Hello all,
In the present day we’re mixing it up a bit. First off, I’ve a post-Podcast Upfronts Q&A I performed with SiriusXM’s Lizzie Widhelm and Scott Walker. Each Widhelm and Walker are part of SXM Media, the large advertisements operation that powers SiriusXM, Pandora, SoundCloud (by means of a partnership) and the SiriusXM Podcast Community (which incorporates in-house studios like Crew Coco and companions like Crooked Media).
Following that, I’ll have some extra information on Crooked Media’s new subscription providing, a particularly podcast-inspired Peacock present, in addition to some key strikes and bulletins.
SXM Media leaders discuss how podcast advertisements are nonetheless maturing
Each Widhelm and Walker gave me an opportunity to choose their brains about podcast advertisements — in addition to what makes corporations shrink back from them. The primary factor on my thoughts: regardless of its speedy development, podcast advert income makes up a really tiny share of the whole digital advert spend in america. Podcast advert income within the US reached $1.8 billion for the primary time final yr, out of $209.7 billion whole digital advert spend. The 2 execs helped to shed some mild on what it’ll take to shut that hole.
Widhelm is at the moment the senior vice-president of B2B Advertising and Advert Innovation, whereas Walker serves as senior vice-president of advert platform for each SXM Media and AdsWizz. Here’s a calmly edited transcript of our dialog.
This yr’s tender advert market is a problem for media, tech, and plenty of industries — however podcast advert income remains to be rising. However as was talked about a number of instances (…throughout Podcast Upfronts), it’s nonetheless not on tempo with listenership. Why precisely is that?
Widhelm: The quantity of spend doesn’t correlate to the quantity of viewers, however it’s selecting up. I spoke a bit bit to this off-the-cuff throughout our characteristic on the Upfronts. It’s not at all times been simple to purchase podcasting, transacting throughout a bunch of companions and a bunch of reveals. We’ve been exhausting at work constructing advert tech to permit for direct sale transactions and programmatic transactions. And we’re main — so if we’re main, everybody else, you realize, remains to be behind us. One factor is simply the transaction and how briskly you are able to do it. Podcasting remains to be maturing there.
The opposite piece of it’s simply entrepreneurs having to take a pause. It’s a completely different format. It’s a extra genuine connection to the viewers. None of it’s pre-recorded, like a music that you simply hear over and over. A present is exclusive, so with regard to how an advertiser matches in that area — they’re simply considering a bit bit more durable about how they do this, and in a approach that advantages the listener expertise. That type of comes again to the artistic session [..for podcast ads]. So I see it a bit in a different way. I feel we are going to see actually sturdy numbers within the area, however it’s simply maturing a bit bit slower as a result of everybody’s attempting to be very intentional about how they make investments right here.
We just like the pattern the place entrepreneurs are shifting from solely present degree advert buys into teams of reveals they’re shopping for programmatically. They’re extra comfy with artistic codecs and going past host-read podcast advertisements. I’m bullish on the pattern […of podcast ad revenue] persevering with to point out will increase.
However advertisers would actually need to begin spending if they’re ever going to catch as much as viewers dimension.
While you evaluate advert income for podcasts to straightforward radio, what have you ever observed?
Widhelm: Oh, they’re like evening and day. I don’t know the place I’d begin. I’d evaluate podcasting virtually extra to branded leisure. Generally it’s much like what we grew up with, just like the product placement in films. It’s a lot deeper of a connection. The CPMs are increased, the advert hyperlinks may be extra variable. Possibly the one factor they’ve in frequent is typically you’ll have each a disc jockey and podcaster each studying advert copy.
However the leaned-in nature of a few of these […podcast shows] — you’re taking Ashley Flowers for instance, and her viewers and the way obsessed they’ll be a couple of one-hour present, and the way leaned in they’re. They’re not simply channel browsing. It’s only a completely completely different intent behind why somebody is listening. The viewers and the viewers expertise is so removed from terrestrial radio that I’ve bother drawing too many parallels between the 2.
Walker: Simply take into consideration the variations in distribution mechanism, proper. A broadcast that’s “one-to-many” means you need to create programming that appeals to the most important quantity of individuals doable, proper? And in podcasting, one-to-one supply means having the ability to work together instantly with the buyer and having them select what they wish to go deeper into. It permits you an infinite period of time, theoretically, to go deeper right into a type of subject and go way more area of interest by way of the place you focus your vitality as a creator.
The advert load is basically completely different. There may be much more litter and much more advertisements per hour on broadcast radio in comparison with podcasting. The expertise, and measurement and what you are able to do from an advertiser perspective — to essentially perceive tips on how to discover your viewers, attain them successfully, measure, refine and optimize your advert campaigns. To Lizzie’s level, evening and day.
I do know it’s very early days. However regarding the Author’s Strike that’s occurring — it’s possible that it’ll forestall many advertisers from making long-term advert offers with TV networks. Do you anticipate that a few of these corporations will flip to podcast advertisements in its place?
Widhelm: I’ve not had something come up this week. I imply, it’ll be fascinating to see how that performs out and the way lengthy the strike lasts for, positive. However nothing we might verify by way of that pattern really taking maintain.
An analyst throughout SiriusXM’s final earnings name requested about Tucker Carlson and Don Lemon, and why they’d select to host a present fairly than go to linear TV. However out of your perspective, from an advert vendor’s perspective: Do advertisers shrink back from overly political or controversial content material?
Widhelm: I’d say all advertisers have preferences. A yr in the past we rolled out concentrating on and an enormous array of options that permit manufacturers goal the content material that is sensible for them. As an advertiser, we’re within the place which you can like what you want. We’re simply going that will help you discover the viewers that issues to you.
We’ll have the remainder of the Q&A with SiriusXM in Thursday’s subscriber-only concern of Scorching Pod Insider.
Peacock’s Based mostly on a True Story is a couple of pair of true crime podcasters
A TV present a couple of fictional true crime podcast present can work, as Solely Murders within the Constructing proved. Now, it’s properly on its technique to changing into its personal subgenre. Based mostly on a True Story, a brand new sequence by Peacock, tells the story of a financially struggling couple who begin a podcast to be able to nab an area serial killer. The sequence stars Kaley Cuoco and Chris Messina as married couple Ava and Nathan Bartlett. A trailer for the present dropped at the moment, and you may view it right here.
Conservative video platform Rumble is shopping for dwell audio app Callin
Video platform Rumble (a right-wing various to YouTube) introduced it has acquired Callin, a dwell audio app with publishing capabilities. Rumble already publishes podcasts and has a separate podcast class on its web site (it signed its first muti-year podcast take care of Donald Trump Jr. earlier this yr). Rumble’s acquisition of Callin — which permits novice customers to livestream audio or video and file these conservations to publish as podcasts — appears to be a approach to attract in additional customers. First launched in 2021 by co-founders David Sacks (a co-founder of Yammer and former COO of PayPal) and Axel Ericsson, Callin was part of a wave of social audio apps like Clubhouse and Twitter Areas that emerged through the pandemic.
Rumble didn’t disclose the phrases of the deal.
Crooked Media launches subscription service “Mates of the Pod”
Crooked Media debuted a subscription plan for its listeners at the moment, providing its most devoted followers additional perks and content material in change for a charge. The three tiers might be priced at $6.99, $9.99, and $19.99 per 30 days, respectively. Relying on the tier, subscribers will achieve entry to early episodes, bonus content material, Discord teams (which is a thriving on-line group for followers of indie podcasts), swag, and different advantages.
Subscriptions are nonetheless a comparatively new tactic for podcasts, which stay closely reliant on advert income. Wondery, Slate, Pushkin, Stitcher and plenty of different corporations have launched premium packages in recent times. Some podcast listeners (although they’re nonetheless within the minority) are prepared to pay a premium for perks like ad-free or bonus episodes — so it’s smart for Crooked Media to faucet into this viewers.
Strikes, Cash, and Offers
Alison Craiglow (previously lead govt producer of Freakonomics Radio Community) is becoming a member of Recent Produce as govt producer. Craiglow is EPing for Audible’s Within the Room with Peter Bergen, the primary episode of which is being revealed at the moment.
Candice Lim (previously of NPR‘s Pop Tradition Blissful Hour) is becoming a member of Slate as the brand new co-host of web tradition podcast ICYMI. Lim’s first day was yesterday, and her first episode with co-host Rachelle Hampton will air later this week.
Acast is launching a contest for small companies known as “Pod Energy-up” that offers corporations an opportunity to win a $10,000 podcast advert marketing campaign by way of Acast’s self-service platform. Purposes are actually dwell.
Former Spotify exec Teresa Elliott has joined Advert Outcomes Media as its chief income officer. ARM’s Co-Chief Govt Officer Steve Shanks writes: “Together with her in depth expertise within the audio business, forward-thinking outlook, and a powerful file of delivering insight-led options, Teresa brings distinctive experience that matches our dedication to business management.”