Top sales vets see geo-targeting, local campaigns as keys to better monetizing growing audience

Posted by

Issue Date: 
Apr 24 2012 - 12:20pm

From Issue:

SNL Kagan senior analyst Robin Flynn moderated the day's second panel at our recent RAIN Summit West event in Las Vegas. Flynn reported on the discussion, called "Charting Digital Audio Ad Dollars," as well as other content from the Summit, in the SNL Kagan blog "Economics of Internet Media."

While online radio usage is growing across the board, operators are faced with the challenge of better monetizing that listening, especially on mobile devices (where the ad market is less mature).

"Currently, Internet radio CPMs are in the range of $3 to $6 for nontargeted ads and higher for geo-targeted ads," said panelist Alexis van de Wyer, who's president of AdsWizz. Pandora SVP/ad sales Steven Kritzman said ads that include a video element fetch $20 CPMs. (Kritzman also mentioned that Pandora enjoys an 80% renewal rate among ad clients.) Katz360 President Brian Benedik told the panel geo-targeted advertising can boost Internet radio CPMs to the $6 to $12 range and higher.

In fact, the prevailing sense was that Internet radio's growing power at reaching truly local audiences (see Pandora) is what will truly be the game-changer in monetizing listening.

"Local CPMs at $8 to $10 are tastier than the $3 to $5 network CPMs for online platforms," Pandora's Kritzman said. Jon Mitchell, Spotify's vice president for U.S. ad sales, also on the panel, said advertisers can purchase local campaigns for as little as $500 to $1,000.

Read Flynn's entire article here. There's more on our recent RAIN Summit here; and look for more coverage (including video) of the event soon. Jennifer Lane has additional coverage in Audio4Cast here.

Comments

Check Cashing Lemon-Grove

I recently need to thank you while using specifics that you've got recently been propagated that may help you readers. It can be all too easy to follow-up Check Cashing Lemon-Grove Regards created for setting a real theme.

Specifically targeted

Specifically targeted advertising looks like more effective and efficient

excellent. one of the best

excellent. one of the best articles I have every read. Ecopolitan EC Ecopolitan Executive Condo Tembusu Tembusu Condo Vue 8 Vue 8 residence inflora condo inflora keep it up !

Well, it's no longer a

Well, it's no longer a surprise that this radio station has unleashed a new opportunity to amass a vast number of audience. Congratulations to all!

buy soundcloud plays

The content of this field is kept private and will not be shown publicly.
  • Web page addresses and e-mail addresses turn into links automatically.
  • Allowed HTML tags: <a> <em> <strong> <cite> <code> <ul> <ol> <li> <dl> <dt> <dd>
  • Lines and paragraphs break automatically.

More information about formatting options

By submitting this form, you accept the Mollom privacy policy.