Music as a marketing tool – building momentum with Millennials
Considering that 33 million people in the US and 14 million people in the UK attend music festivals every year, brands from all over the world are taking advantage of the ‘Coachella effect’ to connect with consumers, mostly within the beloved 18-34 age range. Instagram reported 83 million interactions related to Coachella 2015 in its first weekend in April alone.
Live music event sponsorships
The amount of money being spent on brand activations at music festivals has grown rapidly over the past years. On site sponsors, pop-up events, #hashtag contests and exclusive product lines are effective touchpoints where brands can deliver a unique and memorable experience for music fans and gain global reach. According to a recent survey by AEG, 93% of respondents say they like brands that sponsor live events; 81% say that the coolest brand experiences they have ever seen somehow involved music in a live setting and 80% of millennials purchase a product from a sponsoring brand after the experience.
In 2015, H&M was the first brand to team up with Coachella -named the Top Festival at the Billboard Touring Awards – to develop an exclusive collection #HMLovesCoachella.
“The success was so rapid and so widespread, we decided to partner again to create an even richer offering this season”
says Ross Lydon, designer at H&M. This year, the brand will have a pop-up shop on-site where festival goers can buy the exclusive collection and enjoy an interactive shopping experience.
Music streaming advertising
As listening habits are changing, ad revenue across streaming platforms is growing rapidly. Younger listeners (15-34 year-old) spend more time with new content distribution channels, bypassing traditional platforms such as radio. Millennials listen on the go, throughout the day and across various devices. They choose playlists to regulate their moods and emotions.
Leading streaming platform Spotify – the second-largest digital music service in the UK – delivers unique audience reach across all age groups, with up to 21% added reach among 15-34 year-olds. It has surpassed 100 million users worldwide, while their paying user base is growing by 2 million per month.
On-the-go streaming services create massive new opportunity for brands to reach people with deeply contextual, engaging experiences. They can offer your brand the opportunity create 1:1 connections by targeting people based on their mood, emotions or activity. And to do that, it’s important to understand the streaming state of mind; it all starts with knowing where, when and how your audience listens. Consider how your messaging can feel less like an interruption and more like content by exploring storytelling techniques.
Music for every moment.
A few facts (according to Spotify)
Digital ads on streaming platforms are more than 2x as likely to lift purchase intent and drive 24% higher recall on average than traditional advertising ads.
75% of digital audio listeners say commercials are a fair price to pay for free audio content.
BMW has teamed up with Spotify to raise awareness of their new model, BMW 320i, by creating experiences for five iconic road trips. Users can select from one of five iconic American road trips and based on their selection, a custom playlist is generated. A BMW video ad is served during the generation of the final custom playlist which is sharable via social media. The impact of this collaboration in numbers:
more than 14.000 playlists were created
30% completion rate
Another successful example is the collaboration between Reebok and Spotify for the ‘Fitlist’ custom app. The retailer encouraged Spotify listeners to create personalised fitness playlists and share them on their social media accounts. Users could generate their customer playlists based on the type of their favourite activity, intensity and duration. The experience also featured famous athletes’ playlists to empower people through music and generate cross-channel coverage; 165 news article were published in a variety of fitness magazines -including Women’s Fitness and Men’s fitness- after the launch of the collaboration.
The success of the partnership in numbers:
165K downloads of the Spotify app and 365K visits contributing to over 1billion page views for www.reebok.co.uk
221k+ views of the launch video campaign on YouTube
Think story. Think context. Think music.