Only 42% of US marketers said they have a detailed understanding of programmatic advertising, yet nearly 60% have bought ads programmatically before, according to a new study from global independent podcast company Acast.
The study, which Acast conducted in order to understand the sentiment and overall knowledge that US marketers and advertisers have towards programmatic advertising, revealed that just 39% of respondents could correctly define programmatic ad buying. Despite these misconceptions, respondents said they expect the share of podcast advertising bought programmatically to nearly triple by 2027.
“Podcast advertising and programmatic ad buying are in this moment of simultaneous, rapid growth, yet there are still so many myths and misunderstandings about both held by media buyers. As the first study that looks specifically at programmatic ad buying in podcasting, this research enables Acast to better meet the needs of advertisers by first understanding – and filling – the knowledge gaps that are so prevalent in the industry,” said Elli Dimitroulakos, Global Head of Ad Innovation at Acast.
When it came to advertising as a whole, the research found marketers remain confident in the continued growth of podcasting. According to the study, podcasts rank most effective with marketers for accurate targeting, reaching mentally engaged consumers, sustainability, and unduplicated reach. As US marketers prepare for the death of the cookie next year, only 3% expect podcasts to be most negatively impacted, compared to the nearly 70% who expect social media to be most hurt by this shift.
Marketers also see room for growth in podcast advertising, with 84% of respondents saying that podcasts currently have low ad loads, which was higher than all other tested mediums. While 65% of respondents expect to increase their marketing spend on podcasts, when considering marketers who have previously purchased podcast ads, 83% expect to increase their spend on the medium year-on-year. Interestingly, more than half of marketers prefer to book advertising campaigns through self-service tools.
Looking ahead, as macroeconomic uncertainty continues to impact marketing budgets, 54% respondents to this study said that better reporting is the key solution to driving their increased investments in programmatic advertising.
