In the landscape of podcast advertising, investors' attention often focuses on major shows. A understandable choice, as these offer consistent numbers and proven reliability in reaching the desired audience. However, this strategy is ignoring a huge portion of the market and, with it, potential extraordinary returns.
The paradox of numbers in podcasts
According to the PPB report for the third quarter of 2024, the monthly podcast audience in the United States reached an impressive 125 million listeners. However, most of the advertising budget is directed towards a small group of high-level shows, leaving 75% of the market uncovered. This means that brands are missing the opportunity to reach millions of listeners on smaller but equally engaging platforms.
The podcast reach curve
Podscribe, through its first "Podcast Reach Curve," highlighted how total audience coverage would require a monthly volume of 1.25 billion impressions. A figure that goes well beyond current average budgets. This shows that the "ceiling" of podcast potential is much higher than initially thought.
Opportunities for smaller brands
For companies with limited web traffic (0-1 million visits per month), podcasts represent a unique opportunity. Studies show that these entities can achieve an average increase of 62% in conversion events, such as site visits or purchases. This demonstrates that podcasts are not only a scalable channel but also one of the most efficient in terms of return on investment.
A new vision for podcast advertising
Shifting focus from major shows to medium and small-sized ones can pave the way for more authentic communication and a direct connection with highly loyal niche communities. For marketers, this is an opportunity to experiment with creative formats and build a distinctive brand identity in an increasingly fragmented market.
Conclusion
The key to fully exploiting the potential of podcast advertising is to adopt a broader vision. Thinking beyond the most well-known names and investing in the "hidden gems" of the podcast world can bring incredible results, both for large brands and emerging companies.
Data source: podscribe.com
