Nielsen last month unveiled its Podcast Listener Buying Power Service, a qualitative measurement service that shows insights into podcast listeners’ buying habits. Nielsen says the new service will leverage Nielsen Scarborough’s nearly 30,000-person database to connect specific types of listeners with particular advertisers and specific program-level insights. It also matches podcast listeners with their buying behavior.
Six months after the project was hatched inside Nielsen, five podcast companies that have signed on as charter clients—iHeartMedia, Cadence13, Stitcher, Westwood One and cabana—are just weeks away from getting their hands on the first data. Podcast News Daily caught up with Bruce Supovitz, Nielsen’s Senior VP of National Audio Services, to get an inside look at the Podcast Listener Buying Power Service and what may be next for Nielsen in the podcast business. An edited transcript follows.
A good place to start is probably a description of how the Podcast Listener Buying Power Service works?
We start with Scarborough USA, the very well-known and accepted qualitative database that’s been used to plan and buy various media for years. People have used it to buy and sell radio, television, cable, newspapers, internet, and sports. The challenge was there wasn’t a lot about podcasting in there. So from that large database we do ask a question about whether someone was a podcast listener in the past 30 days. So we use that pool of people, which is rather robust, to re-contact and complete an online survey that we have developed that focuses strictly on podcast listening habits and preferences.
The Scarborough sample is quite large.
Scarborough USA is a 200,000-person sample and we know from that there is a pool of people, probably 15-20%, that we know have said they listened to at least one podcast in the last 30 days. So that’s our starting pool and from that we can re-contact those people who have already filled out a rather in depth booklet that talks about whether they are planning to buy a car, change insurance, do home improvement. And even deeper than that, it asks about some specific brands and categories, for instance, which big box home improvement store they shop in or which insurance company they use. So it’s not just intent to purchase, which is very valuable, it does drill down to brand-specific names. Planners and buyers have been using this for radio, television and cable for a long time but there was never anything specific tying back to podcasts. So that’s what this service is going to do.
What sort of questions will you ask people who listen to podcasts?
We created a questionnaire of about a dozen questions of things that you would normally think about, such as do you listen to podcasts? How often do you listen? How much time do you listen? How many podcasts do you listen to in an average week? What’s the typical length of a podcast? What devices do you listen to podcasts on? How did you hear about or discover podcasts? What kind of apps do you use to listen? We ask a question in there as a nod to radio stations, asking if they listen to a podcast from a local radio station. We even ask a question if they’ve purchased something after they’ve listened to an ad in a podcast. We ask a lot of questions that paint a very good picture about the type of person, whether they’re a light, medium or heavy user of podcasting. And then we top it off using the 18 Apple Podcast categories and ask them to identify their favorite formats and genres.
So what does that get you?
If a planner is given instructions to make a buy for a large brand, the brand has told them what the demographic target is and other qualitative criteria. And then they’re presented with 700,000 podcasts to choose from. Now they can go into this and say they want to reach Women 18-49 who listen to five or more podcasts a month, use the following apps and are fans of true crime and then tie that exactly back to a brand and a competitor’s brand to see what the indexes are and the coverage composition. From a pre-buy attribution point of view, that’s really very powerful stuff.
Will you get to program-level data?
We are going to allow subscribers to have the ability to submit a limited number of program titles to us for inclusion in the survey. That way, when the data comes out, they will see their own programs—they won’t see the other program titles—and walk in to the buyer and show their downloads and a direct profile of their program and the people who say they listen to the show and the places they shop. That’s very powerful.
The Podcast Listener Buying Power Service is a twice a year product, correct?
The first release will be coming out later this month for the very first time. It’s going to be available to clients through our Prime Lingo, a very user-friendly web-based piece of software. We will probably be targeting our next release in December and then in 2020 we’ll look to have a two times-a-year release schedule.
How did this service come together?
We’ve been in this space for a couple of years talking to podcasters about what they need and solutions. We are doing a very large business with media analytics for our podcast clients, which are the brand lift and ad effectiveness studies. We’re engaged with a large number of podcast sellers, where we do these studies focused on an advertiser and what their ad recall, resonance and reaction was from listeners to that spot on the podcast. Those are very campaign-focused. What we like about that is it helps people on both sides. The agencies and the advertiser get to see how their campaign resonated. The podcaster can use it to generate revenue and ad sales. We see the Podcast Listener Buying Power Service as the next step. What else can we do to help podcasters drive sales, specifically brand dollars? We heard from podcasters and agencies that they need analytics about podcast listeners. And here we are sitting with this fantastic database that’s been used for years and is widely accepted. So we linked that to podcasting.
How will this compare to some of the other research that we see on podcasting?
Anyone can do a questionnaire or a study on podcast listening, but how many can link that data back to the same people who said that they bought or planned to buy the following products. That’s what we feel is the Nielsen advantage of having a big dataset and why some very large podcasters have signed-up for this service before the first data even came out.
You’re launching with some big names. Have you heard from any other podcasters considering it?
We are definitely going to add clients. Some were talking a wait-and-see and weren’t as familiar with Scarborough as others that have taken comfort in the big companies supporting this. But we’ve been getting inbound inquiries from as far away as the U.K. and Australia from podcasters who want us to offer the service in their countries. As well as podcast divisions within larger media companies that are just beginning to explore podcasting and, when they saw this announcement, they’ve been reaching out to Nielsen to find out more.
What do you make of that?
I think it’s the natural evolution that people want data and they want it tied to the brands and they want attribution. This once again gets them closer to that. If you’re an average CMO or an ad agency and you’ve been presented with the challenge to purchase “new ears” and podcasting is red-hot. So how do they begin? It’s a pretty big universe out there. This helps them.
So this is part of the bigger effort to bring more ad dollars to podcasting?
Yes, and surround podcasting with tried-and-true data analytics that have been acceptable and advertisers know that works.
What feedback have you had from the ad community?
They’re excited. There’s a lot of interest and they say there’s a ton of podcasts out there and they need help to narrow that down to the type of listener and that this is going to be a big help for them.
Can you give us a sense of how big a focus podcasting is within Nielsen?
In the Nielsen Audio division, it’s one of the fastest-growing segments for us in terms of year-over-year work with clients. It’s also a natural extension of working with our audio clients because not only are podcasters big in this space, but radio groups have taken positions in podcasting companies, have created podcast divisions, and it’s important to them to reach as many ears in as many distribution points as possible. So it’s a strategically important thing for Nielsen Audio and the work we’re doing is growing rapidly.
So is this new service a step toward eventually having Nielsen podcast ratings?
The two are distinct and definitely different. We have a technology that could measure podcasting and we tested it years ago. That approach requires that each mobile app put our code on it and then you collect the consumption through that code. In order for that to be successful, you need all the apps to participate to have a good collection of data. And if you don’t have all the apps, and specifically if you don’t have some of the major podcast apps, then you have an incomplete picture. You don’t get the whole environment and I think people want to get everything they can, that’s what they’re used to in the digital world. The habits and behaviors of people using two different apps aren’t the same so we can’t just model this out. So we decided that while the industry was deciding amongst itself what measurement means, instead we’ve turned our focus and resources to helping people generate dollars from advertising campaigns using our insights. But just because we’re not doing it today doesn’t mean we’re not going to do it tomorrow.
Editor’s Note: Bruce Supovitz will be among the panelists on the Evolution of Podcast Advertising panel at the Podcast Movement conference in Orlando today (Aug. 1) at 9am.