With increased overall optimism in audio advertising, business-to-business advertisers are increasingly investing in an audio platform thought to have plateaued – the smart speaker. Voice advertising is a hot new market as businesses target voice-enabled devices.
Previous Edison Research findings revealed smart speaker ownership has plateaued since Christmas 2020. Although growth in smart speaker ownership has slowed, AM/FM radio streaming through these devices slightly increased from 23% to 26% between 2021 and 2022. Amazon Alexa still leads in smart speaker market share, while Amazon Music tops usage on these devices.
Audacy SVP of Research and Insights Idil Cakim revealed the broadcaster’s data towards voice-enabled platforms in its Connected Car studies, which show an increasing consumer preference for voice interactions. In their Q4 2023 study, 45% of respondents favored voice activation features in their next connected cars.
Edison Research’s Infinite Dial 2024 found the shift is driven by predominantly young, diverse, and female users of voice-operated personal assistants. 61% of these users are open to interacting with ads via voice, with half being somewhat likely to engage.
Voice-driven advertising not only allows for personalized communication but also enables transactions and more detailed product interactions directly through voice commands. Among those open to voice interactions, 71% would use it to gain additional product information, 62% to learn about deals, and 46% would proceed to make a purchase.
The typical voice shopper is described as a high-income suburbanite, heavily engaged in streaming audio and weekly podcast listening. While women are more cautious, focusing mainly on gathering information and deals, men are slightly more inclined to make purchases through voice interactions.
This evolving consumer behavior underscores a promising horizon for advertisers in podcasts and connected cars, where voice interaction could drive significant engagement and spending.
