Music streaming is poised to grow exponentially. According to Statista, user penetration for music streaming is expected to reach 40.1% in the US by 2025. Pandora, a music-streaming company, has around 58.50 million monthly active users. That said, running in-stream audio advertising should be part of your marketing strategy.
In-stream audio advertising, if used strategically, can build awareness for your business and increases sales.
Ramon Ray recently interviewed Leon VanGelder – Vice President SMB, Local and Inside Sales of Pandora. They discussed how small businesses could leverage the power of in-stream audio advertising to grow.
In-stream Audio Advertising: A Smart Tool to Grow Your Business
Small business owners often have a limited marketing budget. So they have to make the most out of every marketing dollar they spend. Data-driven advertising can help small business owners maximize their ad success.
When you go for in-stream audio ads, you will have the power to target your audience the way that serves you best.
Leon VanGelder said that Pandora advertising is super focused and offers excellent reach and the right frequency to maximize success.
Our value prop is our ability to reach the right person in the right place at the right time at scale.
The good thing about In-stream audio ads is that ads are served when users are actually listening.
Unlike TV ads or radio ads that will run even when nobody is watching or listening, in-stream audio ads will get played only when somebody is logged in and listening to music. So in-stream audio ads bring in a good return on investment for small business owners.
You can visit AudioGo to create advertising campaigns on streaming services in a self-serving manner.
Leon VanGelder Tips for In-stream Audio Advertising
During the interview, Leon VanGelder discussed various aspects of successfully running in-stream audio advertising.
Following are three important tips to improve the effectiveness of your ad campaigns:
1- Find a Balance in Your Advertising
There are often two kinds of ads – One that builds brand awareness and another that boosts sales quickly. Big companies have large marketing budgets, so they have the liberty to spend as much money as they want to build awareness.
However, small business owners should try to find a balance in their ad campaigns. This means you should try to create ad campaigns in a way that does both – build awareness and grow your business.
Leon VanGelder said,
What I find with our team that specializes in local advertising is local advertisers don’t allocate money for brands.They want to build their brand, while they’re ringing the cash register. So they’re trying to do both at the same time. We work very closely with our advertisers to make sure the message is right.
2- Don’t Over Target
In-stream audio ads offer marketers an option to target a large audience. But you shouldn’t do it. Instead, you should try to reach out to a qualified audience that is most likely to get converted. Doing so will not only save you marketing dollars but also increase your campaign’s effectiveness.
Leon VanGelder explained,
We have an expression when we train our salespeople, just because you can doesn’t mean you should. And we try to get them to talk to our clients to say – hey, look, just because you can target three zip codes doesn’t mean you should target three zip codes.
3- Don’t Have Unrealistic Expectations
In-stream audio ads are useful in building brand awareness and boost sales. But it doesn’t mean these ads will double or triple your sales quickly.
You should have realistic expectations about your campaigns. It will be better to talk to the sales rep of the streaming company and let them know about your objectives. This can get you an idea about what you can expect from your ad campaigns.
Leon VanGelder said that they first try to understand what business owners want to achieve. And then, they recommend solutions to attain those business objectives.
We really want to understand what you’re trying to accomplish, what you think success looks like. And then, we’re going to come back to you; and say, here’s what I think you should be doing in order to achieve that success.
Check the full interview below to know more about how Pandora can help you effectively reach your target audience.