Digital Audio Advertising - Nordics

Ad spending in the Digital Audio Advertising market in the Nordics is forecasted to reach US$106.10m in 2024.
The expected annual growth rate (CAGR 2024-2030) for ad spending is 4.45%, leading to a projected market volume of US$137.70m by 2030.
The United States is anticipated to generate the most revenue with a projected market volume of US$6.59bn in 2024.
By 2030, the number of listeners in the Digital Audio Advertising market in the Nordics is expected to reach 0.0users.
The average ad spending per user in the Digital Audio Advertising market in the Nordics is projected to be US$10.60 in 2024.
In 2030, 73% of the total ad spending in the Digital Audio Advertising market in the Nordics will come from mobile.
In the Nordics, the increasing adoption of programmatic buying is revolutionizing the digital audio advertising landscape, offering targeted and personalized campaigns to audiences.

Definition:
Digital Audio Advertising includes all ad revenue generated through pre- and in-stream audio ads that appear in music (music also includes all kinds of radio services) and podcast streaming services. Formats can be single spots, tandem spots, or popular special advertising formats such as presenting, on-air promotions, and infomercials, directly embedded in the audio file or dynamically inserted.

Structure:

Music streaming advertising is ad supported on music-streaming services
Podcast advertising is ad supported for ads placed within podcast channels

Additional information:
Digital Audio Advertising comprises advertising spending, users, and average revenue per user. The market only displays B2B spending. Figures are based on advertising spending and exclude agency commissions, rebates, production costs, and taxes. Key players in Digital Audio Advertising include Amazon Music, Apple Music, YouTube Music, Tencent Music, and Spotify. For more information on the data displayed, use the info button right next to the boxes.

Digital Audio Advertising through pre- and in-Stream Audio Ads that appear in music and podcast streaming services

Banner or Video ads included only in the web player of the streaming service

The Digital Audio Advertising market in Nordics has been experiencing significant growth in recent years.

Customer preferences: Customers in the Nordics have shown a strong preference for digital audio advertising due to its convenience and accessibility. With the rise of smartphones and streaming platforms, people are increasingly consuming audio content on-the-go, making digital audio advertising a highly effective way to reach them. Additionally, the ability to target specific audiences based on their listening habits and demographics has made digital audio advertising a popular choice among advertisers in the region.

Trends in the market: One of the key trends in the Digital Audio Advertising market in Nordics is the increasing adoption of programmatic advertising. Programmatic advertising allows advertisers to automate the buying and selling of ad inventory, making the process more efficient and cost-effective. This trend has been driven by the growing number of programmatic audio advertising platforms and the availability of data that enables precise targeting and measurement. Another trend in the market is the rise of podcast advertising. Podcasts have gained popularity in the Nordics, with a growing number of listeners tuning in to their favorite shows. Advertisers have recognized the potential of podcast advertising to reach engaged and loyal audiences, leading to increased investment in this format. The ability to integrate ads seamlessly into podcast episodes has made it an effective channel for brand awareness and storytelling.

Local special circumstances: The Nordics have a highly tech-savvy population, with high internet penetration and smartphone usage. This has created a favorable environment for the growth of digital audio advertising. Additionally, the region has a strong tradition of public service broadcasting, with public radio being a popular medium for news and entertainment. This has provided a solid foundation for the development of digital audio advertising, as listeners are already accustomed to consuming audio content.

Underlying macroeconomic factors: The strong economy in the Nordics has contributed to the growth of the Digital Audio Advertising market. With high disposable incomes and a high standard of living, consumers in the region have the purchasing power to support the growth of digital advertising. Furthermore, the region's stable political and regulatory environment has created a favorable business climate for advertisers and technology companies. In conclusion, the Digital Audio Advertising market in Nordics is experiencing significant growth due to customer preferences for convenience and accessibility, the adoption of programmatic advertising, the rise of podcast advertising, the region's tech-savvy population, and the favorable macroeconomic factors. As the market continues to evolve, it is expected to offer new opportunities for advertisers to reach and engage with their target audiences.

Data coverage:

Data encompasses enterprises (B2B). Figures are based on digital audio advertising spending and exclude agency commissions, rebates, production costs, and taxes. The market covers pre- and in-stream audio ads and podcast streaming ads.

Modeling approach:

Market size is determined by a combined top-down and bottom-up approach. We use annual financial reports of the market-leading companies and industry associations, third-party reports, web traffic, and survey results from our primary research (e.g., Consumer Insights Global Survey) to analyze the markets. To estimate the market size for each country individually, we use relevant key market indicators and data from country-specific industry associations, such as GDP, media consumption, internet users, and digital consumer spending.

Forecasts:

We use a variety of forecasting techniques, depending on the behavior of the market. For instance, the S-curve function is well suited to forecast digital products due to the non-linear growth of technology adoption, whereas exponential trend smoothing (ETS) is more suited for projecting steady growth in traditional advertising markets.

Additional notes:

Data is modeled using current exchange rates. The impacts of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level. The market is updated twice per year in case market dynamics change.

This report presents a comprehensive analysis and additional information on the Advertising & Media market, in a PDF format.

Podcasts are still the cool kid in the media family. Even though podcast advertising revenues remain lower than that of established media such as pay TV or out-of-home, the industry is thriving and has successfully reached the threshold of two billion U.S. dollars in annual ad revenue in the United States. The U.S. is the country with the highest number of podcast listeners worldwide, with an estimated 76 million people or 23 percent of the population consuming that audio content on a regular basis.