Music streaming services, like Pandora, Spotify and YouTube, are nightmares for the music industry. But for marketers, they’re a burgeoning advertising opportunity, because streamers love their brands.
They’re also the reason consumers are growing more elusive on television, land-based radio, and print. Forty percent of streamers, for example, are listening to their favorite tunes on smartphones. Last year in the United States, they downloaded more than 280 billion songs.
A study by Spotify and administered by comScore provides a snapshot of consumers and how they engage more with brands they encounter on streaming services. It’s fascinating:
People who use a streaming music service at least once monthly, are:
2x as likely to pay more for brands
61% more likely to recommend brands to a friend
74% more likely to describe a brand as “the only brand for me”
70% more likely to describe a brand as fun and playful
2x more likely to feel emotionally involved and advocate for a brand
Yes, it made us feel verklimpt, too.
This billion dollar worldwide industry is here to stay. Since the first hand-cranked DVR and now with consumers switching between multiple platforms and devices, it’s only intensifying.
So as we always advise, go where the freaking food is.
In the face of these unstoppable trends, marketers need to exploit this audience and embrace the creative possibilities. While the reach of streaming services is enormous, you can buy a small, targeted portion slice of the pie by narrowing your audience with demographics, geotargeting and other demographics. We encourage you to jump in the water and start experimenting!
For a comparison of top U.S. music services see Mashable’s piece on Pandora, Spotify, iHeart Radio and Slacker.
For a more comprehensive overview of services worldwide, see this Wikipedia article.