Platforms such as Spotify and Apple offer monetization solutions for creators of audio programs, but with varying degrees of success. We take a closer look
Podcast makers are trying to capitalize on the popularity of the format by offering paid subscription packages for such audio content
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You can't have missed the fact that podcasts are a hot commodity. Recent statistics suggest that there are 120 million "podcast listeners" in the US, a number that has increased by nearly 30% over the last three years and which is projected to reach 160 million by 2023. The pandemic has a lot to do with it. In pre-pandemic times, people used to listen to podcasts to entertain themselves in the car or on public transport. Now they've made their way into our homes along with smart speakers, and it's not uncommon to dive into one of these pocket-sized audio formats while cooking, gardening or even before bed.
Last November, Spotify announced a new feature that allows podcast creators to charge for some of their programs. It has been rolled out in the US and in over 30 countries around the world. All publishers can use it, regardless of the audience level of their audio program. They can put together their own paid subscription offer, which starts at $0.49 per month and goes to $150. Subscribing listeners can find exclusive programs or listen to their favorite podcasts in preview mode and without commercial breaks.
Others have tried before them to diversify the monetization opportunities of podcasting, between advertising spots, sponsorship and subscriptions. Luminary is a perfect example. The company launched in April 2019 with the ambition to show that "podcasts don't need ads," as it proclaimed on Twitter at the time. It quickly had to face some hard economic facts: only 80,000 listeners had signed up for its $4.99 monthly paid subscription, a year after its launch. This was despite a paid offering centered around exclusive content, with celebrities like actress and producer Lena Dunham and talk show host Trevor Noah.