Spotify recently released data showing that it had surpassed $2 billion in revenue with an 8.7% net loss. However, these were far from the most interesting data points that became public. The near doubling of advertising revenue, the fall in effective monthly revenue per user and the contracting margins are noteworthy.
Internet radio audience has grown quickly. The industry commands somewhere between 600 – 900 million monthly listeners globally depending on which analysis you choose to cite. In the U.S., 57% of the population listens monthly and 50% weekly. The growth will allow Internet radio and streaming music services to capture an increasing share of the $42 billion in mobile advertising forecasted for 2016.
A recent Digital Music News headline claimed, “There Are Nearly 90 Million People Paying for Streaming Music.” Its numbers add up to 87.5 million if you buy into two assumptions. First, that Apple Music will shortly grow from 11 to 15 million subscribers. Second, you must buy into the conclusion that Satellite subscribers are streaming subscribers.
In a contributed Adotas article, XAPPmedia’s Bret Kinsella reviews the data confirming why audio advertising is a lucrative opportunity for marketers. Rapidly growing audiences for internet radio, music streaming, podcasts and radio simulcasts are delivering monetization for broadcasters and unmatched mobile conversion rates for advertisers.
Triton Digital’s monthly Webcast Metrics Top 20 Ranker aggregates actual listening data reported by audio publishers. December's report shows a 13.3% rise in average active Internet radio listening sessions in 2015. So what does this mean for advertisers?
Last month, jacapps hosted a webinar that laid out five key principles for radio stations looking to monetize mobile. These principles are supported by several trends that make these strategies relevant and effective. They include...
The Infinite Dial report from Edison Research and Triton Digital found that monthly Internet radio listeners passed the 50% threshold of the 12-and-older U.S. population for the first time in 2015. Just one year later, the 2016 edition reveals that weekly Internet radio listenership is also at 50%. That means 88% of people who listen to Internet radio have made it a weekly habit.
Last week, XAPPmedia released the 2015 Internet Radio Ad Load Report and there is an entire section on the advertisers themselves. In 2015, the XAPPmedia sample identified 406 distinct advertisers across five leading Internet radio apps. This reflects growth of more than 5x over what we identified in Q4 2014. Leading the pack of these 400-plus advertisers in spot load for 2015 were The Home Depot and GEICO.