6 Audio Advertising Trends for 2024 and Beyond

Digital audio advertising had a big 2023, with the continued explosion of podcasts and the growth of programmatic ads on audio platforms, and the current audio advertising trends make 2024 look even bigger.

Digital audio isn’t just growing in size—we’re seeing it reach more diverse audiences, contribute to better advertising recall, and sustain longer and more engaging listener relationships.

Here are the trends we expect to see continue throughout the remainder of 2024 and into 2025.

1. Time Spent Listening Continues to Increase

Digital audio overtakes an increasing portion of US listening audiences each year. The 2024 Infinite Dial report revealed that 76% of Americans 12 and older listen to digital audio (a 1.3% increase over the previous year). Music accounts for 72% of listening, and Pandora leads the way in consumer awareness, beating out Spotify, Apple Music, and iHeart Radio.

The growth of the creative medium itself is responsible for the continued growth of the audience. Digital audio is no longer just music. It includes streaming radio, podcasts, and sports. Podcasts are driving digital audio growth. More than two-thirds of Americans listen to podcasts, with nearly half listening each month, up 12% from last year.

Digital audio listeners are more engaged. They spend an average of 4:49 hours listening to digital audio each day, 61% more time than other non-digital audio listeners. And that growth shows no signs of slowing based on the number of smart speakers Americans purchase—nearly 100 million Americans have a smart speaker in their home, up 26% from 2020 (40+ million of which own three or more speakers).

2. Content Creation Will Create a Better Audience Experience and Improve Ad Targeting

Curated listener experiences are the difference between targeting demographics and targeting humans. People turn to digital audio as a companion for everyday activities, like working, cooking, doing chores, and running errands. More than 70% of Pandora listeners report tuning in because it improves their mood, and more than half use music to directly influence their focus, motivation, and mental health.

Audio also offers the added benefit of the Theatre of the Mind effect, which leads to listeners visualizing scenes, moments, and experiences brought on by the sounds they're hearing. This further cements their interaction with the message and is especially potent in well-produced audio that implements spatial, 3D sound design.

Digital audio advertisers can solve specific audience pain points when and where they arise. With contextual targeting, a mattress company can help listeners improve their sleep by inserting mattress ads into a sleep-aid playlist. 

Ads are annoying because we’re typically bombarded with information that doesn’t apply to us. Well-produced and relevant ads are a welcome experience. That’s why digital audio ads have a 36% better long-term recall impact than TV ads.

With multi-network platforms like the new SiriusXM streaming app, advertisers are serving branded audio content across all formats to accompany their highly targeted audience at the most appropriate moments. Even though audiences are highly targeted, the shows reach massive audiences.

3. Privacy-Forward Targeting Is Mutually Beneficial

As data privacy evolves from a moral conundrum to a legal mandate, advertisers are scrambling to find new solutions to replace old targeting methods.

With the will-they-won't-they thrid-party cookie drama from Google, marketers are searching for ways to gather more first-party data. This move is an intimidating transition, but it also offers an incredible opportunity to experiment. 

We've long taken a privacy-first approach to audience modeling. This approach involves creating seed audiences from first-party data and look-alike audiences to extrapolate that data. A first-party data approach gives advertisers a better environment for targeting while protecting user data.

4. Programmatic Buying Is Made Easier with Digital Audio

The rapid audience growth and robust targeting tools make digital audio a great resource for programmatic ad buying. 

The current digital audio audience spends about one-third of their time listening, but digital audio ad spend accounts for less than 9% of total media budgets. For brands already experiencing digital audio success, programmatic investment is one of the primary audio advertising trends. But for most brands, digital audio audiences are completely untapped. 

Programmatic audio also strengthens your CTV ad buy. A recent study we did with Neilsen revealed a 14% increase in message association and a 12% increase in aided recall for consumers exposed to both digital audio and CTV ads as part of the same campaign.

5. Digital Audio Drives Incremental Reach Across Media

Our listener data shows a 43% increase in median incremental reach when podcasts are added to a campaign. That’s just podcasts. With almost zero overlap between podcast and non-podcast audiences, adding other digital platforms will only exponentially increase the results. 

These are incremental impressions that digital video and CTV can’t replace. People listen to digital audio most when in their car, walking, shopping for groceries, and doing chores—all activities not suited for screens.

6. Podcasts Are Going 360

One of the biggest audio advertising trends is actually a native video advertising opportunity. As podcasts replace TV time, more and more podcasters are producing video feeds of their podcasts. While most podcast listeners continue to choose audio as their primary medium of consumption for their favorite podcasts, the visual component gives brands an additional native opportunity to associate their brand with a listener's favorite personalities.

Let Us Help You Get in Front of Audio Advertising Trends

If your audience includes Americans over the age of 12, there is a good chance they are already listening to digital audio—whether music, streaming talk radio, live sports, or podcasts.

Are you ready to share your story with a better audience in 2024? Let’s talk.