages of Digital Audio Advertising

If capitalized on, audio advertising lays the groundwork for brands to have several points of connection with consumers, particularly in a personalized way.

Digital audio ads can be heard anywhere.

Audio advertising doesn’t have the limits of other digital media–it’s more versatile. Audiences can play the radio or their favorite podcasts as they hit their morning commute, go to the gym, or cook dinner. In fact, 74% of young adults listen to more audio content today because they can take it everywhere with them.

They offer more precise targeting.

Digital audio advertising guarantees more precise data. AM/FM can only gather general estimates about its audience’s demographics and location. Comparatively, when a listener logs into their Pandora, advertisers can accurately gather data and measure their campaigns better.

Contextual and activity data helps advertisers create better and more effective ads. So, digital audio advertising lets advertisers know when audiences are tuning into content and which device they use the most.

Plus, digital audio advertising is less cluttered and less stimulating than visual ads. Audio ads generate greater attention than video ads, and they’re shorter. At no more than 60 seconds, brands can stand out and be heard better by their targeted audience.

They create emotional bonds.

Have you ever put on a hype playlist to get yourself out of a funk? Music, in particular, activates areas of the brain related to attachment, love, and compassion. Those emotional connections formed with audio are an opportunity for advertisers to form a bond with their consumers.

Podcast hosts, along with satellite radio show hosts and DJs, can become trusted messengers. A live read or a personalized endorsement by an authentic host will be better received by a specific audience. Even catering to a small, niche group can be effective, as these passionate listeners are attentively tuning in.

Final Takeaways About Digital Audio Advertising

From radio jingles about Wheaties to asking your smart speaker to purchase cereal, audio advertising has come a long way. Today, digital audio advertising provides a solution for advertisers looking to connect with diverse audiences in personal ways. It can also provide more accurate campaign data and insights, allowing ads to just get better and better.

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Sources

  • 1.

    Edison Research Share of Ear Study, Q2 2023, Percent More Time with Audio, Compared to Non-Digital Audio Listeners, Base: P13+

  • 2.

    Pandora Soundboard, 2023 User Study, A18-34

  • 3.

    Nielsen Podcast Ad Effectiveness Study 2020

  • 4.

    Edison Research Share of Ear Q4-2023

  • 5.

    Jäncke, L. (2008). Music, memory and emotion. Journal Of Biology, 7(6), 21.

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