The Podcast Boom
Influencers, celebrities, journalists, and even your friends—everyone seems to have a podcast. Spotify alone plans to spend $500 million on podcast-related acquisitions this year.
But why is this happening now? Podcasts have existed for over a decade. To understand their rapid rise, we need to look at the big picture.
The Early Days of Podcasting
Podcasts originated with Apple, iTunes, and iPods.
“Now we recently announced something new for iTunes and iPod, and it’s called podcasting.” – Apple
Apple introduced podcasts to iTunes in 2005. The term itself is a combination of iPod and broadcasting.
Steve Jobs called podcasts “TiVo for radio.” Before podcasting, radio was the go-to audio medium, filled with ads, scheduled content, and limited accessibility.
With podcasts, listeners gained:
✅ On-demand audio—listen anytime, anywhere
✅ Subscription options—never miss an episode
✅ Free access—just like radio
The introduction of internet-connected smartphones further simplified access. No longer did users need to sync audio manually from a computer.
Despite this convenience, only 11% of Americans had listened to a podcast in the last month as of 2009.
The Game-Changer: Serial (2014)
Everything changed in 2014 when a single podcast reshaped the industry.
🎙️ Serial – A narrative, mystery-crime show that spanned multiple episodes.
“From This American Life and WBEZ Chicago, it’s Serial. One story told week by week. I’m Sarah Koenig.”
Serial broke traditional podcasting norms, engaging listeners over multiple episodes rather than a single one.
It became the fastest podcast to reach five million downloads and streams on iTunes.
Around the same time, smart cars became more connected, making podcasts an easy choice for commuters.
How Podcasts Became a Business
Podcasts didn’t just grow in popularity—they became profitable.
Companies began pouring advertising dollars into podcast sponsorships.
📢 Podcast Ad Revolution:
🔹 Casper
🔹 Dell
🔹 Squarespace
In 2023, podcast advertising revenue reached nearly $500 million.
How Do Podcasts Make Money?
1️⃣ Sponsorships & Promo Codes – Hosts read ads with special promo codes to track conversions.
2️⃣ TV Adaptations – Successful podcasts get adapted into shows or movies.
3️⃣ Live Events – Podcasts host live sessions with audiences.
Compared to video, audio production is relatively cheap, making it a low-risk, high-reward medium.
How Podcast Ads Are Evolving
Podcast ad tracking is improving. The Interactive Advertising Bureau (IAB) introduced technical guidelines in December 2017 to standardize:
✅ What counts as a download
✅ How many people actually hear ads
Dynamic ad insertion (DAI) is also on the rise. This allows podcasters to swap out ads over time, making content evergreen and more profitable.
The Future of Podcasting
Podcasting is shifting from open distribution to exclusive content models—similar to TV streaming services.
As advertiser interest grows, podcasts are now tracked more like websites and monetized like movies or TV shows.
Why Does Everyone Have a Podcast Now?
Podcasts are booming because:
✔️ They’re cheap to make
✔️ The barriers to entry are low
✔️ They offer real money-making potential
And, of course, who doesn’t love the sound of their own voice?
