Diving deep with Amazon Connected Audio Customers

November 03, 2021 | By: Alyson Sprague, Sr. Program Manager, Audio Measurement & Research

Smart speakers have changed the way consumers interact with the world around them. They turn on lights, start cars, explore brands, shop, and have access to a nearly unlimited amount of audio content, all simply by asking for it. Smart speakers have become a mainstream staple for many households, too. In a recent study1, one in four American consumers reported owning and using an Amazon smart speaker at least once per month. These new voice-first devices offer an opportunity for brands and customers to connect with each other in unprecedented ways. Amazon Ads wants to help brands make that connection.

To help brands learn more about these customers, Amazon Ads worked with Ipsos to conduct a study that surveyed 3,000 Americans and 763 Amazon smart speaker users ages 18-64. In this audio-edition of our Connected Consumers research, we seek to answer the following three questions regarding the new generation of audio consumers.

1. What makes Amazon Connected Audio Customers unique among other consumer groups?

2. Why are Amazon Connected Audio Customers a meaningful audience for brands to engage?

3. How can brands reach and resonate with this important new customer segment?

Defining consumer segments

  • General Consumers refers to all participants in the study. (n = 3,000)
  • Connected Consumers are respondents who self-reported they use any smart media device at least once per month. For the purposes of this study, “smart media devices” include smart TVs, smart speakers, smart displays, and streaming devices. (n = 1921)
  • Amazon Connected Audio Customers are a subgroup of Connected Consumers who self-reported they own and use an Alexa-enabled smart speaker (e.g. Amazon Echo, Amazon Echo Show, or other Alexa-enabled devices like Sonos) at least once per month. (n = 763)

What makes Amazon Connected Audio Customers unique?

One of the leading differentiators among Amazon Connected Audio Customers is their high level of engagement with audio content, and preference for voice-related brand and media interactions.

Eighty-five percent of Amazon Connected Audio Customers listen to streaming audio content at least monthly, which over-indexes both General and Connected Consumers (by 23% and 16% respectively). A majority (62%) of Amazon Connected Audio Customers stream audio content from ad-supported services, over-indexing General Consumers by 21% and Connected Consumers by 7%. Amazon Connected Audio Customers tend to listen to audio content from a variety of sources, tuning into an average of 3.1 different streaming audio services every month.

Amazon Connected Audio Customers view audio listening as a social activity, as evidenced by their co-listening habits. Eighty-three percent of Amazon Connected Audio Customers report co-listening to streaming audio at least some of the time, compared to only 71% of General Consumers and 74% of Connected Consumers who do the same.

Preference for audio content extends to new audio media as well. Amazon Connected Audio Customers are 64% more likely than General Consumers and 50% more likely than Connected Consumers to visit social media sites with audio features. When it comes to interacting with brands, these new audio-engaged consumers are 39% more likely to respond to a brand message if they can interact using their voice.

Why are Amazon Connected Audio Customers a meaningful audience for brands to engage?

First, Amazon Connected Audio Customers lean into advertising content more than other consumer segments, and often rely on brand messaging to help make purchase decisions. Amazon Connected Audio Customers are paying attention to brand messaging, especially when they hear messages through smart devices. Thirty-eight percent of Amazon Connected Audio Customers report paying the most attention to ads delivered within content they listen to through smart devices, which is more than the attention paid to linear TV, social media, or out-of-home ads. Amazon Connected Audio Customers are 21% more likely than Connected Consumers to pay most attention to ads while streaming music, and 2x more likely to pay most attention to ads delivered through smart speakers.

Second, Amazon Connected Audio Customers are an important audience segment for brands to engage because they are in a life stage that begets higher spending power and shopping frequency than other consumer groups. Twenty-nine percent of Amazon Connected Audio Customers report making an online purchase every single day, which is 45% greater than their Connected Consumer parent group.

Furthermore, Amazon Connected Audio Customers over-index past purchase of every category measured in the study by an average of 30%. These are customers that want to engage with your brand, and learn more about your products and services.

How can brands reach and resonate with Amazon Connected Audio Customers?

Speak your brand values, authentically

Amazon Connected Audio Customers appreciate brands that share similar values as they do. In fact, more than half (54%) of Amazon Connected Audio Customers have avoided business that didn’t share their values, which over-indexes General Consumers by 26% and Connected Consumers by 15%.

Reach consumers with high frequency

Amazon Connected Audio Customers are 20% more likely than General Consumers to report needing to hear or see an ad at least a few times before acting on it.

Explore innovative ad formats including interactivity

Voice technology has helped bring interactive advertising formats to life, allowing consumers to have a two-way, voice engagement with brands. As we learned earlier, Amazon Connected Audio Consumers are more likely than General and Connected Consumers to act on a voice-enabled interactive ad.

Use audio and video advertising together to reach consumers across different need states

Amazon Connected Audio Customers watch video for different reasons than other consumer segments. For example, Amazon Connected Audio Customers are less likely than other consumers to watch streaming videos to unwind, and more likely to watch video to connect with community, stay up-to-date with current events, and learning new things. Consumer and brands will benefit from messaging that is different but complementary on these two marketing channels to reach customers in a variety of need states.

Conclusion

Marketers today have a difficult task of being both top-of-mind, and tip-of-tongue for consumers in an increasingly voice-first world. In households where smart speakers are routine, consumers often rely on brands to provide easy ways to learn about new products and make purchase decisions through hands-free, voice-enabled experiences. This presents an opportunity for brands to reach a highly engaged and influential audience. It also means it is imperative for brands to have a deep understanding of these customers and their preferences in order to build a lasting connection.

At Amazon Ads, we continue to innovate our advertising experiences and are obsessed with finding new ways to help you make relevant, insight-driven, meaningful connections with your customers.

For more information, please download the white paper here (English only), or reach out to your Amazon Ads Account Executive.

Sources

1 Source: Connected Consumer study, US, 2021