February 20, 2024

Four Measurement Innovations in Audio’s Future

A preview of the year’s top trends in measurement—from Audacy & Claritas

The Audio measurement industry is more dynamic and vigorous than ever as data firms develop next-gen tools from artificial intelligence, data-informed automated optimizations, and holistic measurement across Audio platforms that stand to transform Audio measurement. 

To help brand partners generate the most value for their ad dollars, Audacy is leaning into these advancements, evaluating promising new solutions with our data partners, including leading Audio measurement firm, Claritas.

It’s an exciting time to pilot and develop measurement for Audio. We have an opportunity to be at the forefront of AI in the ad space and put our data to work to drive results for our clients.

Kevin Greenwald
VP, Head of Advertising & Audience Products, Audacy

Claritas, our premier measurement partner, is at the forefront of Audio measurement and expanding its capabilities. In 2023, Clartias acquired ArtsAI, a measurement firm specializing in AI. Now, the combined companies are pioneering new solutions. 

We’re trying to make Audio advertising more effective, which will help more dollars shift to Audio. There will be some advancements in targeting, creative, and measurement.

Erik Lundberg
Chief Revenue Officer, ArtsAI

As Claritas develops new offerings, our Audacy teams are piloting several new solutions and closely monitoring what’s on the horizon. Here is a preview:

Imagine quickly selecting the most effective audience targets for maximum impact. Claritas and Audacy are working towards that goal, assembling category benchmarks of consumers that over-index on conversion goals—critical conversions like purchasing or visiting your site. 

By analyzing data from hundreds of past campaigns, Claritas can build audience segments that outperform the general listeners by vertical. The predictive tool suggests high-impact audiences, which saves brands time and money. We can use this valuable information to steer brands to specific groups of listeners. 

Based on the success of previous campaigns, Audacy is testing this solution with three top ad categories.

 “We’ve seen what converts, and now we can hone in on those audiences to fuel campaign results,” Greenwald explained.

Here’s how it works: If a CPG company wants to reach customers looking to buy something new, Audacy + Claritas can dig into the data analysis of past campaigns to suggest the specific audience segments most likely to purchase their product rather than just general audiences.

“Every day, advertisers come to you and say, ‘What should I target?’ Now you can back that up with data, which is very efficient,” Lundberg explained.

Audio fans are receptive to advertising, particularly when the messaging feels relevant and personalized. Now, AI can turbo-charge ad customization. Using its AI Lab, Claritas is building a predictive system that uses AI to select ad creative that’s most relevant for key audiences.

Claritas’ AI tool analyzes conversion data from attribution reporting and deploys that information to serve up a spot with the highest conversion probability. In recent tests, Claritas said the tool has helped double conversion rates.1

If a female listener hears a spot for an exercise bike and makes a purchase, the system will suggest that same spot for other women, while men may hear an alternate message. The tool could suggest types of music, female or male voices, or targets based on location, and it will make adjustments in real time.

“As the campaign runs, machine learning studies what is driving conversion, and elements are selected for the person listening to the campaign,” Greenwald explained. 

Audacy plans to test the new tool with clients later this year.

Today’s marketers are hungry for as much data as possible, including additional tools to measure over-the-air Radio campaigns. Now, Claritas is developing new OTA measurement solutions that could track conversions farther down the sales funnel beyond website visitation.

The company’s solution, currently in beta testing, would not only quantify incremental website visitation, but would also track conversion events, like form fills, lead generation and ultimately purchase conversions—an important development because it would provide metrics associated with Return on Ad Spend and Cost per Acquisition data. It would also allow measurement beyond the typical narrow attribution windows currently used for broadcast measurement—an exciting development for Radio advertisers. 

Today’s Audio listeners are increasingly multi-platform users, and one-stop unified measurement is what future advertisers are yearning for.  

Combined listening across radio, digital streaming, and podcasts increased 66% from 2021 to 20232.  But while audiences embrace “Total Audio,” many brands and agencies still silo OTA, digital streaming, and podcast ads into different buckets, Lundberg said, which complicates Audio planning, buying, and measurement. 

“What we hear is they’d like a holistic view of how their campaign performs,” Lundberg said.

Claritas is developing a single dashboard that will amalgamate all three Audio channels, providing marketers with a comprehensive view of their Audio campaigns. 

The holistic, multi-channel solution will enable brands to measure conversions, such as visiting a website or registering, and incremental lift, such as the number of actions specifically influenced by ad exposure.  

While Claritas’ multi-channel measurement isn’t yet ready for the market, brands and agencies (and us) are intrigued. 

“We’re excited they’re doing this. We’ve been asking for it,” Greenwald said.

The Bottom Line: Measurement Innovation is Audio’s Future  

By working with data partners like Claritas, Audio publishers can stay on the cutting edge of ad innovation and help demonstrate Audio’s value proposition. Some ad tech innovations have the potential to attract new advertisers and more ad dollars, so stay tuned. 

Want to talk more about reaching your target audience?

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SOURCES

1 Claritas Reporting 

2 Edison Research

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