Auddia Inc. Announces Positive User Performance Metrics and Announces New Superapp Features for faidr, Its Commercial-free Streaming Radio App
October 19 2022 - 7:00AM
via NewMediaWire –
Auddia Inc. (NASDAQ:AUUD) (NASDAQ:AUUDW)
("Auddia" or the "Company"), developer of a proprietary AI platform
for audio and innovative technologies for podcasts that is
reinventing how consumers engage with radio, announced today
positive user data with costs-per-install (CPI) through Q3
continuing to decline as the Company gains visibility to reaching a
CPI below $2 as user adoption and organic customer referrals
increase.
Auddia is continuing to execute on the process of optimizing the
user experience, improving performance metrics, and quantifying
subscription conversion rates in preparation for providing 2023
revenue guidance with Q3 filings in mid-November. The Company is
currently conducting its second test of subscription conversion
rates after the first test saw an 8.5% subscription conversion
rate, exceeding internal expectations of 5%. Auddia is hoping to
exceed 8.5% with the most recent test, which concludes on November
9, 2022. After November 9, all current and future users will have a
30-day trial period followed by a requirement to subscribe to enjoy
the premium experience of automated skipping and access to premium
content such as Discovr and faidrRadio.
The Company has also seen continued improvement in key consumer
use metrics achieving 7- and 30-day retention rates that now rank
in the top 10% of all music and entertainment apps. To drive
continued improvement across all key metrics and to optimize
subscription conversion rates, the Company is adding podcasts and
exclusive original content to faidr. By the end of the year,
faidr listeners will be able to listen to and follow podcasts in
the app and enjoy faidrRadio, featuring exclusive audio
programming only available to subscribers.
“There has been very little innovation to music streaming since
the advent of Pandora, Spotify, Apple Music and other me-too
streaming properties over the past decade. Since the business model
is challenged by expensive music rights contracts, virtually every
legacy streaming player is pursuing additional audio content such
as podcasting in an attempt to secure margin and be positioned as
an audio superapp for their users,” said Jeff Thramann, executive
chairman of Auddia. “We believe faidr represents the most
innovative technology and differentiated listening experience to
hit the streaming music scene in the past ten years. Auddia is the
only Company providing consumers the opportunity to listen to every
major AM/FM radio station in the country with complete control over
the listening experience.”
“With faidr, consumers can eliminate commercials and skip songs
on their favorite AM/FM stations for the first time. Many people
don’t realize that AM/FM radio still dominates audio listening from
a time-spent-listening perspective. We are addressing this large
audience with a highly differentiated listening experience that
supports very favorable economics. By adding basic podcasting now,
and ultimately our innovative Vodacast improvements to podcasting,
we are taking our own first steps towards an audio superapp. The
key last component for us to round out our superapp is a
commoditized me-too music player. In contrast, the legacy streamers
need to find some type of highly innovative and differentiated
experience that supports strong margins similar to what we believe
we have already created with faidr which is a very difficult
challenge to overcome. We are positioned strongly in the space,
lead with high-margin innovation and differentiated experiences
first, and then layer in the me-too commoditized music streaming
experiences to cover all things audio to all
listeners.”
“faidr’s audience prefers choosing what they want to hear on
AM/FM radio streams. The app launched in February and, according to
AppsFlyer data, faidr is already performing in the top 10% of music
and entertainment apps for retention,” said Michael Lawless,
Auddia's CEO. “This is particularly encouraging given that mobile
app strategies to optimize retention have not yet been implemented.
As those strategies are integrated into our marketing efforts, we
expect retention to have a meaningful uptick. By adding podcasts
and faidrRadio content, we’re empowering listeners with more
choices while supporting our partners and independent music
creators. We expect these content strategies to also have a
significant impact on retention improvement.”
In addition to adding podcasts and original content to faidr,
the Company announced its Discovr program in April to give
new music artists mainstream exposure to AM/FM radio listening
audiences. This represented Auddia’s entrance into the indie
distribution space which is the fastest growing segment of the
music industry. As partners of faidr, Discovr artists are added to
radio station playlists, they receive listening data, and payment
for every play. The phase 1 launch of Discovr centered on three top
radio formats, targeting approximately 30 artists, which the
Company exceeded. faidr is currently expanding to other formats
that will be added to the app in early Q1 of 2023.
In addition to indie artists, also joining the Discovr program
is faidrDJ, which rolled out earlier this year. Voiced by radio
veteran Shelby Taylor-Thorn, faidrDJ acts as a welcoming
mechanism and transition in-between station programming and faidr
content that plays during station ad breaks. An integral part of
Discovr, faidrDJ introduces the artists to listeners to provide
more context and boost awareness for their songs.
Visit faidr.com for more. Are you interested in being a Discovr
artist or curator? Click here.
About Auddia Inc.
Auddia is reinventing how consumers engage with audio through
the development of a proprietary AI platform for audio and
innovative technologies for podcasts. Auddia offers two industry
firsts-the ability to listen to any AM/FM radio station with added
personalized content and no commercials, as well as podcasts with
an interactive digital feed that supports deeper stories and
delivers digital revenue to podcasters. Both offerings address
large and rapidly growing audiences with strong purchase intent.
For more information, visit: www.auddia.com.
Forward-Looking Statements
This press release contains forward-looking statements within
the meaning of the Private Securities Litigation Reform Act of
1995, Section 27A of the Securities Act of 1933 and Section 21E of
the Securities Exchange Act of 1934 about the Company's current
expectations about future results, performance, prospects and
opportunities. Statements that are not historical facts, such as
"anticipates," "believes" and "expects" or similar expressions, are
forward-looking statements. These forward-looking statements are
based on the current plans and expectations of management and are
subject to a number of uncertainties and risks that could
significantly affect the Company's current plans and expectations,
as well as future results of operations and financial condition.
These and other risks and uncertainties are discussed more fully in
our filings with the Securities and Exchange Commission. Readers
are encouraged to review the section titled "Risk Factors" in the
Company's Annual Report on Form 10-K for the year ended December
31, 2021, as well as other disclosures contained in the Annual
Report and subsequent filings made with the Securities and Exchange
Commission. Forward-looking statements contained in this
announcement are made as of this date and the Company undertakes no
obligation to publicly update or revise any forward-looking
statements, whether as a result of new information, future events
or otherwise.
Investor Relations:Kirin Smith, PresidentPCG Advisory,
Inc.ksmith@pcgadvisory.comwww.pcgadvisory.com
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