The industry buzz around digital audio just keeps getting louder, and it makes sense: research has shown that audio ads outperform video ads in grabbing attention and generating brand recall.

In 2023, on-demand audio overtook linear audio for the first time, largely due to the growth in popularity of podcasting, which has seen tremendous success over the past few years. Globally, podcasts amass 464.7 million listeners. Just on Spotify, there are now over 5 million podcast titles which users can tune into. 

Looking to the future, we can expect further growth for digital audio, with 62% of global marketers projecting an increased ad spend in podcasts in the coming years. As the advertising industry continues developing and advancing, this new year paves the way for more exciting opportunities in the world of audio. In the midst of this audio renaissance, what do industry experts predict for 2024? We gathered their insights… 

The demand for digital audio will continue to increase

Advertisers are searching for ways to offer a complete brand experience, which for creative is both audio and visual. That said, consumer behaviour, the rise of social media platforms and previous video standards for in-stream, disintermediated audio and visual for brands. The rise of programmatic audio platforms paved the way for brands to execute audio creative, engaging consumers in a meaningful way and in an environment where audio on is standard. Attractive because of the growth in listeners. eMarketer forecasts that in 2024, digital audio will make up a fifth of all time spent with digital media in the US, and that in 2023, almost 75% of US internet users listened to digital audio.

One of the key differentiators across audio first inventory is the quality of the content and the precision of the audience a brand can reach; from F1 to tequila connoisseurs, programmatic audio enables advertisers to reach niche audiences specific to their marketing needs, in brand safe environments, without the fear of MFA.

As a business we have seen a rise in demand for programmatic audio over the last 12 months, transcending audiences across podcasts, streaming and radio, curating a complete media plan, programmatically, for advertisers.

Fern Potter, VP of business and product strategy, Multilocal

More brands will recognise the benefits of audio for brand advertising

Much audio advertising typically falls into the direct response camp, but in 2024, we will see more brands recognise the benefits of audio for brand advertising. We have traditionally measured brand lift at scale for digital publishers across display, video and branded content, but in 2023, FD Mediagroep in The Netherlands asked us to replicate our approach, but for audio ads across their linear radio, digital radio and podcast channels.

The study we carried out proved how well audio ads perform in driving brand perceptions. Advertisers combining radio, podcast and livestream advertising saw an average brand uplift of 17.3%. We also discovered some interesting insights around the optimum time length of audio campaigns to optimise brand lift against different metrics which will help to guide future campaign planning.

As we carry out more studies with both FD and other publishers to prove the efficacy of audio advertising, more brands will have tangible evidence to take audio seriously as a branding channel. 

Anette Hallgren, partner and client director, Brand Metrics

Read more in: ExchangeWire