A new study of hundreds of ad campaigns across 20 categories helps quantify the impact of digital audio advertising.
To help market its new attribution system – which uses pixels to track and measure consumer activities like app downloads, site visits, and actual purchases – ad tech provider AdsWizz conducted a study of 600 campaigns executed by 12 agencies from the U.S. and U.K spanning campaigns in the auto, delivery services, financial services, grocery, health & beauty, home improvement, QSR, weight loss and other categories that used the attribution technology. It found advertisers saw a 4.0% average conversion rate of ad impressions, and of the campaigns tracking purchase related conversions, 82% of advertisers were able to attribute a purchase to the audio advertising campaign.
Titled “Rethinking Audio Ad Attribution,” the study defined conversion rate as any of 11 actions being taken by the listener after being exposed to an audio ad within a 7-day window or a retargeted display ad within a 1-day window. Measured conversions included website visits, add to cart, purchase, contact us submission, email, and register/sign-up, among others.
Among the study’s conclusions: audio advertising is connected to purchase. When the researchers carved out a subset of the 600 completed campaigns and looked at just those that tracked conversions relating to purchase, there were 211 campaigns. Of these 211 campaigns, 173 were able to track and attribute a purchase to the audio campaigns –instead of just tracking conversions like website visits or app downloads. That’s 82%, or 4 out of 5, of these campaigns leading to at least one purchase. While the product types and prices vary, on average, each campaign resulted in 573 purchases.
Across the 173 campaigns that tracked impressions to at least one purchase, the average cost per action (CPA) was $12.81.
Finely Tuned Targeting Strategies
Digging deeper into the 173 campaigns that had an attributed purchase, the study found that over 80% combined three or more enhanced targeting criteria, like weather, geography, and contextual audience segments. “By tapping into multiple data signals, advertisers who fine-tuned their targeting strategies were able to see more purchase conversions than those who did not use multiple targeting criteria,” the study says. In fact, 80% of campaigns with an attributed purchase used multiple targeting criteria.
The study also found that audio advertising is becoming a regular part of the media mix. Of the 12 agencies that participated in the attribution product’s beta program, AdsWizz says 92% are continuing to run audio campaigns with attribution pixels. Additionally, based on the positive results, 58% of agencies have incorporated audio advertising into their recurring quarterly budgets.
“Audio has long been respected as a powerful medium to reach target audiences –prospective and loyal. But it has often fallen into the top of funnel or brand awareness category,” AdsWizz says in the report. “When in fact today’s audio –streaming radio and podcasts –are more like other digital mediums with the flexibility and capabilities of modern performance marketing tools.”
Download the study results HERE.