Local Businesses Target Streaming Audio and OTT Ads as Areas to Increase Spending

What the Report Says About Streaming Audio and OTT Ads

The survey asked radio buyers what digital products they intend to purchase in 2024. Streaming audio saw an 8% increase, and OTT gained 5%. Additionally, radio buyers were 3.5 times more likely to boost spending on OTT.

For radio buyers wanting to try something new, streaming audio and OTT ads were in the top three. The top reasons they wanted to experiment in 2024 included campaign trackability and targeting capabilities. With streaming audio and OTT, advertisers can satisfy both of these desires.

Streaming audio and OTT are measurable. You’ll be able to provide a full report to advertisers that enables them to understand their ROAS (return on ad spend). For OTT, you’ll present metrics like impressions and video completion rate. 

For targeting, options for OTT include:

• Behaviors and interests
• ZIP codes
• State
• DMA (designated market area)
• Household demographics

For streaming audio, you can target by geography and demographics. It’s also a great complement to radio. A streaming audio and radio campaign allows for both reach and targeting. Adding OTT to the mix can also improve performance, hitting the audience with audio and visuals.

Ideas to Get Local Businesses Excited About Streaming Audio and OTT Ads

The mix of digital tactics you recommend to advertisers will depend on several factors:

• Their advertising goal
• The audience they want to reach
• How much budget they have
• The length of the campaign

So, what makes streaming audio and OTT a good suggestion?

Streaming audio is a good fit for many advertiser goals, and it can reach any age demographic, as 75% of Americans 12 and older listen to it monthly. The recall rate is 24% higher than traditional display ads, making it a tactic that embeds in memory. These ads also aren’t skippable, so the audience is captive.

With these statistics in mind, streaming audio can support:

• Brand awareness campaigns
• Promotions with a specific CTA (call to action) to drive traffic to websites
• Reaching listeners across devices (desktop, tablets and mobile)

OTT is also a non-skippable format that plays on streaming platforms. With OTT, the devices the ads run on are mobile. Ads can also play on a smart TV with built-in internet access or through connections to devices like a Fire TV Stick.

With its targeting potential, OTT can help advertisers zero in on their ideal customer profile to drive actions. If people are watching on touchscreen devices, they can click the CTA for an offer. These ads are a great fit for:

• Launching a new product or service (Target by interests or geography.)
• Increasing revenue by showcasing an offer that someone can apply for online or in-store (Make sure it’s unique and trackable.)
• Promoting events and sales
• Recruiting and hiring

Let’s look at some ways to combine streaming audio and OTT for a winning proposal.

Campaign Ideas for Streaming Audio and OTT

Let’s look at some common local businesses that you’d have in your book of business.

Automotive

Car dealers always want to acquire new customers, and they rely on targeting that signals that someone is ready to buy a car. What they promote will change as trends do. In 2024, electric vehicles (EVs) are a likely target. More incentives are likely as well, and they want to make sure local customers know about these.

Many auto advertisers devote their budgets to broadcast TV, but diversifying this will improve their outcomes. Streaming audio ads could focus on specific sales, promotions and models they need to move. Adding OTT spots based on past behaviors and actions ensures they reach the right people. With this two-pronged approach, dealerships can acquire more traffic to their websites, which could lead to sales.

Hospitality

The hospitality sector is increasing spending in 2024, according to the BIA local advertising forecast. Consumers are back to traveling and attending events and attractions. Since you can target by geography, local hospitality businesses could launch campaigns in their home market with a staycation theme.

They could create another one for specific areas where they see the most travelers. For example, a destination famous for its beaches may see many visitors from metro areas within a two- to three-hour drive. Those cities would be good contenders for audio and video ads.

Health Care

There’s a mix of health care local advertisers that can benefit from a streaming audio and OTT ad campaign. Hospitals with specialized treatment centers could promote this with the two tactics, focusing on demographics that make sense for their patient profile.

A new dentist in the area may be looking for brand awareness and getting appointments. Streaming audio plus OTT lets them do this. If they accept online appointments, the CTA will point people to this place on their website. Since the practice is new, getting its name and face out into the community matters.

Spas and Salons

These local businesses are highly competitive and usually have a specific clientele in mind. They may want to target by age, interests, income and geography. Using streaming audio and OTT to advertise a new client promotion could help them gain market share. If it’s valuable and relevant to consumers, they can achieve conversions. Again, scheduling online appointments would be an ideal CTA.