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Cracking the code on podcast advertising for customer acquisition

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cracking the code on podcast advertising for customer acquisition

Of the various channels available to growth marketers, podcast is among the most misunderstood.

Brands like Dollar Shave Club, Squarespace, and ZipRecruiter have deployed podcast advertising for user acquisition for years, but it’s still a channel that flies under the radar. We have managed tens of millions of dollars in podcast ad spend for challenger brands and market leaders alike, and are eager to share some tricks of the trade.

If you want to test in a channel where early adopters are being rewarded with both attractive CAC and scale, here’s what you need to know:

  1. Podcast advertising is used very successfully as a direct-response channel with CAC on par with other consideration-stage activities. It is not just for awareness.
  2. Podcast reach is very good, reaching 51% of US audiences aged 12+ monthly.
  3. Ads read by hosts outperform canned “programmatic” ads.
  4. Tracking is harder than most digital channels and the cost to test the channel is higher than most digital channels.

Dive deeper on podcast ads and other growth marketing tips with Extra Crunch’s ongoing coverage of growth marketing, where Right Side Up was recently featured as a Verified Expert Growth Marketer. 

Who listens, who advertises, and why bother?

Podcast listeners are a sought after group – the audience trends towards educated, early adopters with a high household income. You can find this profile elsewhere, but what makes podcasts unique is that they are choosing to consume that particular content time and time again. The host becomes a trusted voice to deliver them not only interesting stories and banter, but information on companies as well.

Often podcast advertisers are newcomers or start-ups, and the podcast ad might be the first time the listener has heard about that company. Having the first touch with consumers be from a thorough, personal, and often funny host-read interaction is incredibly valuable and helps brands jump over the credibility hurdle. Compare that to an impersonal banner ad, and I’d choose a podcast ad every time. image2 1

Even though the term ‘podcast’ was coined in 2004, advertising in the medium has exploded in the last ~5 years. The IAB has been tracking podcast ad revenue since 2015, when the entire medium generated #105.7 million in ad sales. It recently released its third study of podcast ad revenue, which estimated the US market at $479 million in 2018, with growth accelerating to a projected  $1 billion+ by 2021.

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Andreesen Horowitz did a great investor profile on the space earlier this year, with a helpful rundown of the holistic ecosystem, from hosting mechanisms and platforms to the pace of podcast monetization.

Historically, the medium has been dominated by a mix of comedians doing their own thing, radio entities simulcasting sports shows, and otherwise popular shows that had a devoted niche following relative to other mediums. Most advertisers bought podcast ads as an extension of their other audio acquisition campaigns.

Podcasts go mainstream

Then Serial came along, in 2014, exploding into popularity and pop culture. They ran a MailChimp ad that had someone mispronouncing the name of the company as “MailKimp”, which was a funny inside joke for those in the know. Nina Cwik and David Raphael, co-founders of Public Media Marketing, explain the initial conversation around this now iconic spot.

“While discussing a launch sponsorship with sponsors there wasn’t a huge amount of interest in taking a risk on a new show even with the amazing This American Life provenance. MailChimp was committed to supporting Serial. The talented production team at Serial and This American Life created MailKimp and the sponsor was rewarded for believing in the show.”

Not only were they rewarded by being a launch sponsor of one of the most successful podcasts in history, but once Serial and the medium itself expanded, a loving impersonation of Serial host Sarah Koenig and the MailKimp joke eventually made its way into a Saturday Night Live skit. Serial also appealed to a female audience, helping to bring new listeners into the channel, and podcasters and advertisers followed.

Over the past 5 years, the space has diversified. We now see so many different shows with all flavors of true crime, news and politics takes that you don’t hear in the broader media picture, women talking to other women about literally everything, comedy and pop culture pods as diverse as Bodega Boys, Who? Weekly, and RuPaul: What’s the Tee with Michelle Visage, and a podcast to go with every reality and television show you can think of. There are too many shows to talk about; there are over 750,000 shows indexed by iTunes.

How to engage for growth advertising

So how do companies start testing in podcasts? And how do they do so successfully?

Start with a strong (but doable budget) and take your time

We advise companies to start with a test spend that you consider meaningful in the context of your other customer acquisition efforts. Initial tests in the channel that are properly diversified typically vary from $50,000 to $150,000 in media cost. If the idea of a testing budget in the high five figures makes you gasp, don’t rush it. If you under-invest, you run the risk of a false negative, i.e. you didn’t spend enough to validate performance, or a false positive; when you buy tiny shows, one or two sales may pay back. If you make media decisions at scale based on that data, you may find yourself in deep water. If the risk of testing a new channel and having a dip in your CAC is too great, we recommend you exhaust other channels, like Facebook, before jumping into the podcast space.

Podcast offers advertisers a low barrier to entry. Creative production is limited to producing copy points for hosts to use as they record their ad reads. However, it is quite manual relative to digital channels, and can take weeks to put into place. Most purchasing is done through a show’s sales representation or network, via calls and emails, and set in advance (sometimes way in advance depending on inventory levels). It entails RFPing multiple network partners, doing research and outreach to independent shows, gathering rates and evaluating content, and finally making decisions based on budget and inventory availability. We often describe this as the media puzzle – making sure that the ideal shows, with favorable pricing are available when you want them to be. This can take time and some back and forth with your network rep to set in stone, so give yourself room to plan ahead.

What’s the media landscape look like and how do you pick shows? 

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Image via Getty Images / venimo

We buy with a lot of direct shows, sales representation firms, and ad networks. We’re starting to see the beginnings of programmatic and exchange-based inventory become available, but it’s largely impression-based media, which isn’t yet a proven tactic that direct response-oriented advertisers can consistently use for customer acquisition. There are some managed service-like buying partners in the space, that work to varying degrees of efficiency for customer acquisition.

When it comes to choosing what types of shows to partner with, beyond budget and availability, it’s important to remember the obvious choice may not be the best one.

One of the most consistent, and pleasant, surprises in podcast advertising is how well shows that are seemingly unrelated to a product work well for customer acquisition. We’ve worked on products that had a primary target demographic of suburban moms, but guess what? Gamers want to stay at home and order snacks and food delivery, too; they have disposable income and are harder to reach via traditional channels.

If you’re advertising a product targeted to parents, you shouldn’t just test into parenting shows, you should also consider testing into shows with hosts who are parents, but have content not at all or tangentially related to parenting, like Your Mom’s House, with Tom Segura and Christina Pazsitzky. Sure, it’s a comedy podcast, and it’s NSFW (and hilarious). They’re also human parents who they do amazing reads, and their fans are legion.

Ryan Iyengar, CMO of HealthIQ, notes that “hosts with wildly different backgrounds were able to find a through-line to connect ad reads with their audiences, regardless of product line.” Of course, contextual advertising is worth consideration, and there are sometimes unique opportunities, but most successful shows aren’t a bullseye for content.

We’ve also seen the inverse, on contextual fit; food products can either do amazing or not well at all on food-related podcasts. If you have a food product with mass appeal, but one that (for example) many home cooks may already be familiar with, you may be better off doing just about any other popular genre of shows besides food.

Plus, these hosts are pros; they’ve been doing ad reads for everything from mattresses to meal kits for years. They know how to talk about your product in an engaging way.

Doug Hoggatt, the VP of Marketing at Betabrand, agrees, mentioning he would also coach new advertisers to “take the time to test across genres and hosts, you’ll be surprised at the results.” Iyengar is also the former VP of Marketing at ZipRecruiter; if you’ve ever heard a podcast, you may have heard the company advertised once or twice. He also notes, “[regardless of] content of the show, audiences can be interested in all sorts of topics, and are still potential customers. Yes, even hiring managers listen to comedy podcasts!”

Many business-to-business (B2B) advertisers do well in the channel, in part due to higher allowable CAC and high lifetime value (LTV). And the same point about show selection holds true for those audiences, as well. Visnick noted, “[HoneyBook] originally focused on testing industry-specific podcasts as those seemed to be the most natural way to target our prospective customers. We discovered that by diversifying our podcast mix into non-industry content we could still reach our target audience while also growing our reach and overall program performance.”

If we hear something that we think can help us at work, we’re amenable to that message, especially when it comes from our favorite host. Having an open mind to testing has helped so many advertisers unlock additional shows, and possible customers. You can take those insights back to other channels, too, and begin to integrate your campaigns and establish cross-channel frequency.

Pricing in the channel is unstable, and demand-based because inventory is finite; effective CPMs for host read, embedded mid-roll advertisements — by far, the most consistently performing ad unit for customer acquisition in the space — vary from $10 to $100. Yes, really.

Worrying too much about CPMs could mean that you’re leaving behind some of the best inventory in the space. So while it could make sense to cut higher CPM placements from a media plan, you want to be cautious. You could inadvertently cut out potential volume drivers or otherwise highly effective placements.

Allow for the host’s personality to shine through

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Image via Getty Images / TwilightShow

The listener is there for the hosts. They relate to them, laugh with them, or laugh at them. They come to expect a performance from them, and often that performance bleeds into the ad reads. Whether it’s a semi-NSFW jingle about MeUndies from Bill Burr, or Joe Rogan recommending his mind-blowing NatureBox snack combination, or Levar Burton delivering an oh-so soothing Calm read.

Alan Abdine, Senior Vice President of Business Development for Rooster Teeth, a network with geeky, gamer shows with a hint of irreverence, said “the best ads are the ads that are organic, natural, and originate from the voice of the show talent. When brands allow our hosts to be themselves, there are more opportunities for entertaining side stories and commentary related to the brand.”

He continues to say his “belief is that if an advertiser is willing to spend money to reach out audience, then let us be the experts on that audience and let us use our own voice to share their message and talking points!  They will always get better results in that scenario.”

There is a certain special trust that goes into podcast ads. And to allow hosts to be themselves while also being a positive brand advocate often mean striking a balance between scripting and giving space. The most commonly purchased ad unit for customer acquisition advertisers is a host-read, embedded, mid-roll advertisement, typically :60 in length, but many hosts go over.

Overly scripting the copy can lead to an ad sounding inauthentic and infringe on their creativity. Kate Spencer, the co-host of Forever 35, notes that “often there are a lot of required talking points to hit in a short amount of time. We’re always happy to oblige, but I think it takes away from the organic and conversational nature of the ad, which is what makes podcast advertising especially unique. ”

On the flip side, not scripting enough could lead to a disjointed read where the host is trying to piece value props together on the fly. Nick Freeman, Chief Revenue Officer at Cadence13, explains that “some hosts do like the perfectly written out :60 script, while others like bullets they can riff off of.” Because podcast campaign test across multiple shows and personalities, it’s best to find a starting point in your copy where hosts can be guided, but not stifled. Freeman says “that doesn’t necessarily mean trying to make jokes for comedy hosts, for example, so much as it’s giving the hosts who do well with it the freedom to ad-lib.”

And for those that want to get a little more creative, the space is primed for custom integrations. Recently DoorDash partnered with Rooster Teeth for an ad on a livestream in celebration of a new game their studios were releasing. Since there was a visual element, DoorDash and Rooster Teeth partnered on a creative spin to the ad.

Instead of the typical copy, food would be delivered to the group of hosts while recording. Grant Durando, Senior Marketing Consultant at Right Side Up, works with DoorDash on their podcast campaign and stewarded this unique partnership. “[Rooster Teeth] approached us with the opportunity to engage with the live stream in a deeper way than just a regular podcast ad. It was definitely an unorthodox integration, but exciting to be in front of the right audience for DoorDash, at scale, and in a meaningful, memorable way. Many conversations about chicken nuggets later (which I never thought would be part of my job), Rooster Teeth and Vicious Circle delivered a superb ad experience, [integrating] multiple brand mentions and actually making DoorDash a part of the content itself.”

Zack Boone, Senior Director of Sales at Rooster Teeth, added there is, “nothing better than having clients that understand how impactful utterly stupid things like this can be for a brand.” DoorDash “[offers] industry-leading selection to our customers,” said Micah Moreau, VP of Growth Marketing at DoorDash. “It was incredibly effective to bring the DoorDash experience to life with Rooster Teeth in a highly differentiated, yet relevant way.”

How do you measure response?

Ads almost always end in some sort of call to action, like use the show’s promo code to save money, or visit a URL to get a free trial of a product for listeners of the show. It’s a way for shows to get credit for their listeners taking some sort of action, usually a purchase, related to hearing the ad.

And it’s how advertisers can figure out if their ad investments are paying back, too. Along those lines, Hoggatt was happy to see “how direct response the channel could be. I was surprised at the lift in site visits and follow-on orders that correlate so closely to when our podcasts drop.” Consumers have been conditioned to listen for that call to action at the end of an advertisement so we can measure a direct response in the channel.

That isn’t to say podcast advertising should displace a highly effective channel like paid social or paid search in your paid marketing testing priorities. We often ask advertisers information about their overall CAC or CPA  from other paid marketing efforts like Facebook or Google advertising, and use that data to benchmark target CAC for podcast.

As a general rule of thumb, if you can’t make Facebook or Google work for customer acquisition at meaningful scale, think twice before you engage in testing podcasts at a scale meaningful to your business. But if you’re looking for demand generating channels, podcast is an excellent contender.

“The success we’ve seen from podcast advertising has proven that we can drive sales through paid media outside of “traditional” direct digital response campaigns,” said Visnick. “We’ve significantly grown our podcast budget every quarter since we started testing the channel and it’s now a core part of our overall acquisition strategy and an important part of our media mix.

Don’t under-account for breakage or indirect activity

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Image via Getty Images / Olivier Le Moal

Another challenge for advertisers that aren’t used to offline channels is managing indirect activity, also sometimes called breakage. It’s imperative to look at indirect activity to help triangulate response, as another way to get a false negative is to only look at direct response, i.e. direct redemptions of a promo code or sales from only users who visited the vanity URL.

A decent analog is like view-through conversions, but without the technology enablement. You can tell, via tracking, what actions site visitors have taken after exposure to ads on Facebook and Google, etc.

However, there isn’t a way for a consumer to tap or click on your podcast ad, so you don’t have a direct action correlated to ad download or exposure, nor can you track indirect activity (view-through) via pixels or other technology enablement. The aforementioned promo code/vanity URL combo is what generates that direct response.

To get around this breakage and triangulate a full response, advertisers commonly use a post-conversion attribution survey, colloquially referred to as a How Did You Hear About Us? or HDYHAU survey. This allows for a crude, but effective, translation of the impact that podcasts had on that user’s activity.

It helps you determine how much of the activity you’re capturing in paid search, for example, may have actually been driven by podcasts, streaming audio, or television. It’s self-reported data from users, sure, and it can feel a little shaky when you’re used to more precise digital measurement, but it’s how virtually every scaled advertiser in the channel has discovered a path to scale.

It also helps you determine benchmarks before you get into other channels, and can provide a solid look at multi-touch attribution if the survey is designed with best practices, and served to enough of the population to achieve stability.

Why can’t we use measurement techniques from other mediums?

We already talked about why, even though podcasts are digital audio, we can’t track conversions digitally (we know, it’s a little crazy). Unlike television, where you can use spot-based attribution, or radio, where you can achieve consistent ad exposure and but according to average quarter-hour (AQH) ratings, there’s a delay in both download of an episode and media consumption.

For advertisers, that means performance comes in over time, and it takes a minute to build reach and frequency (R/F). You may see very little activity for the first week or two of a campaign, and then as R/F builds and crescendos, you’ll see conversion activity catch up. That’s when you can start to get a solid picture of return on ad spend (ROAS); you should have structured your tests so you have a good sense of performance by the third or fourth drop with a show.

Looking at results sooner is possible but largely inadvisable. “Give it time,” says Dan Visnick, CMO at HoneyBook, “It can take a few weeks to see the impact from a single podcast, and months to build a strong portfolio.”

One of the biggest mistakes new advertisers in the channel make is getting a false positive, by testing into tiny shows that back out because 2 people bought their product, and then quickly scaling in the same genre only to find out that the content doesn’t scale.

False negatives are also common, when advertisers get cold feet in the first few weeks of an integration, and cancel shows after one ad insertion in a single episode. The channel requires diligence in testing, and if you have other business challenges to navigate, using digital growth channels can help iron out your messaging, landing pages, etc. before you launch offline channels.

Although you may have honed your messaging in other channels, you should expect to be flexible when it comes to podcast creative.

Opportunities to expand to other audio acquisition opportunities

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Image via Getty Images / Anastasiia_New

Positive signals in podcast campaigns can also indicate that other audio channels may be ripe for testing, which can help diversify your marketing mix and minimize the pressure on individuals channels. Hoggatt says his “success in podcast advertising proved that it is possible to invest in offline channels and find measurable success.”

SiriusXM and streaming platforms, whether pureplay like Pandora or Spotify, or aggregators like Westwood One and ESPN, are great next steps for advertisers who see the right signals in podcast. For SiriusXM, it’s a high household income audience that are used to paying for a subscription (any subscription model companies out there?), and streaming audiences are choosing to listen to their content, similarly to how podcast listeners choose their content. The podcast landscape is the perfect arena to play in to learn more about how your brand works in offline media and allows there to be a stepping stone into other mediums.

Be good stewards

We know that podcast advertising can have a powerful impact on the marketing mix for companies of all sizes. As more and more players get involved in the space, it benefits all involved, from advertisers, to networks, to marketers.

It’s rare to have an opportunity to participate in a nascent medium, and be good stewards of one of the last remaining mediums on earth with finite inventory and listeners who actually respond to ads. And along the way, we hope to change the way people think about traditional offline media channels, like how they can be held to high growth performance standards, and where they intersect with popular digital growth tactics like paid social.

You’ll have to get creative, but with some trust and patience, and adherence to best practices, advertisers can reap significant benefits and customer acquisition, at scale, from podcast advertising campaigns.

9 things growth marketers should do when getting started:

  • Create the team (and time!) needed to execute a campaign, whether in-house or via partnership with a subject matter expert like a consultancy or agency
  • Learn the language of podcast advertising, terms like download carry a lot of baggage and understanding them can impact your campaign’s performance
  • Budget your initial test(s) appropriately to avoid a false negative or positive result
  • Have an open mind on show selection; make sure you test across multiple genres and formats
  • Measure direct and indirect activity, to triangulate performance and business impact, and make optimizations and decisions on renewals
  • Support, don’t stifle, the personality of the show hosts
  • Get comfortable getting creative, and take time to onboard hosts
  • Keep an eye out for additional opportunities, not only in podcast, but in other audio channels as well
  • Be a good partner to shows, networks, and others in the space. It’s ours to nurture
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Elevate Your YouTube Channel: Top 4 Video Editing Tools

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Elevate Your YouTube Channel: Top 4 Video Editing Tools

Elevate Your YouTube Channel Top 4 Video Editing Tools

Launched in 2005, YouTube now stands as the second largest search engine after Google.

Almost 2.7 billion people use YouTube worldwide every month and 87.7% of those users access it on their mobile phones.

Owing to the large number of video content available on the platform, you want to ensure that yours stands out.

To make it happen, you need to master effective content creation tips, use fantastic lighting, and invest in powerful video editing software.

There are tons of editing tools on the market that promise amazing results. 

To help you cut through the noise, I’ve curated a list of the 4 best YouTube video editing software.

Whether you’re a beginner or a pro, there’s something for you. Keep reading.

1. Movavi Video Editor

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Top on the list is the Movavi Video Editor, one of the best YouTube video editing software for beginners.

It enables you to create compelling videos using advanced tools like audio correction, motion tracking, and chroma key without requiring any technical knowledge.

Additionally, you’ll find several ready-made YouTube intro videos and a large library of background music and audio clips.

Although the user interface is easy to navigate, Movavi still provides video tutorials to make you feel confident while editing.

Movavi runs on Windows (versions 7 to 11) and Mac OS X (10.15 or higher).

Key Features

  • AI background remover: Replaces backgrounds without a green screen
  • AI motion tracker: Sticks effects and images on moving objects
  • Precise frame cuts: Makes cuts with precision and attention-grabbing montages in one click
  • Color correction: Boosts colors so viewers can stay glued to your YouTube channel
  • Overlay effect: Offers 13 blending modes to create professional-looking videos
  • 4k resolution: Saves videos in ultra-high quality form
  • YouTube Integration: Saves you time by sharing videos directly to YouTube

Pricing

Movavi offers a generous free plan and three paid plans with different sets of features. Here are the prices for various plans it offers:

  • Free
  • Video Editor: $49.95/year
  • Video Editor + Effect Packs: $155.95/year
  • Video Suite + Effect Packs: $94.95/year
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Usability

Easy to use

Tool Level

Beginner/Intermediate

2. Adobe Premiere Pro

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If you’re looking for the best YouTube video editing software that can transform a basic clip into a ready-to-upload video, Adobe Premiere Pro is your best bet. 

It integrates with all the apps in Adobe Creative Cloud to help you streamline your workflow.

Adobe Premiere Pro boasts an extensive range of features, from color correction tools and visual effects to collaboration tools for teams. 

Also, you can optimize the export settings to preserve the quality of your YouTube videos when you share them online. 

Although Premiere Pro is popular among professional video editors, follow the video steps for beginners provided on the platform to learn how to use it. All you need is a powerful computer and willingness to study the available tutorials.

The app is compatible with Windows (10 or later) and macOS Monterey (version 12 or later).

Key Features

  • Text-based editing: Removes pauses with ease
  • Project templates: Retains assets, colors, and branding across multiple projects
  • Speech-to-text conversion: Automatically creates captions and transcripts in over 18 languages
  • Auto reframe: Automatically detects and adjusts aspect ratios to easily upload videos to YouTube
  • Adobe stock library: Offers access to stock video footage, photos, and over 75,000 audio tracks and remix the length to fit your video

Pricing

Adobe Premier Pro offers two paid plans. Here are the details:

  • Premiere Pro: $29.99/month
  • Creative Cloud All Apps: $59.99/month
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Usability

Has a steep learning curve

Tool Level

Intermediate/Advanced

3. Shotcut

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Available on Linux, Windows, and macOS, Shotcut is a comprehensive YouTube video editing software solution. 

It supports various video and audio files, including AVI, WAV, and MP4.

The video editing software is great for complex projects as it allows you to combine several audio, image, and video files into one video. 

Also, editing on the platform doesn’t follow a chronological order; you can make changes at any point.

Shotcut may not be the best editing tool for new content creators because of the learning curve. 

However, the platform has a video editing guide, including a community of Shotcut users who are willing to assist you.

Key Features

  • Native timeline editing: Supports all video and audio formats, including 4k and 8k resolutions
  • Cross-platform editing: Gives you the option to start a project on macOS and switch to Windows without hassles
  • Video effects: Offers built-in effects like auto-rotate, white balancing, timeline fader, and 360° video filters, without installing any plugins
  • Display and monitoring: Ability to preview videos in low resolution to improve the speed of real-time effects
  • Keyframing: Option to define the start and finish points of effects along the video timeline such as transition, sound, and brightness or contrast

Pricing

 Shotcut is completely free to use as it’s an open-source software solution

Usability

It has a steep learning curve

Tool Level

Intermediate

4. Lightworks

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If you’re looking to create the best videos in a short time, Lightworks is the way to go. 

It’s the best YouTube video editing software for beginners who are willing to learn video editing as they grow their YouTube channels.

Similar to Shotcut, the platform is loaded with all the tools you need to go from a beginner to a pro.

You can edit, color correct, add titles, and more using the drag-and-drop interface. 

Also, it’s compatible with YouTube video format and resolution for ease of uploading content.

All versions of Lightworks can work on Windows (8 and later), macOS (10.14 and later), and Linux.

Key Features

  • Universal timeline: Accommodates video footage of any quality, size, or frame rate
  • Flawless audio editing: Offers various audio effects and the option to sync with video for an immersive experience
  • Visual effects: Offers a simplified suite of over 700 customizable motion graphics and titles for easy to advanced editing
  • Easy export and share: Allows you to share videos on YouTube directly from the platform

Pricing

Here are the pricing plans offered by Lightworks.

  • Free
  • Create: $9.99/month
  • Pro: $23.99/month
1708399565 484 Elevate Your YouTube Channel Top 4 Video Editing Tools1708399565 484 Elevate Your YouTube Channel Top 4 Video Editing Tools

Usability

Easy to use

Tool Level

Beginners/Intermediate/Advanced

Pro Tip: According to Attrock guide, the best video maker can offer training resources for non-technical users. This is particularly designed for video marketers who have no high skills in video creation and editing.

Choosing the Best YouTube Video Editing Software

Getting the best YouTube video editing software shouldn’t cost a fortune. 

Platforms like Shotcut and Lightworks offer free tools for both beginners and expert editors.

However, if your YouTube channel is already monetized and you’re willing to spend money on a super-advanced tool, Premiere Pro will be ideal.

Lastly, if you’re ready to level up your video editing game, try Movavi today. You’ll save money while accessing advanced editing features.


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How to Run Spotify Ads: Costs & Key Considerations

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How to Run Spotify Ads: Costs & Key Considerations

Spotify went public in 2008 in a market crowded with rival music services. The music streaming app has shattered expectations by reaching over 602 million users, including 236 million subscribers, across 180 markets. It is now the world’s most popular audio streaming subscription service.  

Spotify Ads is also the largest digital audio advertising platform — giving marketers and brands a direct line into the ears of millions of ad-supported listeners.

The breakneck velocity of Spotify’s rise is incredibly impressive. The platform’s active users spend on average 148 minutes a day listening to their favorite music app — and most of these users are enjoying Spotify’s free, ad-supported version.

It’s clear Spotify is seeing vast success, but let’s dive a bit deeper into the world of advertising within the increasingly popular platform. Here’s a quick look at what digital audio advertising is, what Spotify Ads can offer brands and advertisers, and how you can get started. It’s easier than you might think.

The Advantages of Spotify Ads

With a valuation of over $72 billion, strong year-over-year growth in active users, with no signs of slowing down — Spotify has a bright future ahead.

Some marketers have been slow to leverage this new medium of advertising, but maybe now it’s time to pay attention as time spent in these ad units is increasing. Spotify offers marketers many unique advantages that can be leveraged to reach millions of tuned-in listeners across the globe. Let’s cover a few of the highlights:

Expansive and Diverse Audience Reach

Spotify is consistently expanding its reach and has an extremely diverse audience which is a huge benefit for potential advertisers. When advertising on the platform, you’ll have access to:

  • 300 million+ ad-supported listeners
  • Users who spend 2+ hours listening daily 
  • A 24% lift increase in ad recall for audio ads (according to Spotify)

As an added bonus, Spotify reports that “when compared to multi-format campaigns, audio-only campaigns tend to drive more foot traffic to stores at a more efficient cost per visit.”

In addition to effectively reaching an incredibly wide audience, Spotify also collects first-party data from its users that marketers can leverage to inform their targeting decisions.

Consumers Spend A lot of Time on the Platform

Consumers are increasingly investing significant time on the Spotify platform, drawn in by its vast array of content. With almost every song imaginable available for streaming and a steadily expanding library of podcasts, there’s no shortage of entertainment options. 

With their “Broadcast to Podcast” program, your favorite radio shows are finding a new home, seamlessly transitioning from airwaves to headphones. The numbers speak for themselves: 32% of Americans now listen to podcasts regularly, and that number is only growing.

A Ripe Opportunity for Engagement and Revenue Generation

With a commanding presence in the audio advertising arena, Spotify boasts a substantial market share, leveraging its vast user base comprising predominantly Millennials and Gen Z, but also attracting a significant number of older users. Currently, over 317 million users are engaged with the ad-supported tier of the platform, presenting a big opportunity for advertisers. Spotify’s approach to engaging users is multifaceted, employing a combination of audio, video, and display ads to effectively reach and resonate with audiences. 

By utilizing audio when users are most receptive, complemented by engaging video content to enhance messaging, and reinforced through strategic display ad placements, Spotify maximizes ad impact. The platform’s commitment to innovation is evident through its continual enhancement of ad offerings, introducing new functionalities to ensure advertisers can optimize their campaigns and connect with audiences in meaningful ways.

Spotify Provides a First-party Data Advantage

Whenever a user listens to a song, queues a playlist, or creates their own playlist — they are telegraphing something about themselves:

  • How they feel
  • Where they are
  • What they’re doing

This is the power of first-party data, and it’s a golden commodity for marketers and brands when it comes to reaching a targeted audience at the right time.

Consider Spotify’s running playlists for example. Spotify collects data that pinpoints when and how often users listen to running playlists. Brands like Nike put ad dollars to insert themselves into the headphones of users who are fired up and exercising. To put it simply – the ad resonates on an even deeper level.

Brands can use Spotify’s first-party data to reach listeners during very specific moods or activities — all based on the music that they’re engaging with.

Josh Brisco believes that Spotify’s advertising platform will only become more powerful in the future.

“With millions of ad-supported listeners world-wide and robust targeting capabilities, it is a fantastic way to get in front of a desired audience. Its continued user growth and investment in its ad units, capabilities, and overall product make it one to watch.”

How Spotify’s Ad Types Work

Spotify is based on a freemium model — where all users can have unlimited, free access supported by 15 and 30-second ad breaks. However, users can opt to pay for a premium account for an ad-free listening experience (besides certain ad units like homepage takeovers, sponsored playlists, and podcast ads). The great majority of Spotify’s listeners opt for the ad-supported version.

These ad units can play pre-roll and post-roll when users are listening to their favorite songs. Spotify also gives advertisers the option to incorporate video and display options into their strategy. 

Spotify Ads has expanded into a variety of different ad units:

Audio Ads 

Spotify’s audio ads are concise yet impactful, strategically placed between songs with clickable display content to engage listeners. With a maximum length of 30 seconds, these ads efficiently deliver messages to the target audience, spanning both mobile and desktop devices. Beyond direct targeting, these ads have the potential to reach additional demographics as they may play in various public spaces like stores and restaurants where Spotify is used.

With this ad type, you can combine audio messaging with customizable images (i.e: brand names, slogans, and calls-to-action) to drive traffic to designated websites. These ads offer highly targeted options, including geographic targeting, to ensure relevance and maximize impact.

These ads are extremely successful for brands. In fact, a study by Nielsen found that Spotify audio ads led to a 24% increase in ad recall and a 17% increase in purchase intent among listeners. 

 

example of a Spotify audio ad with a companion image, advertiser name, logo, tagline, and CTA

Source: Spotify

Video Ad Takeover (Mobile) 

Designed exclusively for mobile and tablet viewing, Spotify’s Video Ad Takeover offers advertisers a dynamic platform to showcase their brand message. With a strict limit of 30 seconds and a maximum file size of 500 MB, these videos are optimized for seamless integration into the user experience. Displayed in either portrait or landscape orientation with a 16:9 ratio, the ads are strategically placed between songs or during commercial breaks, ensuring maximum visibility when the screen is in view. 

Each video ad is accompanied by a companion banner featuring a customizable CTAs, enhancing user engagement. Advertisers also have the option to include a Branded End Card at the end of the video, providing an active link to their website for further interaction.

example of a Spotify video takeover ad on mobile device

Source: Spotify

Overlay Ads

Spotify’s Overlay Ads (compatible with both desktop and mobile devices), are a straightforward yet effective advertising solution. These simple, clickable display ads are strategically served to users upon their return to the Spotify app, ensuring maximum visibility and engagement. Occupying the full screen, these ads provide a prominent presence, capturing the user’s attention from the moment they re-enter the app. 

Users have the option to close the overlay either by clicking on the designated ‘X’ or allowing it to automatically close after 30 seconds. With a clickthrough URL included, these ads provide a seamless pathway for users to explore further content or interact with the advertised brand. As the first thing users see upon returning to the app, Overlay Ads offer advertisers a prime opportunity to make a lasting impression and drive desired actions.

example of a Spotify overlay ad for Kia Sportage shown on a desktop and mobile device

Source: Spotify

Homepage Takeover (Desktop)

With Spotify’s Homepage Takeover (desktop), advertisers can prominently feature their brand message on the front page of Spotify’s Desktop Homepage for a full 24 hours. This prime real estate allows for maximum exposure and engagement with users. While the ad links directly to the advertiser’s site, it’s important to note that audio is not supported in this format, although videos can be included to enhance the visual impact. 

Spotify offers resources and guidance to assist advertisers in crafting the perfect homepage ad, ensuring it aligns with platform guidelines while reflecting the advertiser’s vision. Additionally, third-party integration enables support for rich media, allowing for even more interactive and engaging advertising experiences. 

example of a Spotify homepage takeover ad for Fate of the Furious on a desktop

Source: Spotify

Leaderboard 

Leaderboard ads on Spotify are clickable ads that appear for 30 seconds, exclusively during a listening session when Spotify is in view. These ads are accessible via desktop player or web app, offering advertisers a direct channel to engage with users during their music or podcast streaming experience. With support for images or short animations lasting up to 15 seconds, advertisers have the flexibility to convey their message effectively within the specified timeframe. 

These ads are clickable, allowing users to interact with the ad content and be redirected to the advertiser’s desired destination. Leaderboard ads support rich media, enabling the incorporation of interactive elements to further enhance user engagement, whether implemented by Spotify or a third-party provider. 

example of a Spotify Leaderboard ad for Kia Sportage under a Discover Weekly playlist

Source: Spotify

Sponsored Playlist 

Distinguish your brand on Spotify with a tailored playlist sponsorship, featuring a clickable display ad and in-playlist media placements. With this feature, you can collaborate with Spotify to select the most relevant playlist for your target audience, leveraging the platform’s extensive user data and insights. For example, Kia recently sponsored Spotify’s New Music Friday playlist, a weekly favorite among millions of listeners worldwide. 

This ad type ensures visibility across both mobile and desktop platforms, reaching audiences wherever they engage with Spotify. Your brand’s logo or ad assets will be prominently featured within the playlist interface, guaranteeing consistent exposure in the playlist queue. 

While anyone can create a playlist for free, opting for the sponsored option provides a strategic shortcut to reaching a large audience without the need to organically build a playlist from scratch. 

example of a Spotify Sponsored Playlist ad on desktop and mobile device

Source: Spotify

Sponsored Session Video

Tailored for mobile listeners, Sponsored Session Video ads on Spotify offer an opportunity to engage users with a brief interruption that presents an offer: 30 minutes of ad-free listening in exchange for watching a video ad on their phone. Similar to typical audio ads, these video interruptions prompt users to opt into an uninterrupted listening experience by engaging with the full video ad. The video ad must adhere to a duration of 30 seconds or less and can include a URL directing users to the advertiser’s webpage for further interaction. 

While specific pricing details for Sponsored Session Video ads may vary based on factors such as targeting options and campaign duration, they are generally considered to be more expensive than audio ads due to their enhanced engagement potential and the value of providing ad-free listening time to users. Engagement rates with Sponsored Session Video ads can vary depending on factors such as the relevance of the ad content and the appeal of the offer presented. Engagement rates for Sponsored Session Video ads tend to be relatively high, with a significant portion of users opting to engage with the ad in exchange for ad-free listening time. 

example of a Spotify Sponsored Session video ad on mobile devices

Source: Spotify

Banner Display Ads

Featured at the top of a Spotify user’s homepage, Banner Display Ads provide immediate visibility upon opening the app. As users navigate within the app, the banner seamlessly transitions to the bottom of the screen, ensuring continued exposure while minimizing disruption to the user experience. 

This strategic placement enables advertisers to capture the attention of users as they engage with Spotify’s platform, maximizing the impact of their advertising campaigns. With Banner Display Ads, advertisers can effectively reach and engage their target audience, driving brand awareness and fostering meaningful interactions within the Spotify community.

Podcast

Spotify offers a unique opportunity for advertisers to reach specific and well-defined audiences through podcast advertising. Pre-recorded ads, typically short audio clips ranging from 15 to 60 seconds, are strategically inserted within episodes. Host-read ads offer a more personalized touch, as hosts deliver the message in their own voice and style, which can enhance trust and authenticity. Another option is branded podcasts, where sponsors have the opportunity to immerse listeners in their brand story by sponsoring entire episodes or series. When it comes to reaching the right audience, platforms like Spotify Ad Studio allow for targeting specific podcasts, demographics, interests, and behaviors. Dynamic Ad Insertion enables ads to be automatically placed in relevant podcasts based on specified criteria. Additionally, direct deals offer the chance to negotiate exclusive placements with high-impact podcasts or networks, further enhancing the reach and impact of the advertising campaign.

example of a Spotify Podcast ad on a mobile device

Source: Spotify

The Cost of Advertising on Spotify

When considering advertising on Spotify, pricing varies depending on several factors, including the chosen ad type, target audience, location, and campaign duration. The minimum investment required for a campaign is $250, with a daily rate of $15. Additionally, ad impressions typically cost between 1 to 3 cents per impression. 

Both audio and video ads utilize a basic auction system familiar to digital advertisers, offering bid caps and the flexibility to adjust bids during the campaign. Targeting options include Cost per Impression or maximum CPM bid, with higher costs expected for targeting popular audience segments. 

To better estimate ad costs, Spotify Ad Studio provides a cost estimator tool. There are three main methods to purchase Spotify ads… 

  • Self-serve through Ad Studio – Which allows advertisers to create and submit ads independently
  • Automated – Where agencies or DSPs manage media buys using dynamic bidding
  • Direct – Involving collaboration with the Spotify team to customize ad experiences or secure guaranteed inventory, although this option may not be suitable for all advertisers due to associated costs.

 

How You Can Advertise on Spotify

These days, almost anyone with any budget can advertise on Spotify. Here’s how to get started.

1. Set Up an Account

First things first, you’ll need to set up your Spotify Ad Studio account to get started. Within this platform, you’ll be able to:

  • Build out audio campaigns
  • Create audio ads using your script and a selection of background tracks and voice profiles
  • Gauge impressions based on your targeting and spend
  • Measure campaign performance within the dashboard

2. Add Basic Campaign Details

When you start creating an ad, the first question that Spotify Ad Studio will ask is if you are promoting something music-related, or representing a brand. Music-related ads are for artists or those in periphery of the music business, like sellers of concert tickets and merchandise. Non-music ads are for every other type of brand that advertises on Spotify.

Once you’ve made that selection, give your ad a name. Since this name will be for internal use only, choose a name that’s both descriptive and easily recognizable to streamline your internal discussions and analytics.

Next, select your ad category. Spotify simplifies this process by offering categories that span across various interests and behaviors. This categorization helps ensure your ad reaches listeners most likely to be interested in what you’re offering, whether it’s lifestyle, technology, entertainment, or any other sector relevant to your brand.

3. Define and Target Your Audience

Targeting is one of the most important steps when creating an ad. If you’re targeting the wrong people, your brand’s message is unlikely to resonate. Ad Studio allows you to target audiences based on:

  • Who they are (age & demographics)
  • Where they are (city and geography)
  • How they listen (devices & connectivity)
  • What they listen to (genre, playlists, podcasts)
  • Predicted interests (lookalike targeting)
  • Off-platform behaviors (custom audience match & 3rd party interest targeting)
  • Past interactions (brand exposure, sequential messaging, real-time retargeting)

As mentioned above, one of Spotify’s key targeting features is the ability to target by listener behavior – we highly encourage you to check out this feature. When targeting through Spotify, you can also use first party data like your own customer lists and demographic information to create custom audiences (country, location(s), age group, gender, platform, language). Keep in mind that these are seen as the building blocks to creating a custom audience. You can also target by interests and behaviors but this is optional. For example, target based on podcast or playlists they listen to, favored genres, or for certain contexts (like a workout playlist).

If your objectives change at all throughout your campaign – no worries – you can make changes to your target audience at any time.

4. Set Your Budget, Objectives, and Schedules

Now we’re ready to start building out the finer details of the campaign. Start by selecting your ad format—be it audio, horizontal video, or vertical video. Then, choose if you want to place these ads across music and podcasts or limit them to music only. As we previously covered, there are a variety of ad formats to explore within Spotify’s Ad Studio.

You also have the option to exclude your ads from appearing during podcasts labeled as “sensitive.” This is an important consideration if you’re concerned with brand safety, or just wouldn’t want to appear during an ad break for a gritty true crime episode. On the complete other side of the coin, you can choose to target your ads to appear during episodes focusing on specific topics that resonate with your target audience, such as business, fashion, or technology.

Next, you’ll be able to schedule your campaign and set a budget. Spotify gives marketers precise control over the start and end dates for the campaign, right down to the minute. 

Then it’s time to set your budgets. Spotify lets you approach this in two ways: Daily budgets and lifetime budgets. It’s worth noting that daily budgets are not strict caps but guidelines, as Spotify may adjust spending based on demand to maximize your ad’s impact. However, setting a bid cap is still crucial for controlling expenditure, preventing overbidding, and ensuring your campaign remains cost-effective.

While you’re building the ad, take note of Spotify’s deliverability gauge on the right side of the page. This helps you estimate how much you’ll need to budget to reach your intended audience and the likelihood of fully utilizing your budget each day. 

Finally, you’ll be able to set your objective – this is how Spotify determines appropriate placements for your ad. You can choose between three options:

  • Impressions – Spotify will show your ad more often. Unlike reach, this is based on how many times the ad is served, rather than how many people it reaches. Note that 
  • Reach – Spotify will show your ad to more people. For example, you could show your ad to 1,000 people one time using this objective.
  • Clicks – With this objective, you’ll only pay if someone clicks on your ad. Clicks are almost always the most expensive option, but it’s perfect for brands seeking to increase conversions.

Spotify also allows for setting frequency caps to manage how often your ad is served to individual users, ensuring your message remains fresh without overwhelming your audience. You can set frequency caps on a daily, weekly, or monthly basis. This is especially important for advertisers who want to use the Impressions objective.

The last item on this page allows you to set bid caps. Unlike your budget, this is a hard cap on how much you’ll spend to place a single ad. Strategically setting bid caps is crucial for controlling expenditure, preventing overbidding, and ensuring your campaign remains cost-effective. If you’re not sure what a good bid cap is, Spotify provides a recommendation to get you started – you can always run the campaign and fine-tune the bid cap later.

5. Create Your Ad and Upload Your Audio

At this point, it’s time to put the final touches on your campaign. Add a unique name to the ad – this is for internal purposes only, so choose something that will help your team stay organized. Then, enter your brand’s name complemented by a compelling tagline and indicate the language that your ad is in.

After that, you’ll upload your ad’s image, ensuring it meets the minimum resolution requirement. Under the image upload field, you’ll be able to include a direct click-through URL, which is where you’ll send listeners if they choose to engage with your ad. To help them engage, you’ll also be able to select a Call-to-Action from a dropdown list of options, such as “Listen Now.”

If your campaign leverages audio, you’re presented with two paths: upload a pre-existing audio file or use Spotify’s in house creative team to produce your ad, including background tunes and even script writing. Simply provide a creative brief, and their team will try to produce your ad to the best of their ability.

For those using video ad formats, uploading your content is as simple as drag-and-drop, with additional capabilities for viewability tracking via third-party vendors. This ensures your ad not only reaches but resonates with your target audience.

Once all those steps are done, you’re ready to launch!

6. Measure & Monitor Performance

Measuring and monitoring the performance of your ads is crucial for optimizing your advertising strategy and maximizing your return on investment. With Spotify’s Ad Studio, you can easily track and analyze the effectiveness of your campaigns. Ad Studio provides initial results within 24 hours of your ad going live, allowing you to quickly assess its performance. You’ll have access to a range of key metrics, including people reached, frequency, impressions, completion rate, CPM, CTR, and insights into how long people listen to the ad and the genres they’re tuning into. 

You can utilize third-party measurement tools for more advanced analysis and deeper insights into your campaign’s performance. By regularly monitoring these metrics, you can gain valuable insights into audience behavior and preferences, enabling you to refine your targeting, messaging, and creative assets for improved results. With Ad Studio’s real-time reporting capabilities, you’ll have the actionable data you need to make informed decisions and optimize your advertising efforts effectively.

Spotify Ads Best Practices

We’ve covered everything from Spotify’s overall advantages to various ad types, but how can you make sure you’re following general best practices when it comes to advertising on the platform? Let’s dive in.

Build Strong Messaging

In a recent study, Spotify has found that listeners are less concerned by the length of a creative, and more about the message itself. This means it’s critical to have strong messaging from the start. Be clear, concise, conversational during your ads so listeners grasp the point(s) you’re trying to make quickly. Don’t forget to communicate any additional benefits you are giving your audience like promo codes or sale offerings.

Include a Clear Call-to-action (CTA)

What action are you trying to get listeners to take? Ads on Spotify are on the shorter side so by including a strong CTA (ie: “Buy Now”), you’re allowing users to easily and quickly complete the intended action. Including a clear CTA within your ad is crucial – don’t forget it!

Test and Learn

No matter the campaign you’re running, it’s incredibly important to test and learn from the performance of your ads. You’ll want to take a deeper look into your ad metrics to ensure you’re meeting or exceeding your KPIs to see if tweaks need to be made. As we’ve previously covered, Spotify has a wide range of ad types for advertisers to utilize. If one ad type isn’t meeting your intended goals, be open to testing and trying out new methods.

Conclusion

Not looking to manage your Spotify Ads all by yourself? No problem. 

Creating, managing, and tracking ad performance takes time – we get it. So, if you’re looking to streamline your Spotify advertising process, Tinuiti can help. By working with our team of experts, you can take your Spotify ads to the next level by utilizing a more customized approach to further target your ideal customers. By working with a dedicated streaming audio agency, your Spotify advertising has the ability to stand out among the competition – elevating your brand to new heights in this emerging space.

“By working with Tinuiti, your brand’s Spotify ads are in the hands of specialists who are familiar with audio campaign set up, optimization, and success. Our programmatic team is in the platform daily, making real-time bidding adjustments to campaigns that boost performance while maintaining efficiency. This performance visibility allows us to understand how audio stacks up against your other tactics in a user’s path to conversion. Our programmatic experience and hands-on approach is what sets us apart.”

– Carly Fipps, Programmatic Senior Specialist at Tinuiti

If you’re interested in learning more about Spotify advertising, streaming audio, or how Tinuiti can help your business, contact us today.

Editor’s Note: This post was originally published by Greg Swan in May 2018 and has been updated for freshness, accuracy, and comprehensiveness.

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How DocuSign’s Teams Tie Customer Value to Every Single Change

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How DocuSign’s Teams Tie Customer Value to Every Single Change

How do you deliver value at every stage of the customer journey? 
 
It’s the single most important goal held by almost everyone from marketing to sales to engineering to data teams. 
 
Even with a solid customer journey map, delivering that value — much less connecting it directly to the everyday work that happens on the ground — is easier said than done. Unless you’re the team at DocuSign.

DocuSign’s teams (with hundreds of individual contributors) tie customer value to every single change they make across their marketing and product strategies and deliverables. By doing so, they also happen to constantly find ways to deliver the best possible experience to every single one of their customers.

How has the team accomplished what for many feels like a distant dream? They’ve developed a strong culture of experimentation that their teams deploy for every proposed change, and their Marketing, Product, Design, and Engineering teams (to name a few) use Optimizely to bring those experiments to life.

In this post, Anjali Mehra, Senior Director, Analytics & Experimentation, at DocuSign, breaks down how DocuSign built their experimentation program from the ground up.  

Get the inside scoop: How DocuSign structures their experimentation program 

The DocuSign difference isn’t just that DocuSign uses an experiment like A/B testing to endorse every customer-facing change. Here at Optimizely, our team loves experimentation, but we know that, practically speaking, running experiments simply isn’t enough. 

The reason DocuSign has been so successful is their rigorous, holistic approach to experimentation across the company. Here’s the good news: Anjali from DocuSign has told us how they’ve achieved it.

Here are the program highlights: 

  • DocuSign’s experimentation program is a whole-company effort: more than 20 customer-impact teams amounting to hundreds of users are on the Optimizely platform. 
  • DocuSign Marketing, Product, and Design teams use Optimizely to test both web and product features. Plus, the DocuSign Engineering team uses Optimizely’s feature flag functionality to ship most features they deliver. Everyone can work from the same platform, which meant they can scale their programs and share their learnings easily. 
  • Because the whole DocuSign team uses Optimizely to run experiments, they’re generating data from across the customer lifecycle. All this data allows them to truly understand not only their current customers but prospective and lost customers.  

 

All of this happens because DocuSign has built not just a culture of experimentation but a strong experiment planning culture. All of the teams’ testing is backed by a clear strategy that includes: 

  • Planning the test and parameters 
  • Developing a clearly refined hypothesis  
  • Choosing a North Star KPI 
  • Achieving cross-functional stakeholder alignment 
  • Running an impact analysis 
  • Selecting a decision framework to take action   

 

Why DocuSign partners with Optimizely for their experimentation program 

Running a program like DocuSign’s starts with a business commitment, but they needed the right partners to bring it to life.

DocuSign began their journey towards their current culture of experimentation over ten years ago. At the time, they were heavily focused on building a website with a ground-breaking conversion rate. They chose Optimizely even back then to test and iterate on their web and commerce flows.

As their company evolved, they decided to grow with Optimizely to onboard more teams for feature optimization and experimentation and even feature flagging. Even better, they’ve reduced the resources otherwise needed for this program because they don’t need in-house engineering resources for experimentation.

 

The results transform day-to-day work for their teams 

As a B2B SaaS organization, DocuSign is most concerned with three KPIs: conversion, expansion, and retention rates.

But to create velocity and stay at the forefront of their category, they’re just as focused on tying every decision they make to powerful data, which allows all their teams to directly tie their work to business value.

The results across the business speak for themselves and are transformative for work flows.

As individual teams, DocuSign are: 

  • Not only hitting KPIs but understanding how they got there & tying it back to individual contributor and team work 
  • Creating real velocity to launch and ship faster through a data-driven, experimentation culture 
  • Building product and marketing roadmaps & making business decisions based on clear results 

Replicate DocuSign’s experimentation program in 5 steps 

Remember how DocuSign carefully plans every experiment and their underlying experimentation strategy serves as a foundation for every test they run?

Take another step back and there’s another framework they used to get where they are. And it’s the same framework that can help you set up a long-lasting program of your own.

According to Anjali, here’s the framework she used to build their experimentation program: 

  1. Get executive sponsorship. 
  2. Align with all your cross-functional partners. 
  3. Establish program-level goals and OKRs (like velocity, win rate, impact) 
  4. Create a test planning strategy and program 
  5. Build a test and learn culture 

Will 2024 be the Year you change everything (with data)? 

Check out our new report, The Evolution of Experimentation, to learn more about how Optimizely customers have run over 127k experiments and turned practitioners into champions. 

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