What Is A Podcast?
A podcast is a long-form audio program that is most similar to a talk radio program. However, unlike talk radio, which typically focuses on opinion shows or general entertainment shows like Howard Stern, podcasts come in various formats.
While there are plenty of podcasts that focus on politics, opinions, sports, and general entertainment, the shows follow various formats that would never work on terrestrial or satellite radio.
For example, some podcasts take on a format similar to a documentary movie, while other podcasts could be most similarly compared to a piece of investigative journalism. You’ll also see podcasts for hyper-focused niches like digital marketing, fashion, or cult movies.
What Are the Benefits of Podcast Advertising?
Podcast ads are typically about 15 to 30 seconds long and are usually read by the hosts of the podcasts. The ads are run at the beginning and end of a podcast episode and periodically throughout the episode. In addition, platforms like Spotify or Pandora can dynamically inject their own ads into podcasts if necessary.
Podcast advertising is an effective way to reach a large audience of engaged, targeted listeners. In addition to targeting specific demographics, brands can target listeners based on interests or the specific podcasts that align with their audience.
Podcast ads are also much more flexible than other forms of advertising like tv advertising. For example, if, during a campaign, a brand decided they wanted to update their copy, this would be considerably easier than modifying a TV commercial that is already running.
Here are a few more of the benefits of advertising on podcasts.
High Engagement Rates
One of the most appealing things about advertising on podcasts is podcast listeners’ high level of engagement with the content.
Most people who listen to podcasts do so while driving, exercising, doing chores around the house, or just for entertainment. These people are hyper-engaged in the content.
This high level of engagement leads to a higher likelihood that people will hear your message and remember your brand. The average person only retains about 20% of what they hear, but if they are engaged with the content, that number goes up to 65%.
Podcasts Have a Wide Reach
Another reason podcast advertising has become so popular among brands and businesses is its broad reach.
Unlike terrestrial radio programs, podcasts can be listened to by anyone, anywhere in the world, on-demand. In addition, podcasts will typically be carried by several different platforms like Spotify and Apple Music, ensuring that just about anyone with a smartphone, tablet, or computer can access a podcast.
Podcasts are also increasing in popularity every year. As more people begin to learn about the massive world of podcasting, not only do existing podcast audiences continue to grow, but new podcasts start to emerge, attracting new audiences. According to Statista, U.S. podcast listeners could increase from 75.9 million to 100 million listeners in the U.S. by 2024.
Podcast Advertising Is Affordable
Another great benefit of podcast advertising is that it’s relatively affordable and has pricing options for businesses of all sizes. Typically, podcast ads are billed by the total number of delivered impressions, and your business could advertise on smaller, niche programs that don’t have as high of a price tag as, say, The Joe Rogan Experience.
Another reason that podcast advertising is more affordable than other types of media is that podcasts typically have much lower production costs than other media types. The price is not reflective of the audience size, quality, or engagement at all.
When you engage The Remnant Agency for your podcast advertising campaigns, we can secure your ad space at a fraction of the price by buying remnant ads. Remnant ad spaces are simply ones that a platform could not sell for various reasons, so at the last minute, they will let these spaces go at a fraction of their regular price.
Remnant advertising allows you to run your ads for a significantly more extended period of time and reach a considerably larger number of people. This is how we can show our clients a substantially larger ROAS than they are used to with traditional advertising methods.
Podcast Advertising Is Effective
Podcast advertising is effective for a few key reasons. First, as we’ve mentioned previously, a podcast audience is considerably more engaged than a traditional radio audience. When you advertise on a podcast, you can feel confident that the majority of the listeners will hear your message.
Podcast ads are also effective because of how they are delivered. If the audience didn’t like the host or hosts of a podcast, it’s not very likely that they’d be listeners for long. When your brand’s message is delivered by someone the audience already likes and trusts, it helps to establish trust in your brand more quickly.
Podcasts will also typically inject ads at the beginning, end, and throughout the show, so the listeners are exposed to your messaging several times in a short period. Even better, if the listener is binging multiple episodes at once, they may hear your ad 10+ times in a single sitting.
How Much Does Podcast Advertising Cost?
There is no set cost for podcast advertising. Rates can vary depending on several factors, including:
- Show Popularity:
The more popular the show, the higher the advertising rates are. This is because popular shows have a larger audience, which means more people will hear your ad.
- Number of Placements:
The more times you place your ad, the higher the cost is because you’re paying for multiple instances of exposure to your audience.
- Target Audience:
You may have to pay more for your ad if you target a specific audience. This is because you are narrowing your target market and reaching fewer people.
- Production Costs:
If you produce your own ad, you have to pay for the production costs. This includes the cost of recording and editing your ad.
- Advertiser’s Budget:
Your budget also affects the cost of your ad. The more you are willing to spend, the more exposure your ad will get.
Podcast ads are billed on a CPM or cost per 1000 impressions. On average, the CPM to advertise on a podcast is between $12-$25.
Elements of a Good Podcast Ad
Creating a good podcast ad is more than just regurgitating your brand’s selling points in a 30-second window. Here are some key elements to consider when planning an effective podcast ad campaign:
Before creating your ad, you need to have a good understanding of who your target audience is. This helps determine your ad’s tone, content, and overall message.
For example, the same product may be advertised on both left-leaning and right-leaning political podcasts. However, the advertiser would want to make sure to tailor the message of each ad specifically to each audience to ensure that they connect with it.
What do you want your ad to achieve? Do you want to increase brand awareness, drive traffic to your website, or generate leads? Having a clear objective helps you create ad copy that’s focused and effective.
When coming up with objectives, think about what action you want your target audience to take after hearing your ad.
How much are you willing to spend on your ad campaign? This affects the size and reach of your campaign, so it’s important to consider your budget before getting started.
The budget also determines the production value of your ad. If you have a limited budget, you may want to consider recording your own ad rather than hiring a professional voice actor.
What do you want to say with your ad? What are the key points you want to communicate? What value does your product or service create for the end-user?
Keep your message simple and focused, and make sure it aligns with your overall objectives.
The call to action will be your most important element because, without a good call-to-action, you may miss out on conversions.
What do you want your target audience to do after hearing your ad? Make sure your call to action is clear and concise. It should be easily achievable, such as visiting your website or signing up for your mailing list.
Popular Podcast Advertising Formats
There are a few popular podcast advertising formats that you can use to get your message in front of potential customers. Here are a few of the most popular options:
This form of podcast advertising is typically a 15 or 30-second slot that plays before the show’s start. This is a great way to get your message in front of listeners right away, and it’s relatively unobtrusive.
A mid-roll podcast ad is usually 30 seconds long and plays at some point during the show, typically around the halfway point. If you want to get a little more time with your audience, this is an excellent option, but it can be more disruptive than a pre-roll ad.
A post-roll ad is similar to a pre-roll spot, but it plays at the show’s end. This is an excellent option if you want to make sure your ad is the last thing listeners hear, and it can be an excellent way to drive traffic to your website or online store.
The downside is that some listeners might click off before hearing your ad.
Sponsorship is typically an ad that’s integrated with the show you’re advertising on. The podcast hosts will promote the product themselves instead of cutting away to a pre-recorded advert. This is a great option if you want to get a lot of time with your audience, but it can be more expensive than other options.
Product placement is a form of advertising where you place your product in the show itself, typically as part of a conversation. This can be a great way to get your product in front of listeners, but it can be costly and can be challenging to arrange.
As you can see, there are many options for podcast advertising. Which one is right for you depends on your budget, goals, and audience. If you’re unsure which option is best for you, reach out to us. We can help you create a custom podcast advertising campaign that meets your needs and budget.
How Can We Measure Podcast Advertising?
At The Remnant Agency, we understand that one of the main concerns for any advertising campaign is its effectiveness. How can we be sure that people are actually listening to the ads? More importantly, how can we ensure they’re taking action after hearing the ad?
There are a few ways to measure podcast advertising. We can track downloads, listenership, and engagement.
One way to measure podcast advertising is by looking at the number of downloads an episode gets. If we see a spike in downloads after an ad airs, we can assume that people are interested in what’s being advertised.
Another way to measure podcast advertising is by looking at the number of people who actually listen to the ad. This can be done by looking at analytics from the hosting platform.
Finally, we can measure engagement by looking at how people interact with the ad. For example, if we see an increase in website traffic after an ad airs, we can assume that people are taking action after hearing the ad.
Maximize Your ROAS With The Remnant Agency
If you’re looking to reach a broad, engaged audience with audio advertising, podcasts could be the perfect medium for you.
When you work with The Remnant Agency, we will facilitate every step of the process, from creating your ads and selecting your audiences to launching the ads and measuring the results. Best of all, we can secure your advertising inventory at a fraction of the typical cost by buying remnant ad space, so we can run your ads for a longer period of time, ultimately reaching far more people.
Contact us today to learn more about our podcast advertising services.