How Do You Solve for A Problem Like Lower Funnel Conversion? It’s Me, Hi, I’m the Medium It’s Me

Lot of Taylor Swift requests via Alexa in the past week.? So now via audio osmosis I’ve become a Swifty, I guess?? I may or may not have created a playlist for running.

But I digress,? Big week, a lot in this newsletter so let’s dig in.

Reader Mail

So I’m going to do a quick bit of “reader mail” at the top of this one, as when I get at least five emails around the same topic I figure I can extrapolate that out to a genuine level of interest and/or concern.

Yes, I do the initial draft of these emails over the weekend, but it’s done in the early morning and it is, for the most part, really kinda pleasurable.? In some alternate Sliding Doors-type universe (A Paramount Studios gem) this is the existence I imagine for myself, but maybe based in a cabin out in Maine next door to Stephen King as I watch the sun come up with a cup of coffee, a dog, and a classic Remington typewriter, sitting on the porch outside while muttering to myself “storm is coming, a’yuh.? Can feel it in my bones” and then nodding sagely at a pine tree.

But when it rains, yes, a little bit slower on that movement.? Also we’ve discovered the joy of hot wheel tracks (kudos to whoever designed? this one) and that can pull a lot of focus as well.

The Advertising Journey Begins

This week we’re going to begin the first in a series of pieces that will be spread out over the next few months.? We’ve talked about the retrenchment of podcasting as an industry and now we’re going to speak to a piece that ties most of the players together, no matter where they sit in the ecosystem.

Advertising.

Specifically, how well does podcasting work for it?? How might it align (or not) with other mediums?? Is there a certain benefit that we, Paramount Global, can derive from podcasting at a more macro level?

Not surprisingly, we believe the answer is yes.? The challenge, of course, is providing a data-backed analysis of why.

So that is what we are going to start doing today.? Full disclosure - this is an active journey, a quest if you will.? Perhaps even the classic Hero’s Journey (have I been reading a bunch of reviews on The Legend of Zelda: Tears of The Kingdom?? Yes, yes I have).? So let’s consider this the start, the “call to adventure” if you will.? If the adventure was the podcasting ad sales market and the supernatural aid the interwebs augmented with the recent work of Sounds Profitable . ? Specifically, the aforementioned “The Medium Moves The Message” study.

Millennials Love Pods

Before we get into any aspects of the effectiveness of podcasting and advertising (spoiler - it’s highly effective and does an excellent job at augmenting existing linear and radio media plans), do want to call out one additional note - Reach.

As our fragmented media ecosystem continues to, well…fragment, podcasting is becoming a very effective way to reach the 18-34 year old audience.? The weekly reach of podcasting for that demo is now nearing the reaches of TV and Radio.? This doesn’t hold as you move into 35-54 and 55+ but in that key younger demo…podcasting delivers.

Delivering this demo and connecting our franchises into a younger audience remains a focus of the Paramount Global Podcast Group and one that we will be highlighting in future newsletters.??

But for now, let’s go back to the money.

The study itself is great and fully recommend that for our more podcast-focused audience, worth a read.? And for those who are members of the Association of National Advertisers, you can view the full webinar with the always amazing Tom Webster here (honestly, one of the consistently best presenters I’ve ever seen).?

But even for the non-podcast focused, as we continue to make a push for both revenue and enhanced consumer engagement with our advertising, the study brings up a lot of fascinating (and highly salient) points.

So with that, here’s my quick take on some topline points:

Podcasting provides reach and audience exclusivity that can augment existing media buys?

• As noted, podcast provides reach, especially in the 18-34 year old audience
• That audience is, for the most part, almost a generation younger than TV or Radio
• In addition, that reach also allows for listeners who are exclusive to podcasting, roughly 1 in 5 cannot be reached via TV and thus are, truly, incremental to the Paramount Global portfolio

The podcasting audience has a fundamentally different (positive) approach to advertising that we should be leaning into

• The younger demo is naturally more inclined to see brands as favorable (they aren’t turned off by brand advertising)
• In addition, due to the light ad loads in podcasting, they are less saturated with ads, so the messages tend to connect better
• Podcast listeners also much more inclined to pay for ad-free experiences (be that streaming video or audio)
• This makes a statistically significant advantage for this group in terms of supporting brands that advertise in podcasting
• And this, in turn, makes podcasting incredibly effective especially in lower funnel metrics - podcast listeners will not just be aware, they will buy

To quote directly from the study -?

In the world of gaining consumer attention 30-60 seconds at a time, podcasting simply drives

favorability, consideration, and action better

And the big headline for us to think about within Paramount Global - adding in podcast advertising to a multichannel media buy drives real mid-funnel effects.? And our ability to package this directly can drive very real value to brands.

Something to think on and something we will continue to be digging into over the coming weeks and months.? Not surprisingly, we are extremely bullish on the value here.? We look forward to continuing to integrate in a larger way.

And a Soup?on of Theater

And we will finally end with just a touch of culture.? Culture, people, because we are fancy!

For our wedding anniversary / Mother’s Day outing (Happy Mother’s Day to all!) we saw a Broadway play Saturday night - The Grey House with Laurie Metcalf, Tatiana Maslany and Paul Sparks (shoutout to the one Producer I found on Linkedin, Haley Swindal ).? It is a legit ghost story (my wife loves the horror genre) and it was an absolute blast. Have, and will always continue, to love the thrill of live acting and it is genuinely exciting to see a production that is incredibly well-acted and takes some really fascinating risks.

Not typical Broadway fare, definitely a vibe, really enjoyed it.