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98% of Global Marketers for Direct-to-Consumer Brands Say Podcasts are Effective in Reaching Consumers, Acast Study Finds

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February 1, 2024

New Acast study of DTC marketers and shoppers finds nearly half of podcast listeners across the US, UK and Canada rarely buy a new product without an endorsement from someone they trust 

Acast, the world’s largest independent podcast company, today unveiled the results of a new study that explores the habits and preferences of both marketers and shoppers of direct-to-consumer (DTC) brands throughout the US, UK, and Canada. According to the study, marketers looking to reach DTC shoppers say that podcasts are the most effective audio medium for their message. In fact, 98% of DTC marketers globally and 99% in the US say podcasting is effective in reaching relevant consumers. 

Importantly, podcast listeners in each of the three markets agree that podcasts are an effective medium for DTC brands. According to Acast’s findings, 88% of DTC shoppers are very likely to be happy with their purchases from podcast advertising. That number increases to 90% when looking specifically at DTC shoppers in the UK.

“Podcasting is true word-of-mouth advertising and because of that at Acast, we consistently see the unique trust and depth of parasocial relationships that podcast listeners develop with the hosts that they love, which makes the value of podcast host endorsements unmatched,” said Chief Business Officer at Acast Greg Glenday. “As DTC brands today are dealing with new challenges from bad actors on social channels eroding consumer trust, we’re seeing that podcasters provide an authentic and reliable safe harbor to market products to their audiences.”   

This recent study by Acast proves the value of host-read podcast advertising for both brands and consumers. According to the study, 99% of DTC marketers who advertise on podcasts agree that product endorsements are important in building trust with consumers.  This is supported by the near 50% of podcast listeners who say they rarely will buy a new product without an endorsement from someone they trust. Overall, podcast listeners are 7% more likely than the average DTC shopper to agree that they rarely buy a new product without a product endorsement.

“At Acast, we know the effectiveness of podcast advertising for brands of all kinds around the globe. Looking beyond host-read content, Acast has led the industry in adtech advances that ensure listeners receive the most relevant advertising for their unique listening journey,” said Director of Research and Insights at Acast Tommy Walters.

In fact, according to the study, podcast listeners across all three markets agree that podcast advertising is the most relevant form of audio advertising – outpacing both radio and streaming music. Furthermore, nearly 40% of listeners say that in recent years podcast advertising has become even more relevant, compared to just 24% who say radio has become more relevant. 

Additionally, as markets around the globe continue to adjust to the macro and socio economic challenges of recent years, more than half of shoppers across all tested mediums say they are now more price-sensitive due to inflation. 

These findings point to the increasing necessity and effectiveness of targeting solutions like Acast’s first-party data targeting, Conversational Targeting, geotargeting, consumer behavior targeting, and more.

To download this full study, please click here and to learn more about podcast advertising with Acast, please reach out to sales@acast.com.

About Acast

Since 2014, Acast has been creating the world’s most valuable podcast marketplace, building the technology which connects podcast creators, advertisers and listeners. Its marketplace spans more than 100,000 podcasts, 2,300 advertisers and 400 million monthly listens. Crucially, those listens are monetized wherever they happen - across any podcasting app or other listening platform.

The company operates worldwide and is headquartered in Stockholm, Sweden. Acast is listed on the Nasdaq First North Premier Growth Market (ACAST.ST).

Methodology 

For this report, Acast conducted two research studies in December 2023 via Attest.

One study with 450 marketing/advertising professionals who specifically market towards DTC shoppers. Within this sample of 450 marketers, 150 were from each the US, UK, and Canada and were 58% male and 42% female. 

The second study consisted of 900 consumers that typically shop online directly from a company’s website. Within this sample of 900 consumers, 300 were from each the US, UK, and Canada and 50% were male and 50% female.

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