It’s a brave new world. You’re streaming stations and are building a brand. You’ve got a group of dedicated listeners and are attracting new listeners daily. Consumption of your streams is growing. It’s an exciting industry that is still just a baby in diapers. But, also growing are your costs associated with equipment, software, bandwidth, content acquisition and programming. It’s not just a hobby, it’s a business and we need to make money with this business. The first step is data, and understanding your listeners. Allow me to provide some insight into the US market and the changes we’ve made over time.
Logos of customers
Ando Media began measuring 14 streaming stations in 2004, and today measures over 6000 streaming stations. In January of 2005 we published our first Monthly Ranker based on AQH. (Average Quarter Hour based on 15 minute increments with a minimum 5 minutes of listening in that period). Working in conjunction with the major publishers, in September of 2009, we abandoned the old terrestrial based AQH measurement in favor of AAS, AS, and SS. Streaming measurement is census based. We don’t rely on panels and surveys. Unlike panel and survey based methods where 1 listeners represents a age group, and a number of listeners,In streaming measurement, 1 = 1!
In order to make money, we have to make our stations attractive to advertisers and agencies by explaining in simple “consistent” terms why spending advertising dollars with you is a good idea. The currency in establishing your value to advertisers and agencies is your measurement and metrics data.
What are the basic building blocks (the DNA) of a successful monetization strategy? Let’s break it down into 5 easy stepsFirst you have to understand who your listeners are, and be able to accurately represent that to advertisers and agencies, establishing your value proposition.Streaming audio as an industry is still in it’s infancy. Unreliable or poor delivery of your streams will close the doors to advertisers and agencies. Your product HAS to be polished.Control how listeners consume your streams. In the end, advertisers are going to want you to deliver banners, sync’d banners and audio ads. While winamp and WMP are easy to use for stream consumption, display ads are either unreliable or don’t work, AND they do nothing to help you control the listening experience.The largest broadcast station in Boston recently made a small investment in recording gear so they could easily produce streaming specific ads for their clients. Rather than simply re-tasking a broadcast ad, they are able to create specific content for an advertiser that’s meaningful in the streaming space.And last, you have to be able to reliably deliver the right ads to your listeners
What are the basic building blocks (the DNA) of a successful monetization strategy? First you have to understand who your listeners are, and be able to accurately represent that to advertisers and agencies, establishing your value proposition.
Robert Favre (Triton Digital): Monetization through Measurement
Monetization Through Measurement<br />Building Blocks 101<br />
Measurement & Metrics as Currency<br /><ul><li>Advertisers and agencies are projected to spend $800 million in streaming advertisements in 2011, and $1.6 billion by 2015*
Publishers can produce their own measurement data, BUT advertisers and agencies don’t trust it
With accreditation, AAS, AS, SS, TLH, CUME are streaming measurement standards for US based publishers, advertisers and agencies </li></ul>*eMarketer/March 2011<br />
Measurement & Metrics as Currency<br />“the emergence of Ando Media’s Webcast Metrics as internet radio’s primary audience measurement service will help the industry.”<br />Price Waterhouse Coopers<br />Global Entertainment and Media Outlook 2010-2014<br />“We rely on Webcast Metrics to provide real time performance data and accountability to our clients. This detail is critical to demonstrate the value of online radio as an enhancement to our terrestrial radio efforts”<br />Lauren Russo<br />SVP/Managing Director, Audio and Promotions<br />
DNA of Monetization<br />Monetization Strategy<br />Understand your listeners and establish your value proposition<br />Consistent and reliable stream delivery<br />Control the consumption of your streams<br />Create stream specific advertising (don’t re-task broadcast ads)<br />Partner with an established ad management/delivery provider<br />
DNA of a Listener<br /><ul><li>How many listeners