Podcasts are often forgotten by influencers, who tend to operate on Instagram, YouTube, or a dedicated blog. As a result, there is less competition. And yet, there is indeed a demand.
Situation with podcasts in the United States
Let’s get right to the point: podcasts are a huge hit in the US! If you’ve any doubt, just look at the numbers: in 2017, podcast advertising revenues already represented no less than 313 million dollars, and should reach 659 million dollars in 2020 (579 million euros, more than half a billion!). So we’re talking about growth of 110% in 4 years.
“The strong growth figures show the recognition by advertisers: they consider podcasts as a powerful platform to reach and engage audiences.Anna Bager, Internet Advertising Bureau
The uses of podcasts by influencers in 2018
But where do these revenues come from? For the most part, advertising in podcasts quite simply consists of a spot played by the host. An influencer can therefore be paid for this placement produced in their weekly appointment with their audience.
Not all podcasts are equal! The most promising ones according to the IAB are as follows (the number in brackets indicates the share of advertising revenue captured by the podcast segment
- Arts and Entertainment (17%),
- Gadgets and technology (15%),
- News and Politics, Social Issues (13%),
- Business (11%).
This is another possibility for an influencer who doesn’t necessarily want to get into podcasting: be invited to an existing podcast to talk about their chosen theme!
The future of podcasts for influencers in 2019
A sector that’s still hasn’t found its business model
You think the prices in influencer marketing are often opaque, be it on Instagram or for sponsored articles? Well, hold on to your hats: here come the podcasts, the wild-west of pricing. Don’t expect any trend, consistency, transparency: every podcaster practices their own prices.Podcasts are a new medium for influencers but the costs for advertisers are not yet standardized. Click To Tweet
Typically, three types of spots are offered by a podcaster to advertisers:
- Pre-roll: an ad from 15 to 30 seconds at the beginning of the episode,
- Mid-roll: a 1 minute ad in the middle of the episode,
- Post-roll: a commercial of 15 to 30 seconds at the very end of the episode.
The same visibility from one podcast to another can cost you 500 or 5000 euros. Better so to do a benchmark!
Opacity doesn’t stop at cost, it is also true for income. Indeed, it’s almost impossible for an advertiser to accurately determine the ROI of a spot in a podcast. Why? Because the podcast won’t generate direct sales. On the other hand, it’s a formidable boost for brand awareness.
The advent of influencers on this new medium
Influencers are creators. And while Instagram or YouTube are overcrowded, they’re finding a new medium with podcasts to express their creativity, connect with their audience, and of course (never forgetting the essential), generate new sources of revenue.
Their incursion is all the more welcome as influencers are invited to shake up the traditional model of the ad spot, imagining more creative partnerships with brands, as they have already done on blogs or social networks.