By Veronica Sullivan
Radio was first patented in 1896, making it one of the oldest forms of mass communication. While people may not be surfing through the static of AM and FM channels anymore, online (streaming) radio platforms such as Pandora and Spotify have taken the world of audio by storm over the past decade, and continue to experience tremendous growth.
With new media channels, come new advertising opportunities. Although streaming services like Pandora and Spotify offer premium memberships for a monthly fee, most streamers take advantage of free versions that incorporate ads. Check out these 5 reasons why you should consider online radio advertising as a part of your bank’s marketing strategy for 2018:
- Audio is everywhere.
An estimated 79% of audio consumption takes place while people are engaged in activities where visual media cannot reach them. With hundreds of millions of active users, online radio is a unique advertising channel that gives you the ability to reach people wherever they are: during their commute, at the gym, or even grocery shopping.
- You can reach a unique audience.
Advertising on streaming radio allows you to reach a unique audience unlike any other medium. According to a study conducted by Spotify, streamers are most likely to be younger (Generations Y & Z) and fall into higher income brackets. Streamers primarily access music on platforms such as YouTube, Spotify and Pandora from their mobile devices. Spotify reports that 60% of music streamers do so on mobile, compared to only 40% of TV and movie streamers.
In addition to traditional targeting methods like age and location, streaming radio services offer unique options including specific artists, playlists, daypart, and platform (desktop or mobile). Different genres of music have the power to evoke different emotions and behaviors. With streaming audio advertising, institutions can choose the placements that best align with their brand and products.
- It’s a new way to engage.
Audio ads are served in between songs during active sessions only, ensuring that your brand has a 100% share of voice. In addition, streaming services allow advertisers to reach consumers in a less intrusive way. A study conducted by Nielsen found that listeners were more likely to enjoy audio ads than display ads across radio and streaming services.
- It’s fully measurable.
Unlike traditional radio advertising, there is no guesswork involved in tracking and measuring results. Since digital audio is an online exclusive medium, campaigns can be tracked and analyzed just like other digital advertising platforms, such as Facebook and Google, allowing you to view landing page activity, frequency, click-through-rate, and more.
- It’s cost effective.
As with any other marketing decision, final factors often involve cost. Advertising on online radio typically costs less than buying a spot on a local radio station. With Spotify’s minimum budget of only $250, online radio is an approachable and affordable advertising option for both small and large institutions.
Veronica Sullivan is a digital account executive at Pannos Marketing based in Bedford, NH. Pannos Marketing is an award-winning, full-service communications firm specializing in strategic marketing, public relations, social media, e-commerce and website solutions for financial institutions. Email: [email protected]. LinkedIn.