68% of UK advertisers and agencies plan to create ads for voice-activated devices this year
66% of advertisers will start advertising in podcasts in the next 12 months
New findings revealed in first significant study into digital audio advertising industry in UK
The rise in voice-activated devices and podcasts will continue to drive change among advertisers, according to a new study from DAX, the digital audio exchange created by Global.
Seventy-nine per cent of advertisers and agencies believe reaching audiences through voice-activated devices in the next 12 months is key, with 68% planning to create ads specifically for voice-activated devices in 2018. As digital audio consumption increases, 77% of advertisers and agencies agree advertising in podcasts represents an untapped opportunity with 66% of advertisers saying they will advertise in podcasts this year.
The research, The Rise of the Digital Audio Advertiser, explores advertisers’ and media agencies’ views on digital audio in 2018 and the future. Research firm mtm surveyed and interviewed 232 senior and mid-level executives at leading media agencies and brand owners.
Mike Gordon, Global’s chief commercial officer, said: “From the explosion of new technologies, such as voice-activated devices, to advanced targeting and immersive experiences, our findings show that digital audio is driving real change in the way advertising is planned, created and bought. We created DAX to offer advertisers a simple way to reach the growing number of people consuming digital audio in the UK and around the world. Since we launched DAX, the demand from advertisers has intensified as consumer behaviour has evolved. This new study is definitive proof that advertisers are tuning into the benefits of digital audio with 84% planning to invest more in digital audio in 2018.”
Findings from The Rise of the Digital Audio Advertiser report include:
Digital audio investment set to increase
Advertisers and agencies expect to invest more in digital audio in the next 12 months, with 84% saying it will play a bigger role in their media plans in the future. Reasons given for increased investment include targeting capabilities (62%), the rise in streaming platforms (54%), voice activated devices (52%), and reach (50%).
The digital audio revolution
With the dramatic rise in popularity of connected devices, 84% of advertisers and agencies surveyed say digital audio allows advertisers to reach a growing audience.
Digital audio is the ultimate companion media
Advertisers and agencies believe digital audio fits easily into people’s lives and complements other activities, more so than any other media. Three quarters (74%) of advertisers and agencies believe listeners are highly engaged with digital audio. Digital audio is more and more popular with advertisers because of its immersive quality. Eighty-six per cent of advertisers and agencies agree digital audio is a great way to reach audiences in a one-to-one context, more so than any other media including TV, social and print.
The advanced capabilities of digital audio
Advertisers and agencies are now taking advantage of the new capabilities that digital audio advertising provides with particular interest in three areas: advanced targeting, dynamic creative and programmatic buying.
Eighty-one per cent of advertisers and agencies believe digital audio gives brands new ways to target consumers, particularly through geo-targeting. As well as targeting, most advertisers and agencies (78%) think the ability to use dynamic creative makes digital audio an increasingly attractive advertising medium. Dynamic audio enables advertisers to change parts of the message in an audio ad based on targeting or contextual data, the potential variations of one ad can reach into the thousands in a way that has never been possible before.
To read the full The Rise of the Digital Audio Advertiser Report, visit www.thisisdax.com
Note: To capture industry perspectives for The Rise of the Digital Audio Advertiser, quantitative and qualitative primary research was conducted between November 2017 and February 2018, surveying and interviewing a combined 232 senior executives and manager-level and above executives at leading media agencies and brand owners.
DAX is the world’s largest digital audio advertising platform giving advertisers access to an audience of 160 million people worldwide. Publishers with inventory on DAX include SoundCloud, TuneIn, audioBoom, Global’s Capital and Radio X and Bauer Media’s Kiss. DAX is the world’s most sophisticated digital audio advertising platform with unrivalled technical capabilities. DAX teams operate in the UK, US, France and Germany. DAX was developed and launched by Global, the media & entertainment group, in 2014.
Global is one of the world’s leading Media & Entertainment groups and Europe’s largest radio company. With a portfolio of some of the largest and most respected media brands and music events, Global reaches 31 million people every week including 25 million on the radio alone. Global is the second biggest festival company in the UK. The company headquarters is in London’s iconic Leicester Square and Global has more than 1,600 people working at 32 broadcast centres and offices around the UK, the US and in France and Germany. Ashley Tabor OBE is Founder & Executive President, Stephen Miron is Group CEO, Richard Park is Group Executive Director & Director of Broadcasting and Lord Allen is Chairman. Tabor created Global in 2007.