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4 ways to rev up your auto marketing plans with digital audio ads

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A new generation of car buyers is hitting the road — and they’re active digital audio listeners. Here’s how auto brands and dealers can reach them.

Auto advertisers, start your engines. Millennials and Gen Zs are hitting the road like never before, and their purchase behaviors are pretty different from Baby Boomers. Their car-buying journey is less likely to start in a dealership, and more likely to start online.

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Spotify Listeners are planning to purchase a car in the next 6 months¹

That’s where Spotify comes in. Millennial and Gen Z Spotify Free listeners aren’t just spending a lot of time behind the wheel. They’re also spending more time researching their next auto purchase—and digital audio and video ads are along for the ride.

Here’s how auto brands and local dealers can make the best of digital audio and video advertising on Spotify.

Accelerate your brand-building efforts with digital audio ads

Buying a new car is a big deal for Spotify Free listeners, who are +23% more likely to be a new vehicle intender, and +50% more likely to be used vehicle intender.²

The problem for auto brands? This valuable audience isn't spending as much time on the showroom floor talking to dealers in person. Instead, one in four auto buyers today take a "hybrid" approach to this big-ticket purchase, starting the journey on a smartphone, tablet, or computer.³

That’s where digital audio and video ads come in. Our data finds that multi-device users on Spotify stream for up to two hours per day,⁴ across those same devices where the auto-buying journey is taking place. Advertising on Spotify also offers additional unique reach to other media channels like TV, video streaming, and social media: In fact, 60% of Spotify users’ ad engagement carries over from the audio content they hear immediately beforehand, including music and podcasts.⁵

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Tap into a high-intent audience: Podcast listeners

Podcast listeners are an auto brand or auto dealer’s dream: On Spotify, they're 47% more likely to expect to purchase a vehicle in the next 6 months⁷, and they also skew high income—over 1 in 3 (37%) have a HHI exceeding $100k.⁸ Not only that, but our own research suggests Spotify Auto Intenders who listen to podcasts are even higher income than the average auto intender in the US overall—they're 22% more likely than the average auto intender to have an income greater than $100k, and 17% more likely to have an income greater than $150k.⁸

That’s why podcast ads are one of the most effective ways to take your auto-marketing efforts to the next level. Spotify is making it easier than ever for companies of all sizes, from global auto brands to local dealers, to get started with podcast ads. Learn more about podcast advertising on Spotify, and sign up to join the waitlist for podcast ads on our self serve advertising platform.

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Shift gears and try out new creative formats

Digital audio and video offers auto advertisers a slew of creative ways to connect with listeners. Give them the gift of 30 minutes of ad-free music with a Sponsored Session. Take a creative cue from Volkswagen and experiment with 3D audio, an effect that makes sound “move” around a listener. Or, get inspired by Toyota's influencer campaign, which tapped beloved creators to curate and promote bespoke Spotify playlists.

Or try the best of both worlds—a multi-format campaign that combines audio ads when people are listening while doing something else (say, driving), with display and video ads when the Spotify app is in view. (Hyundai's sound-on video ads are a great example of this format in action.) What's more, multi-format campaigns (with audio and video) show 27% higher purchase intent compared to audio only.¹⁰

Give your audience targeting a tune-up

Our audience targeting tools on Spotify Ads Manager go beyond basic demographics to help brands connect with listeners across devices, moments, and formats while they stream the music and podcasts they love. Start with the basics with age, gender, and location targeting, before deciding on the context—like while they’re driving and listening to a podcast, working out to a playlist on their smartphone, or watching a video podcast on their desktop.

Good news for auto advertisers of all sizes: You don’t need a Cadillac sized budget to run a Cadillac-quality digital marketing campaign. Get started with our self-serve ad platform to reach local auto buyers, and win over the next generation of customers.

Get your message heard.

Learn more about how to get started on Spotify Ads Manager and launch your first campaign here.

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Sources & References

The original version of this story has been updated to keep these insights fresh and relevant to your marketing plans.

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