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Podcast Advertising Resources

6 Reasons Why Your Brand Should Be Using Podcast Advertising


“Podcast listeners really are the holy grail advertisers hoped they’d be.” Wired

Countless studies have found podcast listeners to be an exceptionally engaged and responsive audience. If your brand hasn’t tapped into podcast advertising yet, this channel is the perfect medium for increasing brand awareness amongst a powerful and influential consumer base.

Here are 6 key reasons why your brand should invest in podcast advertising.


1. Podcast Advertising is Resilient

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Many industries have felt the financial impact of COVID-19 in 2020. On the whole, the advertising industry has been no exception. However, despite an estimated 10% decrease in year over year ad spend in the U.S. (2020 vs. 2019), podcast advertising continues to grow, offering advertisers a means to reaching consumers that will deliver a strong return on investment. 

This year, the IAB found that podcast advertising has managed to turn out a projected 2020 growth rate of 14.7% despite the widespread toll of COVID on media spending and returns.


2. Podcast Content & Listenership Continues to Grow

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Yes, that 14.7% projection is a downgrade from the IAB’s pre-pandemic expectations. They had originally predicted 29.6% growth in 2020, 55% growth in 2021 and 36% growth in 2022 (these figures were based on podcast advertising’s 2019 growth to $708 million, or 48% year over year).

However, according to Zoe Soon, VP of the Mobile Center of Excellence at IAB, 2020’s decelerated growth is still a net positive given how the pandemic has decimated other mediums.

“Despite COVID, which has slammed everyone, we’re still seeing growth in podcast advertising,” Soon said. “It’s definitely a resilient media.”


3. Podcast Advertising is Adaptable

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One reason for podcast advertising’s strong performance in 2020 may be its agility and flexibility as compared to other forms of ad media. This allows brands to make a quick shift in ad messaging — a near-essential offering in a rapidly changing and unpredictable world.

Furthermore, podcasting offers the high-performing option of host-read ads. This gives each podcaster the ability to deliver the perks of your product in their own words, adapting your brand’s message to the version that will resonate most with their niche audience.

Podcasts become popular by understanding their audience. According to Scott Lipps, Founder of Lipps LA, “Because of the episodic nature of podcasts, hosts can implement feedback from their listeners about the content, format, and guests faster than, say, an author or a newspaper, which shows the listeners that they are valued and makes them loyal to the brand.” 

That’s good news for advertisers. If you or your target audience is dissatisfied with your first host-read ad campaign, it’s easy to adapt your messaging instead of taking a loss on a less-than-stellar prerecorded ad campaign.


4. The Intimate Host-Listener Relationship

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A 2019 study conducted by the University of Florida and Futuri Media found that podcast listeners have a high level of trust their podcast hosts, prefer host-read ads, and look for creative, informative, humorous, and integrated podcast experiences. When it comes to podcast listeners, the study found, “they want to listen to hosts who are authentic, feel like a friend, and share the users’ passions and beliefs.”

Because of this level of dedication, podcast advertisers can feel a high level of confidence that their ad will actually be listened to by the intended audience. A Midroll study found that 90% of all respondents listened to a podcast’s target ad without skipping or fast-forwarding through it. 

Since podcasting’s host-read ads are integrated into the flow of the show, it means listeners rarely tune out or skip through them. Instead, they keep listening so they won’t miss out on anything the host has to say.

According to Lisa Laporte, CEO of The Artisanal Agency, “Listeners often feel close to the hosts of their favorite podcasts, which means they trust host recommendations on products and services.”


5. Podcast Listeners Are Highly Engaged

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Whereas other forms of advertising show poor brand recall, podcast advertising has a remarkable ability to make a lasting impact on the listener.

For some perspective, a HubShout survey on digital ads found only 7.3% of respondents who remembered reading a sponsored article could remember the sponsor, while 62% of respondents could not remember who sponsored it, or even what it was about. 

However, a Midroll podcast advertising study found that podcast ads are highly sticky — not only in leading the listener to remember a brand name, but also in remembering important details from the ad reads. 

A whopping 67% of respondents in the study were able to name an actual product feature or specific promotion mentioned in the podcast ad.

Another study found that podcast ads have 4.4x better brand recall than display ads on other digital media platforms.


6. Podcast Listeners are a High-Value Audience

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Several other studies have cemented podcast advertising’s reputation as a high-value advertising platform.

The impact of podcast advertising doesn’t end at brand awareness. An estimated 63% of podcast listeners have made a purchase after hearing a podcast ad.

Plus: a recent study for that podcast ad campaigns resulted in an average 10x lift relative to print, digital & TV.

Podcast listeners have major consumer power. They are 45% more likely to have a college degree, 68% more likely to have a post-graduate degree, and 45% more likely to have a household income of over $250,000 than the average U.S. population.


The takeaway? If you’re looking for a way to reach your target audience with messaging that sticks, look no further than podcast advertising.

Ready to learn more about what podcast advertising could do for your brand? Schedule an intro call with Ossa’s advertising team.

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