How ‘total audio’ advertising can gain $6 billion in untapped revenue

In today’s saturated media landscape, brand marketers hunt high and low to make meaningful connections and maximize their ad spend. To help, I’d like to share this advice: Tune into total audio, leveraging the strengths and incremental reach of over-the-air radio as well as digital audio. By directing more ad dollars to local radio, digital streaming and podcasting, brands can optimize ad spend and increase conversion. In a 2023 analysis, data analytics firm Neustar (now TransUnion) finds that national brands left $6 billion of revenue on the table by not optimally utilizing audio to market their products and services.¹ Who wouldn’t want a slice of that revenue pie? Brands often ask us at Audacy if they should place their audio messages on local radio or digital audio. The answer, quite simply, is both. When advertisers bundle over-the-air with digital streaming and podcasts, they see 1.5x return on investment, according to a recent audio attribution study.² Audio builds brand awareness, boosts purchase intent and generates sales. Yet, most brands are woefully underinvested in audio, leaving behind billions in potential revenue. At a moment when brands are under pressure to prove ROI and optimize their ad dollars, total audio is a clarion call—delivering to advertisers more bang for their buck. Total audio listening is booming For savvy marketers, the timing couldn’t be better. Today’s consumers have a robust appetite for all things audio, and a multiplatform audio ad campaign leans into each channel's strengths. From local radio to podcasts to digital streaming, Americans are tuning in at steadily high levels. Consider these eye-catching (or ear-catching) stats on the audiences: Yet, national advertisers have chronically underspent in audio, and not just by a thin margin. Neustar reviewed three years’ worth of media investments across Fortune 100 companies and reported that some industries are underinvested in audio by 12%, some by 25% and some by even more. When brands level up their audio investment, it helps generate a significant boost in revenue. Across industries, improving audio's share of the media mix delivers a boost in ad-directed sales of more than 30% According to Neustar’s analysis, entertainment companies have the most to gain from total audio, enjoying a 30% lift in ad-directed sales from radio advertising and a 24% lift from digital audio ads. Retailers do well also, experiencing a 31% lift from digital audio and a 6% bump from radio. ‹ › × (Click image to enlarge) Credit: Audacy Audio in action: Live Nation rocks out with over 1,000% return on ad spend When Live Nation invited fans to rock out and jam with their favorite artists during its 2023 Concert Week promotion, a single media platform couldn’t hold the excitement. Instead, the powerhouse live-entertainment leader implemented a multiplatform audio campaign to support awareness before and during ticket sales for the event. Highlights included: Importantly, Live Nation’s efforts prove the power of total audio. This integrated campaign helped to generate increased ticket sales and a 1,000% return on ad spend. Your chance to level up When it’s harder than ever to cut through the noise, savvy marketers shake up their tactics. By prioritizing investment in multichannel audio, brands can unlock unrivaled capabilities. Brands that plug into beloved AM/FM stations, custom-curated digital streaming and innovative podcasts get the chance to reach key audiences and engage with influential hosts and personalities. They quickly see how total audio can deliver for their brand, and begin to seize their share of the $6 billion in unclaimed sales. Sources 1. Neustar, Meta-Analysis on Audio Performance, 2023. Industry revenue figures are sourced from Statista.com. 2. 2023 State of Audio report. Audacy Total Audio Attribution Channel Study, 2023. 3. Edison Research, Share of Ear Q3 2023 4, 5, 6. Edison Research, The Infinite Dial Study, 2023 About Audacy At Audacy, we are unapologetic champions of audio everywhere, on every device. We are a multiplatform audio powerhouse, home to the country’s most compelling personalities and the most influential collection of broadcast and digital content, podcasts and premium live experiences. What makes us special is our deep connection with the communities we serve. They are diverse, mass and niche, bound together by shared geography and through shared experiences and passions across distances. Wherever they are and wherever they go, we are with them, In moments big and small. In the ones that matter most.

How ‘total audio’ advertising can gain $6 billion in untapped revenue

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