AMA is basically a DCO (dynamic creative optimization) company for digital audio. They work with clients like Starbucks and American Express, helping them use contextual and audience-level to, in real-time, dynamically serve relevant ads to listeners across streaming audio platforms, like Spotify and iHeartRadio (either directly or through DSPs like The Trade Desk).
There’s a good case study on their website showing how Dunkin’ used AMA’s tech to automatically tailor ad scripts to each listener’s location. Essentially, an ad can target San Francisco with a morning offer, while it dynamically adjusts to target Madison in the afternoon on the promotion’s final day.
On Wednesday, the company announced updates to its API to streamline and enhance first-party data management for brands. The updates include a Google Sheets integration for better uploading and management of both static and live data, a new “data library” feature for centrally storing first-party data to eliminate repeated uploads, and live data refresh capabilities that lets brands automatically update ads based on new data at specified intervals (e.g., a retail brand updating inventory levels hourly).
Why This Matters:
All of this is in service of creating more dynamic, programmatically enabled audio advertising. According to Emarketer, digital audio ad spend will grow by 7% this year to $7.12 billion. However, this accounts for just 40% of overall audio ad spend, which is why Emarketer describes digital audio as punching “beneath its weight class.”
But why? The audience is certainly there, as just over two-thirds of the population will listen to digital audio this year. Brands, of course, want to reach these listeners. The challenge, however, lies in the targeting technology and the ability to buy audio inventory programmatically, which are still in their earlier stages. If the capabilities to deliver more real-time, well-targeted campaigns improve, it will shift more money out of traditional radio into digital audio. This seems to be what AMA is trying to support.
Experts React:
In the press release about the launch, Paul Kelly, CRO at AMA, said: “As data becomes increasingly critical to effective advertising, brands need tools that make it easier to manage and leverage that information. On top of our existing contextual data points, our new update gives brands the ability to seamlessly control their first-party data so campaigns are always relevant, personalized, and driven by real-time insights.”
Our Take:
Digital audio is weirdly underheralded in digital advertising. This is odd considering that podcasts, for example, influenced the outcome of the 2024 election. Between Joe Rogan, Call Her Daddy, and David Sacks—a host of the All-In Podcast—being named AI and crypto czar last night, if I were a brand, audio would be where I want to be. Hell, this week has also been dominated by Spotify Wrapped. Digital audio is affecting politics and culture—maybe brands will see that and ramp up spending in 2025.
