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2019 NOVEMBER 2018An overview and resource for planning and buying digital audio advertising 2018 Interactive Advertising BureauDIGITAL AUDIO BUYERS GUIDE 2.0DIGITAL AUDIO BUYERS GUIDE 2.0 2About IABThe Interactive Advertising Bureau (IAB) empowers the media and marketing industries to thrive in the digital economy. Its membership is comprised of more than 65nullleading media and technology companies that are responsible for sellingnulldeliveringnulland optiminullng digital advertising or marketing campaigns. The trade group nulllds critical research on interactive advertisingnullwhile also educating brandsnullagenciesnulland the wider business community on the importance of digital marketing. In afnulliation with the IAB Tech nullbnullit develops technical standards and best practices. IAB and the IAB nullucation nulloundation are committed to professional development and elevating the knowledgenullskillsnullenullertisenulland diversity of the workforce across the industry. Through the work of its public policy ofnulle in nullashingtonnullnullnull.nullIAB advocates for its members and promotes the value of the interactive advertising industry to legislators and policymakers. There are null IABs licensed to operate in nations around the world and one regional IABnullin nullrope. nullounded in nullnull6nullthe IAB is headnulluartered in nullew nullork nullty and has a nulln nullrancisco ofnulle.nullor a complete list of IAB nullmbers as well as the nulluncilsnullnullmmittees and nullorking nulloups who are actively shaping the interactive industrynullplease visit the IAB nullmber nullnter.DIGITAL AUDIO BUYERS GUIDE 2.0 3TABLE OF CONTENTSIntroduction . nullnullgital Audionulls nullalue nulloposition to Advertisers .nullnullw is nullgital Audio nullnsumednull .nullBuilding a nullgital Audio nullmpaign nullnullements and Tools .nullnullnversion and Attribution for nullgital Audio nullmpaign .nullAudience nullasurement for nullgital Audio Advertising .nullnullgital Audio Advertising nullse nulltudies .nullnullstening nullcations for nullgital Audio .nullnullanning and Buying nullgital Audio nullmpaigns .nullnullgital Audio nullasurement Tools .nullnulllivery and Targeting nullpabilities of nullgital Audio .nullnulleatively nulleaking .nullnullnulleep in nullnd .nullnullnullAAnullT and nullAnullT . nullnullnullnclusion . nullnullmbers of the Audio nullmmittee . nullAppendinull . null5DIGITAL AUDIO BUYERS GUIDE 2.0 4IntnullonullnullnullnThe demand for nullgital Audio is growingnulldriven by connected lives that rely more and more on mobile devices. According to the most recently reported study of consumer adoption of digital medianullThe Innullite nullal nullnullnullby nullison nullesearch and Triton nullgitalnull6null of Americans (nullnull) listen to online radionullwhile nullnulllisten to podcasts. This mainstreaming of digital audio follows a broader pattern of smartphone use and connected mobile lifestyles where audio plays a more and more central role. nullith smartphone ownership now at more than threenulluarters of the populationnullnullconstant connectivity has become the way most Americans live their lives. The enullectation of constant connectivity has driven innovation in terms of connected cars as well as devices in the home and everywhere. As consumer demand for these products enullandsnullscreens and browsers on these devices are shrinking or disappearingnullwhile smart speakers are becom nulling increasingly popular. The nullnnected nullr and connected home are Audio nullirst environments where what you hear is more important than what you see. Advertisersnullbrands and agencies with developed enullertise in audio messaging are poised to enullcel in such a landscape.This guide is designed to provide those key players with the information and resources necessary to take adnullvantage of nullgital Audio advertising opportunities. IAB and the members of its nullgital Audio nullmmittee have pursued a goal of educating marketers and agenciesnullcreativesnullplanners and buyers about audio advertising opportunities and discussing best practices and guidelines for building highly successful audio campaigns. Dnullnullnull AunullonullVnullunullnullonullnulltnulln to AnullnulltnullnullnullIn todaynulls highly mobile and connected consumer environmentnulladvertisers are investing in digital audio for several key reasonsnullnull nullrge and grow ing audiencenull nullfective reach with mobile consumersnull Audio is on when screens are notnull nullavorable demographics5. nullghly measurable impressions6. nulltrong responsiveness to adsnull Brand safe message environmentsnullhttpnullnullww.pewinternetnullactnullheetnullobilenullDIGITAL AUDIO BUYERS GUIDE 2.0 51. Aunullnullnull Snullnull nullgital Audio reaches nullnull million consumers each month. 2. Anullnullnullto MobnullnullConnullnullnullnullAccording to enullrketernullthe average adult mobile app user will spend over an hour (6nullminutes) listening to digital audio each day in nullnullnull Among all adultsnullthe average time spent with digital audio in mobile apps will increase from 5nullminutes this year to 56 minutes in nullnull.Average Time Spent per Day with Mobile Apps by US Mobile App Users vs. Total Adults, by Activity, 2018-2020minutesAdult mobile app users Total Adult2018 2019 2020 2018 2019 2020Audio listening 62 65 67 50 54 56Social networking 50 53 55 40 43 46Video viewing 39 41 43 32 34 35Gaming 26 26 27 23 24 24Messaging 23* 23* 24* 12 12 13Other 12 14 14 11 12 13Note: ages 18+; time spent with each medium includes all time spent with that medium, regardless of multitasking; for example, 1 hour of multitasking on smartphone while on a tablet is counted as 1 hour for smartphone and 1 hour for tablet; *among adult mobile messaging app users onlySource: eMarketer, April 2018238557 eMarketerDIGITAL AUDIO BUYERS GUIDE 2.0 6nullstening to streaming music and podcasts is a highly mobile activity. As recently as null nullnullnull nullnull of listening to streaming stations measured by nullebcast nulltrics took place on mobile devicesnullnullat do mobile consumers listen tonull5null of all listening on smartphones is to digital audio in the forms of streaming audio and podcastsnullDIGITAL AUDIO BUYERS GUIDE 2.0 7null Aunullo null On nullnull SnullnullnnullAnullnullNotAs consumption shifts to mobilenullscreens get smaller or disappear entirely. nullvices that do have screens face challenges as more and more use takes place while the consumer is drivingnullor otherwise occupied. nullgital audio impressions do not need a screen to impact the consumernullads play whether the device screen is on or off. null Fnullnullonullnullnull Dnullonullnullnullnullnull nullgital Audio is consumed widely across age groups. It has particularly strong usage in the coveted nullnullnullnullage group where consumers are starting to make choices about brands that can last a lifetimenull. nullnullison nullesearch Innullite nullal nullrvey nullnullnullDIGITAL AUDIO BUYERS GUIDE 2.0 8null nullnullnullnullMnullnullnullnullnull nulltreamed audio impressions are highly measurable. nullasurement is key to tracking resultsnulland marketers say the key to increasing their ad investments in digital media is the ability to track nullnullnull. Akin to other digital ad options such as video and bannersnullstreamed audio data is available for planning purposes and can be verinulld by third party ad tracking services. In additionnullthe fully measurable aspect of nulltreamed Audio also introduces demographic and behavioral targeting opportunities. null StnullonnullEnnullnullnullnulltnullodcasts deliver a nullean forwardnulllistening enullerience that leads to strong responsiveness. According to nulldroll nulldianulls survey of null5nullnullnull podcast listenersnullconducted from nulleb. nullto nullt. null nullnullnullnull6null say they have pur nullchased something after hearing it advertised on a podcast. nullsteners are more receptive to ads in podcasts due to high levels of concentrationnullnull. BnullnullnullSnullnullMnullnullnullnnull nullgital Audio platforms offer several advantages that enhance brand safety. The ability to select content channels and control an adnulls contenullnulland listening where the listeners are actively engaged in selection of programming create positive listening environments for advertiser messaging. nullonnullkippable ads and innullpp listening diminish the incidence of fraud. nulliltering of invalid trafnullnullservernullide ad insertionnulland transparency in programmatic plat nullforms are important protections as well.The value proposition for advertisers looking to invest in digital audio is signinullant. nullor marketers looking to achieve reachnullfrenulluencynullengagementnulltargeting and measurability all in a mobile friendly packagenullnullgital Audio presents a uninullue opportunity to impact consumers.Tnull nullnullunullnullonullnulltnulln nullonullnullnullnulltnullnullnullnullonullnnullto nullnullnullt null nullnulltnull nullnullo null nullnullnullnullnt. Fonullnullnullnullnulltnullnullnullonullnnullto nullnullnullnullnullnullnullnullnull nullnullunullnullnullnullnullnullnullnulltnulltnull nulltnullnullnullnullnullnullunullnullnullnullnullnullnullnull nullnullbnullnullnullnullnnullnullnullnullnullnullnull Dnullnullnull Aunullo nullnullnulltnullnullunnullunullonullonulltunnullnullto nullnullnull nullnnullnullnullnullnullnullllward Brownnullnulletting nullgital nullghtnullDIGITAL AUDIO BUYERS GUIDE 2.0 9nullnullnull Dnullnullnull Aunullo Connullnullnullnullgital Audio can be streamed or downloaded. The technical distinctions between streaming and downloading are virtually invisible to the listener but can impact the way that ad campaigns are plannednull bought and measured. nulltreamed audio is delivered over a continuous connection between the audio source and the listener. This connection enables real time measurement of audience and reporting of impressions. The connection is initiated at the beginning of listening and ends when the listener ends the listening session. nulltreaming services can be further categorinullednullnull Anullnull station streams nullwhere the same content that is broadcast is also streamed and delivered to many people at the same time.null nulltreaming stations nullnullfer programmed channels or channels which are personalinulled through algorithms based on listener choices. nullntent is delivered nullnullto each listener.null null nullmand nullrvices nullAllow listeners to select songs and build playlists. nullntent is delivered nullnull to each listener.nullstening by download means that the listener has selected a segment for listening that has a beginning and an end nulloften referred to as a podcast. nullwnloads can be measurednullcan take nullst a few seconds and renulluire the listener to be connected. nullile music services like nullotify and nullandora are delivered entirely via streamingnullpodcasts can be consumed either by streaming or downloading. nullwnloaded podcasts can be consumed immediately or saved for later listening. nullison nullesearchnulls nullodcast nullnsumer nulltudy nullnull6 found that nullnullof all podcast listeners said they nulllick and nullsten Immediatelynull suggesting that downloaded programs have tremendous immediacy for the advertiser. DIGITAL AUDIO BUYERS GUIDE 2.0 10BunullnullnnullnullDnullnullnull Aunullo Cnullnullnulln EnullnullntnullnullnullToonullnullnullnullnullUnullnullAnullUnnullnullnullonullDnullnullnull Aunullo Innullunullnullnull nullecorded spotsnull nullative Adsnull Branded channelsnulllaylistsnull Branded podcastsnull nulloice activated adsRnullonullnullnullSnulltnull Typically available in standard lengths such as null5nullnullnulland nullnull these spots can run by themselves or within a commercial stopnullet with other units. They are prenullecorded and sometimes include a visual element on the screen that is clickable. They can be dynamically inserted into music streams and podcasts. nullosinulltioning can include prerollnullmidroll and post roll. There is a distinction between an audio spot that was produced by a creative agency with the intention to run across multiple types of digital audionulland a spot that is produced by the network or show to run enullclusive in that programming.NnullnullnullAnull These spots are often host read and can include an endorsement. nullngth of these spots tends to be irregular. nullative ads are more often associated with podcasts. These units can be permanently integrated into the program or dynamically inserted. They can run in prenullmidnullor post roll positions.BnullnullnullnullCnullnnnullnullnullnullnullnullnulltnull nulltreaming platforms offer custominulled channels and playlists that can be branded for an advertisernullincluding audio elements as well as on screen and marketing elements. Bnullnullnullnullnullonullnulltnull nullodcast creators offer numerous ways for brands to engage with their audiences. In some casesnullcreators can produce a standnulllone podcast series on behalf of a brand. nullher creators can make themed or branded episodes of an enullsting show in partnership with a brandnulland either release it into the show feed as part of their regular publishing schedule or present it to their audience as a bonus episode. nullher cre nullators will work with brands to create highlynullroduced segments delivered in the regular ad break. nullebsite and marketing elements can be included.VonullnullAnullnullnullnulln Anull nullme platforms offer integration with a technology that enables listeners to respond
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