Sum up of programmatic audio and automation for radio advertising: the U.S. trends and action plan for European radios in 2016. How to plug-in radio into programmatic ecosystem.

1. Programmatic
& automation
for Radio
Reinventing radio for the digital era
Yuri Loburets, Director of Radio

2. www.egta.com
egta’s definition of programmatic
‘Data-driven, automated planning and placement of advertising
defined by pre-set demand and supply algorithms, which uses real-time
evaluation of the pre-set conditions on which each individual impression
or piece of advertising inventory that has been introduced into an ad
exchange ecosystem could be traded’*
* egta, Automated & Programmatic Marketing Book, 2015

3. www.egta.com
Promise of programmatic
• Reduce transaction costs and improve efficiency
• Leverage data and consumer insights
• Real-time optimisation and reporting
• Higher ROI
• Monetisation of a broader spectrum of inventory
• New clients and sectors

4. www.egta.com
Is programmatic coming to FM radio?
NO
• Return path data
• Online access to inventory
• Target individual impressions
• Automated transactions
• Dynamic demand/supply ecosystem
BUT
• Reach
• Audience targeting
• Cost effective
• Proven ROI

5. www.egta.com
Radio needs to reinvent the way it sells ads
• Highly logistical and manual
• Excel media plans / Delayed
(paper) reports
• No real-time optimisation
• Convenience always wins
• Automation – as easy as Google
and Facebook
• Introduce Radio ‘Dash Button’

6. www.egta.com
Automation & programmatic for Radio
Share of Ear, Edison Research
PROGRAMMATIC
AUTOMATION
52.1%
20.3%
11.6%
7.7%
5.2%
1.7% 1.5%Americans’ share of time
spent listening to audio
sources
AM/FM Radio
Owned music (CDs, digital music files, etc.)
Internet radio/music (Pandora, Spotify, etc.)
SiriusXM
TV music channels
Podcasts
Other

7. www.egta.com
How does it work – Jelli’s case
SpotPlan
Programmatic buying
Buy
RadioDash
Campaign dashboard
Report
RadioPlan
Ad server
Run
Ad
inventory
Radio
Spot

8. www.egta.com
Industry-wide audio exchange for radio
+1600 radio stations
Bigger than Google
and Pandora
10% of radio deals
already in 2016

9. www.egta.com
Automation: plug-in into digital budgets
• Increased revenues
• Unlocked efficiencies
• Increased value of inventory
• Media leadership for radio

10. www.egta.com
Online audio in the U.S.
• Online audio ads estimated 11%-15% of radio ad market
• Pandora has more than 60% of online and 10% of radio reach
• 4+ million online AQH Reach
• 22+ million AM/FM AQH Reach
• More than 50% of Americans listen to online audio weekly

11. www.egta.com
Online audio advertising models
Premium direct Network
Audio programmatic
2016

12. www.egta.com
Action plan for radio in Europe
• Automation for broadcast radio
• Leverage radio domination in online audio
• Develop joint radio SSP
• Promote audio brand strategies
• Introduce online audio ad standards
• egta’s Online Audio Taskforce
Share of online streaming audio in the UK,
RAJAR
Radio brands Music streaming services
57% 43%

13. Programmatic & automation for Radio
@Yuri_Loburets
yuri.loburets@egta.com