In a blog post, Xaxis said this week that audio is still a bargain in the digital advertising formats, as “average CPM for a digital audio campaign is less than a quarter of what advertisers would pay for a display video ad and around a sixth of the cost of in-stream video inventory.”
Audio creatives can be a strongest seller as users can be reached wherever they are and whatever else they are doing. Therefore, “advertisers can connect with consumers who are too busy to notice or consume other media types,” says Anand Siddiqui, from Xaxis.
- 55 % of digital users listen to music via their smartphones;
- 11 h/week Millennials average time spent with online audio;
- 79 % of audio consumption takes place while visual ads have limited impact on consumers;
- Common format: 15’ – 30’ seconds non-skippable audio advertising;
- Smartphone is the most used device for music consumption;
- Total potential EMEA monthly reach: 169M users.
On the programmatic industry, the main exchanges for audio are Triton and Adswizz, and the main publishers are Spotify, Deezer, and local radio networks. The DSP’s supporting audio are MediaMath, The Trade Desk, AudioTrade, RTBiQ, and AppNexus.
Until now, Google and Apple did not show interest in this format. Google does not support audio on Doubleclick. On the Apple side, iTunes is the biggest podcast library and has the biggest global audience. Despite that, Apple seems to go in the opposite direction of an ad revenue model, which doesn’t help with the creation of a big marketplace of audio ads (like Adsense in display).