Audio Ads 101: The Rockstars of Media

Why podcasts, streaming ads, and programmatic audio are essential marketing channels—and how to buy them efficiently

TV commercials, radio spots, social and video ads can worm their way into a listener's ears (if they weren't paying attention before!) and stay in their memory long afterward. (How easily could you recall the "Nationwide is on your side" jingle?)

Creating excellent audio ads is part of building your brand's identity as well as selling your product. Learn more about the impact and best practices of audio advertising below.

Why is audio advertising effective?

How can audio ads build a brand?

What are best practices for audio advertising?

Why is audio advertising effective?

Audio ads have the ability to capture and hold the listener's attention. When people are engaged in audio content, such as streaming music, podcasts, or radio, they are more likely to pay attention to the ads that play during those moments.

In fact, research shows that audio ads boost brand recall by 24-45% on average, significantly higher than many other media channels.

Another reason audio advertising is effective is the ability to reach well-targeted audiences. With the rise of streaming services and digital radio, advertisers can target specific demographics, interests, and behaviors, ensuring that their message reaches the right audience at the right time. This precision targeting can lead to higher conversion rates.

On the backend of campaigns, audio platforms provide detailed analytics, allowing advertisers to track the performance of their ads and refine targeting, messaging, and overall ad strategy for better results.

How can audio ads build a brand?

Audio ads can thoroughly convey a brand's message, values, and identity. Repeated exposure to a consistent audio branding strategy helps reinforce brand recognition and recall. When consumers encounter the brand later, they are more likely to remember it due to the familiarity established through audio advertising.

There's a reason brands pay top dollar for podcast host-read ads. By associating itself with a listener's favorite podcast hosts, musical artists, or radio shows, a brand can gain credibility and relevance among its intended demographic.

Omnichannel is everything: Audio advertising can be part of a larger multichannel marketing strategy, reinforcing the brand's messaging across various platforms and touchpoints, such as social media, video, and print.

Direct vs. Programmatic: How Should You Buy Audio?

Here's where the buying approach matters. Historically, audio inventory was purchased directly through platforms like Spotify or iHeartRadio. But today, the vast reach and effectiveness of audio advertising can now be matched with the efficiency of programmatic buying.

Programmatic audio advertising is the process of buying audio inventory (radio, streaming music apps, podcasts, etc.) through automated means using a demand-side platform (DSP) and a supply-side platform (SSP).

Audio SSPs include Spotify and iHeartRadio, and audio DSPs include Basis Technologies and SmartyAds. A good media agency has partnerships with various ad tech vendors to get your brand the most functionality for the least investment possible.

According to data from EMARKETER, digital audio ad spend in the US alone is expected to grow by nearly 44% from 2023 to 2027—and programmatic buying is leading that charge.

What are the advantages of programmatic audio advertising?

A. Unparalleled reach and engagement

Audio is an intimate medium. People listen to music and podcasts while they're driving, cooking, or exercising – it's a part of their daily routine. If your brand can reach listeners while they're engaged in daily activities and listening to content they already enjoy, they'll likely receive and recall your message in a positive light. And you may be surprised to know that the majority of audio listeners are not paying for the premium, ad-free versions!

B. Contextual targeting

Programmatic buying goes beyond basic demographics. You can target listeners based on specific content genres, interests, and even the time of day they're most likely to be listening. Imagine reaching fitness enthusiasts during their morning workout session or targeting foodies while they tune into a cooking podcast. This level of contextual relevance ensures your message resonates deeply with the audience, maximizing its impact.

C. Retargeting and amplification

By leveraging insights gleaned from audio campaigns, you can retarget listeners in an omnichannel marketing strategy. For instance, a listener engaged with a sports podcast ad can be retargeted with social media ads or CTV commercials highlighting your brand's athletic wear or sports drinks. This creates a halo effect, reinforcing your brand presence across various touchpoints and driving conversions.

D. Data-driven campaign optimization

In the age of privacy regulations and the decline of third-party cookies, programmatic audio offers a valuable solution. It empowers brands to collect first-party data and track campaign performance metrics with precision. This data allows you to optimize campaigns in real-time, ensuring your budget is maximized and your message reaches the most receptive audiences.

Best practices for audio advertising

• Don't just list your product's features; tell your story. Audio ads can tell compelling stories that resonate with listeners. Narratives can illustrate the brand's values, history, or mission, making it more relatable and humanizing the brand.

• Google recommends using a consistent tone and tempo. For 30-second ads, aim for 55-75 words. And be conversational! A friendly tone helps listeners smoothly transition between entertainment content and ads.

• Finally, Spotify Audio Ads recommends employing "a combination of background music and sound effects to instantly conjure a mood and give context to your core message."

The bottom line

Every single one of your target consumers is likely listening to something – music, podcasts, audiobooks – every day. With programmatic audio buying, the right ones can hear your message, too.

The professional media buyers at Exverus do audio advertising for brands directly and programmatically every day. If you have questions or thoughts about how best to get a brand into consumers' ears, drop us a comment below. We'd love to hear from you!

This piece originally appeared in our weekly Paid Media Insights newsletter. For more tips, research, and analysis; subscribe for free here.