Why Is AI Audio Platform Auddia Stock Gaining Today?

Author: Nabaparna Bhattacharya | August 20, 2024 09:19am

Auddia Inc. (NASDAQ:AUUD) shares are trading higher on Tuesday.

The company announced the launch of faidr 3.1 with product improvements aimed at driving enhanced user metrics to support increased subscription revenue.

Jeff Thramann, Executive Chairman of Auddia, stated that the company’s primary objective since launching faidr has been to enhance the app and its features to improve user metrics and achieve a favorable return on advertising spend.

He noted that the cost of acquiring a free tier install of faidr indicated strong consumer interest in the app’s commercial-free AM/FM radio streams.

“To obtain the level of growth that transitions this consumer interest into meaningful revenue, the company has been focused on adding new capabilities and more value to faidr to convert this consumer interest into retained users at rates that can drive significant revenue from subscribers,” Jeff Thramann added.

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With Forward+, consumers can skip entire content segments like chapters or ad breaks with a single press of the forward button, eliminating the need for multiple presses.

The Seamless feature, available exclusively on partner podcasts, allows users to automatically skip ads through a subscription tier that shares revenue with the podcast creator.

The company has recently unveiled its first podcast partner for this subscription-based Seamless offering.

“We expect to see continual improvements in user metrics that form the basis for driving meaningful subscription revenue,” said Theo Romeo, Chief Product and Marketing Officer for Auddia.

The company anticipates that faidr 3.1 and subsequent enhancements will lead to an expanded user base and increased subscription revenue.

Price Action: AUUD shares are trading higher by 47.8% to $1.69 premarket at last check Tuesday.

Photo via Shutterstock

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Posted In: AUUD