Audio advertising the next big thing for brands: Industry experts
Industry experts say that brands are now exploring and generously investing in the audio advertising space
Brands world over seem to be experimenting with audio advertising and how! According to the Interactive Advertising Bureau, audio ads generated $1.6 billion in the US in 2017, a 39 per cent jump from the year before. Google too is plugging into streaming music services such as Spotify and Pandora to deliver audio ads. That said, there is no dearth of opportunities for brands to experiment with audio advertising.
As the clout of audio ads grow in the industry, digital is making audio advertising precise and easy to scale. We asked industry experts about the growth prospects of the audio advertising market in India.
Vinodh Bhat, Co-Founder and President, Saavn, says that the audio advertising market is definitely picking up with more brands gravitating towards that space and for good reasons.
“With audio, there is a very unique value proposition which I don’t think brands can get from other media. This includes the level of scale and significant amount of targeting, given the high frequency of use,” he says.
Abraham Thomas, CEO, Radio City, feels that the audio advertising space has witnessed an upsurge in the recent time owing to the digital avenues that automate real-time buying, targeting, optimizing and reporting of audio advertisements.
“With communities getting created around select genres of audio content, brands are now beginning to target those communities through different music genres. For example, Radio City Freedom Awards, a property dedicated to indie music, has seen an increase in big advertisers and sponsors who are going beyond sponsorship to engaging and integrating with these communities. Similarly, Radio City’s 52 web radio stations are also witnessing a surge in audio advertising,” he says.
Manika Juneja, AVP Operations - West, Client Servicing, WATConsult, says, "The industry is witnessing consumers’ inclination towards passive entertainment content consumption, resulting into marketer’s interest into exploring audio ads."
Arvind Menon, Creative Head - West, FoxyMoron, feels that with experiential formats like audio spotlight devices as done by All Good Bananas in Australia, we could find audio advertising evolving in new ways that are yet unexplored.
"When it comes to getting into the mind of the Indian consumers, music and its recall value are both highly significant. While today, radio is mainstay for pure audio-based advertising, evolving formats like audio ads in podcasts and streaming services are now booming,” says Menon.
More brands joining the bandwagon?
Bhat opines that audio being an activation medium provides a very passion-centric environment for listeners and could help disseminate brand message that changes the concept of a brand in the mind of listeners.
He shares that with increasing number of brands adopting the audio advertising route, while agencies have always been Saavn’s partners, there are certain brands who want to work directly with them.
OPPO has partnered with Saavn for three of its most utilized properties. Netflix too recently came out with an innovative strategy to market themselves through audio advertising. They figured out that the users who consume audio content will more video content as well and provided the content to Saavn.
Will Yang, Brand Director, OPPO India, shares, “With this partnership in line with the fact that we have a common target audience, we aim to re-emphasize with the brand proposition."
Thomas too shares that the expansion of FM radio’s reach has given rise to newer formats and are leading to an increase in advertisers’ spends. “With multiple international entrants in the field of audio entertainment, this space has the potential to further rake in a larger shar of the brand's advertising budgets,” he explains.
Juneja echoes the sentiments. “Brands are surely joining the audio ads bandwagon. They are exploring audio ads slots to deliver custom messages, audio jingles and more with the objective to capture consumers' attention, increase brand awareness and recall.”
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