Michal Marcinik from AdTonos showed delegates how, through the use of technology, radio can stay one step ahead of the tech giants.
Michal created one of the first internet radio stations Radio Net in 1989 at a time when people didn’t understand it nor at that time were they interested in it. From that point he set out to solve that problem.
It has now been ten years since online advertising overtook radio advertising, and outside of the UK at least, radio advertising is continuing to decline. The tech giants are going from strength to strength, Facebook and Google now take more than 60% of online advertising. Advertisers follow the same trends as users, when users transition over to online so do they advertisers. In recent years Smart Speakers have given radio a boost, asking for a radio station is the second most requested skill after asking for the weather.
How do we win advertisers back to radio? Advertisers love data driven programmatic advertising. It is predicted that in 2020 this type of advertising will reach $10B. However in audio, 60% of the programmatic advertising is going to Pandora and Spotify. He predicts Spotify will eventually do to radio what Netflix has done to TV.
So how can radio compete? Michal said “Use the technology of one tech giant to compete with the other” and collaborate with independent technology of independent providers. He suggested using content as a teaser to bring people to your website, not giving everything to the big tech giants. If you have the scale, create an aggregator of your own for your own content or work with industry partners like Radioplayer.
Michal then introduced delegates to his product, AdTonos that allows highly targeted dynamic ad insertion into audio streams. They are also developing a solution for podcasters that uses text to speech technology to target ads effectively.