Revenue from podcasting is growing. It could hit $1 billion by 2021. The report shows that revenue from podcast advertising has been growing steadily over the last few years. With such handsome returns, shows are rushing to cash on this enticing form of advertising.
Furthermore, the number of people listening to podcasts and the number of hours spent on podcasts are also growing. Edison’s report indicates that over half of the American population listens to a podcast each week. The largest number of listeners comes from the age bracket of 18-34 years. It is this age group that is also interested in buying products online and streaming a lot of content from the internet.
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What Is Podcast Advertising And How Does It Differ From All Other Forms of Advertising?
Podcast advertising is a relatively new channel of customer acquisition. It, therefore, breeds confusion as businesses and entrepreneurs seek to only invest in advertising that guarantees value. Understanding what it means to advertise on a podcast will help you make a better advertising decision.
- The meaning of the term advertising is rather obvious, but a podcast may be confusing. A podcast is an audio show streamed or downloaded online. An advert on a podcast will involve a live reading lasting approximately 60 seconds. However, the duration will depend on your budget and podcaster preferences.
If podcasts are a new way to advertise, why would any business put money in an untested platform? Well, the secret is to tap into a fast-growing channel that is offering an excellent return on investment. Which serious investor would miss a chance to talk to more than half of the American population and 70% of people between the ages of 18 and 34 years? The low budget required to advertise on podcasts will allow you to spread your ad in 3 or 4 podcasts to enhance your results.
Podcasts feature recorded audios as opposed to ‘live’ presentations like radio. Since the advert is related to the content of the podcast, listeners accept the ads easily. Hence, it creates a better impact on your ad and excellent ROI.
Why Should You Choose A Podcast Ad?
The basics of advertising are reaching your target customers and getting the best return on investment. Is there a guarantee that a podcast ad will deliver on these two goals? Let us look at the benefits of placing your ad on a podcast:
- You ride on the trust of the host to get to your clients– podcast listeners return to a channel because they love the content and host. It is this host who reads your advert as opposed to a stranger or model on a radio or television ad. The already existing trust between the host and listeners makes it easier for people to purchase your goods or order the services.
- Podcasts ads do not come with breaks– a break during a radio or television program gives the audience a chance to find relief. The ads run during breaks feel like a third party shouting to an audience about his or her products. A podcast ad involves the host reading through the announcement as a natural part of the show. The style is more convincing compared to traditional advertising.
- Podcasts have a higher conversion rate– according to Midroll, one of the most prolific podcast hosts, 70% of people who listen to podcasts will buy the advertised goods at one point in their listening experience. The percentage has become one of the most impressive conversion rates in the market today.
- Listeners are passionate about the podcast- since the podcast ad does not involve breaks, listeners are enthusiastic about its placement. The listeners will usually follow through the details because they do not want to miss on any part of the podcast. Such behavior will turn them into informed and passionate brand ambassadors. Once they buy your product, they are likely to return with friends and relatives for more sales.
- Podcast advertising is an endorsement- podcasters are personalities with a following. The listeners consider the hosts to be authorities in different areas. As a result, their words count when the listeners are making decisions. The voice acts as an endorsement of your product for the listeners to buy.
- It is an affordable yet effective mode of advertising- the cost of a podcast ad ranges between $15 and $25 per minute. It ranks among the lowest advertising prices in the market today. When looking at ROI, podcast advertising is one of the best decisions to consider.
Podcast ads appear to be a game-changer for brands and professionals. However, the good results promised will only come from prudent choices when preparing your advert.
Factors to Consider When Choosing a Podcast to Advertise on
With hundreds of thousands of podcasts and millions of podcast episodes, how do you identify the best podcast to advertise your brand? Here are a few tips that should get you started.
1. Identify the Targeted Demographic
The first step when choosing a podcast is to know your target market. The podcast must target the same market you seek to sell your products or services. It would be suicidal to advertise a product for teens on a podcast targeting seniors, regardless of its popularity.
The following fundamental questions will make it easier to choose a podcast to place your advert.
- What product do I want to sell?
- What brings the target customers to the podcast I will be using to advertise?
- How is my competitor advertising similar products to the same target market?
- How does my audience relate to the podcast’s targeted listeners?
Such questions are answered by a survey that targets such elements as the persona of the audience, buying trends, and information consumption preferences, among other factors. Understanding the demography will help you to craft a customized ad that delivers the best ROI.
2. Make Your Best Proposal
The essence of any advert is to make a value proposition that the target market cannot get anywhere else. As such, you must know your brand or product so well that you can quickly identify the elements that make it unique.
This knowledge is essential because of two factors.
- It enables you to develop an irresistible ad. The ad makes the product to be irresistible.
- You create tenets to use as you asses the quality of return from your investment. It will be easier to track the effectiveness of your message too so that you adjust it to fit market realities.
The value proposal combines with the endorsement of the host to generate better returns.
Like a standard advert, the podcast must show the best side of a product. The podcaster work is mainly to enhance acceptance.
3. Review Podcast Statistics
Analyzing Podcast statistics give you an idea of the overall performance of your target partner in the podcast industry. Facts provided by podcast statistics will determine the best podcast channel to advertise.
Here are elements of the statistics that should guide your podcast ad buying decision.
- What is the demography of listeners?
- How many people listen to the podcast?
- How do listeners engage with the content on a podcast?
- What does the research say about their buying decisions after listening to a podcast?
An independent evaluator should provide statistics. For instance, host platforms highlight the most listened-to, most shared, podcasts with a large social media following, and such other factors. They give you unbiased data that will guide you to make the best investment decision.
4. Consider The Price
Podcast advertising comes at a price. The price will depend on several factors including the popularity of a podcast, length of the ad, and any special requirements you might request for the podcaster, like sharing on social media or offering promotional materials to listeners.
Choosing a podcast for your ad must be guided by a balance between your desired results and the budget. The podcast should provide reasonable exposure and the possibility of sales.
Different podcasters will quote varying prices. You should negotiate reasonable terms so that the podcast will deliver the best value for money.
5. What Is The Reputation Of The Podcast
Podcasts and podcasters have a reputation based on the content they handle. As a brand, you also have a reputation that can easily be damaged by association. As a result, you must identify a podcaster whose association would not be a reputation burden.
The sensitivity of podcast endorsement could have a lasting impact on your brand. Listeners, potential clients, and the general public have perceptions about podcast hosts. Though a podcast may be popular, its reputation must be intact and one that you would associate comfortably. The reputation might be too expensive to repair once it is damaged.
Preparing For A Podcast Advertising
Having been convinced why you should advertise on a podcast and the factors to consider, it is time to create the ad. The advert will aid in communicating the intended message and bring potential clients to your brand.
Here is a professional guide on how to create the best podcast advertisement.
- Discuss the ad with the podcaster– a meeting with the podcaster helps you to understand their requirements and air views on your preferences. You will also discuss details on the budget, promotional materials, social media engagement, and such other factors that form part of the ad.
- Write the script for the ad– podcast ads integrate alongside other contents of a podcast. The mode of integration will depend on the podcaster but forms a part of the discussion during initial engagement. The script must capture the essential details of the product you are selling. The podcast ad script is usually a blend between the ideas of the advertiser and those of the advertiser. It is, therefore, a give-and-take situation to meet the demands of each party.
- Approve the advert– review the podcast with the ad and approve the placement of your ad. Remember that once the podcast is released, it is difficult to control its impact effect. You should, therefore, only approve an ad that meets your expectations.
The best podcast advertising campaign or package tends to come with reasonable key performers indicators (KPIs). Thus, base your expectations on your budget.
With professional preparation, you’ll have the chance to reach millions of people listening to podcasts daily.