Podcasts are big business. In this post-Serial audio world, journalists, celebrities, academics, and yes, anyone else who owns a mixing desk and a microphone now has a regular show. Podcast advertising is scaling so quickly that the US user base has doubled in the last 4 years. The platform is generally high; a few years ago, podcast ad revenue was projected to surpass the US $1 billion mark by 2021. That prediction came true, according to the Interactive Advertising Bureau.
In its sixth annual US Podcast Advertising Revenue study released, the org said revenue jumped by 72% yearly to reach $1.4 billion last year. It’s forecasted to surpass $2 billion by the end of this year and more than $4 billion by 2024. Here are some of the US Podcast stats you need to know.
US Podcast Ad Spending Stats Highlights
- US Podcast Ad Revenue To Reach $2 Billion in 2022 and Top $4 Billion by 2024
- Podcast ad spending in the US is expected to reach $1.74B in 2022, a 23% increase from 2021.
- Podcasts will account for more than one-fourth of digital audio ad spending.
- Podcast ad spending is expected to hit $354 million.
- More than half(46%) of advertisers said they planned to increase their podcast ad budgets in 2022
On This Page
- 1 US Podcast Ad Spending – Key Stats
- 1.1 US Podcast Ad Revenue To Reach $2 Billion in 2022 and Top $4 Billion by 2024
- 1.2 Podcast ad spending in the US is expected to reach $1.74B in 2022, a 23% increase from 2021.
- 1.3 Podcasts will account for more than one-fourth of digital audio ad spending.
- 1.4 Podcast ad spending is expected to hit $354 million.
- 1.5 More than half of advertisers said they planned to increase their podcast ad budgets in 2022
- 2 Other US Podcast ad Stats
- 3 Conclusion
US Podcast Ad Spending – Key Stats
US Podcast Ad Revenue To Reach $2 Billion in 2022 and Top $4 Billion by 2024
The podcast advertising biz is continuing its upward trajectory. In 2021, US podcast advertising revenues rose to $1.4 billion, surpassing the $1 billion mark for the first time, a revenue increase of 72% year over year, according to the study. IAB also forecasts that the market will exceed $2 billion in 2022 and over $4 billion by 2024. US podcast advertising revenue grew twice as fast as the total internet advertising market, up 35% last year, according to the 2021 PwC/IAB Internet Advertising Revenue Report.
Podcast ad spending in the US is expected to reach $1.74B in 2022, a 23% increase from 2021.
Podcast advertising spending is expected to increase steadily shortly, with 2021 figures estimated at 1.33 billion US dollars. By 2022, these expenditures are forecast to surpass 1.74 billion dollars. The growing advertising investments are most probably a response to the potential customer exposure posed by this medium, as podcasts reach more and more listeners in the United States each year. Overall, the general receptivity to advertising during podcasts is positive, and audiences tend to see it as engaging, likable, relevant, and memorable.
Podcasts will account for more than one-fourth of digital audio ad spending.
Podcasts will account for over a quarter of digital audio services ad spending in 2022 and will be more than a third of spending by the end of 2026. Most digital audio monetization will come from recorded music for the foreseeable future. Still, podcasts’ market share has grown so much—and will continue to do so—that marketers cannot ignore it. Once relegated to experimental budgets, podcasts become a crucial component of multimedia ad campaigns.
Podcast ad spending is expected to hit $354 million.
The IAB report shows that not only was 2021 a record-setting year, but the fourth quarter was also a record-breaker for the podcast industry. During the final three months of last year, advertisers spent $326 million on podcasting. It was a 51% year-to-year increase and easily shattered the previous quarterly record of $242 million sets. Also, US podcast advertising revenue is poised to continue double-digit growth, growing more than 100% over the next two years to an estimated $4.2 billion in 2024, per the report.
More than half of advertisers said they planned to increase their podcast ad budgets in 2022
According to a poll of 255 US advertisers conducted by Advertiser Perceptions in August 2021, Nearly half (46%) planned to keep their budgets increasing, and just 1% planned to reduce podcast ad spending. These shares aligned with what advertisers expected of their digital audio budgets. The survey also showed that overall digital budgets were the most common place for advertisers to pull their podcast ad budgets.
Other US Podcast ad Stats
- In 2022, 62% of the population 12+ has listened to a podcast, and roughly 79% are familiar with the medium.
- Over one-third (104 million) of Americans listen to podcasts regularly.
- 73% of the US population 12+ have listened to online audio in the last month.
- 43% of listeners ages 35-54 are monthly podcast listeners (the most popular age group for podcast consumption).
- Each week, more Americans listen to podcasts than have Netflix accounts.
- 38% of those ages 12+ in the US are monthly podcast listeners.
- Weekly podcast listeners tune in to an average of eight podcasts per week.
Conclusion
Podcasts are already an ideal storytelling medium, bringing us back to one of humanity’s most ancient forms of entertainment through oral traditions. New brands are investing in podcast ads, especially the “Other” industry bucket in which the podcast ad revenue percentage share has more than tripled in two years. The “Other” ad category refers to energy, government, nonprofit, advocacy, tech, law, pets, sports, religion and spirituality, education, home improvement, gambling, and sports betting.
As the amount of content and number of users grow, along with advertiser demand, the podcasting industry will evolve with these developments by the greater implementation of brand safety/suitability tools, advanced, data-driven audience targeting, and ad effectiveness solutions.
Sources
https://www.statista.com/statistics/690831/weekly-podcast-consumption-usa/
