How Do You Monetise Podcasting?
How to Get Paid for Talking Too Much!?
For many, podcasting used to be a quirky side hobby, covering topics like knitting or collecting rare Pokémon cards was a labour of love, recording random thoughts and expecting a limited audience – potentially just friends and family… Fast forward to today, and it’s a billion-dollar industry, no longer just a passion project, but a full-fledged media empire where podcasters are cashing in.
In 2021, podcasting tipped into billion-dollar status, and as of 2024, it’s poised to rake in over $4 billion in ad revenue! For context, that’s more than the GDP of many small countries (e.g. most of the Caribbean countries!)
But before you run off to buy your yacht and head over to one of these countries with the podcasting empire you’re about to build, let’s look at the numbers. Podcasting isn’t some magical “get-rich-quick” scheme where you just mumble into a microphone for 30 minutes about your latest dog walking epiphany, and brands start throwing money at you. A strategy is needed, so you need to know the research…
The Marketing Made Clear Podcast
This article features content from the Marketing Made Clear podcast. You can listen along to this episode on Spotify:
First: The Bi-Weekly Grind
The big bucks in podcasting, around 70% of the total ad revenue, go to shows that post regularly, either weekly or bi-weekly. That’s right, you can’t just drop an episode willy-nilly (unfortunate for me given the hiatus I had to take in Aug-Sep – I’m yet to see what the impact of that will be). Consistency is key. Podcasts need regularity for success.
Before you dive straight into the routine of podcasting and trying to monetise it, you’ll need to define and build an audience!
Why?
Because ads get paid on impressions. In other words, the more ears you have, the more advertisers will care about what you’re saying. And the more they care, the more they’ll pay.
Impressions are what drive that sweet, sweet cash!
So How Do You Make Podcast Money? (Short Answer: Ads)
In the land of podcasting, advertising is the golden goose. It lays the eggs. Specifically, it lays 70% of the eggs that fuel this industry.
So here’s how it breaks down, monetisation enthusiasts:
- Host-Read Ads: 55% of the Revenue Pie
These are the bread and butter of podcast ads. You, the podcaster, get to personally read these ads, making it sound as if you really do use that fancy mattress every night or actually enjoy those monthly mystery boxes full of dog grooming supplies. Your listeners trust you, so these ads work off the basis of your trustworthiness and the audiences attraction to you. - Announcer-Read Ads: 40% of the Dough
If you don’t want to awkwardly gush about a product you don’t actually use, these ads might be your friend. They’re professionally read by announcers. Think of them as those moments where the soothing radio voice swoops in, talks for 30 seconds, and swoops right back out, leaving you to continue the riveting discussion on your topic of choice. - Brand-Produced Ads: 3% of the Leftovers
This is where brands put together their own super-slick, highly polished ad that doesn’t involve you, your announcer, or anyone else in your podcasting circle. The problem with these is people have a tendency to switch off – along the lines of “ad-blindness” on digital ads – so I suppose we could call this “ad-deafness”? But people see these more as an interruption and tend to view these with distain.
But Wait, You Don’t Have a Huge Audience Yet? Don’t Panic!
Don’t let this put you off, but Rome wasn’t built in a day, and your podcast is unlikely to blow up overnight.
So, what do you do while your listener count is still somewhere between your “inner circle” and people with too much time on their hands?
Here are some alternative strategies to get the dosh rolling in:
1. Affiliate Marketing
The idea is simple: you promote a product or service on your podcast, and if anyone buys it through your affiliate link, you get a cut. Think of yourself as the podcast version of a matchmaker, except instead of introducing people to their soulmate, you’re connecting them to a £50 pair of noise-cancelling headphones.
2. Premium Content
What’s better than free content?
Paid content.
If your listeners are absolutely obsessed with your witty banter or in-depth discussions, they might be willing to fork over some cash for extra special, VIP episodes. You can lock this content behind a paywall with services like Patreon.
3. Video Monetisation
Got a face for radio but a voice for TV?
No problem!
Repurpose your audio content by recording video versions of your episodes and throwing them up on YouTube. Why? Because YouTube has that magical little thing called AdSense where you can monetise your videos based on views and watch time. And as long as you’re okay with showing your face, this can be a pretty decent revenue stream.
(Pro tip: Don’t forget to smile).
Final Thoughts (and Some Encouragement)
So there you have it, potential podcaster: a crash course in podcast monetisation.
Yes, it’s a grind, and no, you won’t be buying an island tomorrow. But with the right mix of ad revenue, affiliate deals, premium content, and maybe even a snazzy YouTube channel, you’ll be well on your way to turning your musings into moolah.
Podcasting is one part content, one part consistency, and one part creative ways to convince people you love those VPN services you’re always talking about.
Now, go forth and monetise!
