There’s never been a better time to get to know audio. Today, streaming is a preferred method for consuming audio on-the-go; music, news and podcasts are main sources of information and entertainment for many; and smart speakers and other voice technologies are becoming driving forces behind reestablishing audio’s leading position in the home.
For these reasons and more we sit here, smiling ear-to-ear, excited to announce that our second annual report on the state of audio is now available!
The 2018 Definitive Guide to Audio is Pandora’s outlook on ad-supported audio for the current and coming year. We use real and reliable data to assess the state of broadcast radio, streaming music and podcasting. What did we learn? Streaming audio is still on a rocket ride of adoption and listening, podcasting is shaping up to be the medium of choice for spoken word content, and AM/FM is not dead!
So, are you ready to get to know audio?
- Listeners are taking advantage of in-car media technologies. Although broadcast radio is the dominant medium in the car, drivers of the newest cars on the road use 40% less AM/FM than drivers of the oldest cars.
- The time that people spend with mobile apps surged in the last year, particularly among people aged 50-64, which happens to also be radio’s most engaged demographic. Remarkably, this group now spends more time with their mobile apps than any other age group--even more time than they do with AM/FM radio.
- In the last year, voice technology has become nearly as accurate as human hearing, evidenced by the rapid (and still growing) adoption of in-home smart speakers like the Amazon Echo and Google Home. The path is paved for a revolution in how we interact with our devices and how marketers will reach consumers without a screen.
- AM/FM broadcast ad revenues are projected to decline by 4.7% annually through 2022, decreasing from $13.5 billion this year to $10.6 billion.
- Podcasts earned $220 million in ad revenues in 2017 but there’s still plenty of upside, particularly if advertisers can obtain more listening metrics.
Despite being over 100-years-old, audio has never been a more relevant and impactful format for marketers to deliver their brand message to a target audience. Understanding consumer behavior across the audio landscape is the first step to ensuring you have a winning audio strategy in 2018 and beyond.
We look forward to providing our listeners and advertisers with deep audio knowledge year after year. But for now, get your hands on our brand-new, refreshed Definitive Guide to Audio here:
1 Edison Research, Share of Ear Study, Q2 2017
2 Nielsen Total Audience Report, Q1 2017
3 Magna Global, September 2017
4 IAB, June 2017