5 Ways To Make Money With a Podcast

These are some of the most common and popular ways to make money podcasting.

Make Money Podcasting

There was a time when people thought the Internet was a novelty, and no one could make money with it. Countless people who make a living using the Internet have proved that theory wrong. The same naysayers said the same thing about podcasting, but tons of people make money or earn a living from podcasting. If you want to see proof or see how they do it, just read through some of the income reports that podcasters have published.

Monthly Income Reports Published by Podcasters

Many other podcasters make money but don’t publish their reports, and even more use their podcast as a tool to promote their current business, book, or website. There are also the huge celebrity podcasts. Some of these may be more focused on the show content than monetization, but still with 11 million monthly downloads, a show like The Joe Rogan Experience is making some money.

The Principles of making money with podcasts are very similar to making money with Internet properties. Create something that attracts people and monetize that traffic. The more people that visit your website or podcast the more opportunities to convert that traffic into cash.

Podcasters who want to make money are in luck because according to Edison Research podcast listening is growing at least 10% on a weekly basis. According to the Edison Research Podcast Consumption report in 2015, only 33% of the US population had ever listened to a podcast.

With a US population over 300 million, that leaves a lot of room for growth. Plus, there is room for growth with International audiences too.

Sponsorships

One of the most common ways to make money from podcasting is by having sponsors.  This is also one of the easier money making methods to implement.

Having an advertiser pay you to mention their product or service on your show is drop dead simple, or is it? Usually, the main qualification that sponsors look for is traffic. They also look at niche focused traffic and conversion rates.

If you have the right statistics, advertisers will often contact you. Podcasts hosts like Libsyn and Blubrry often offer podcast advertising opportunities to shows they host. There are also services like Midroll that will take your stats into account and connect you with advertisers. Keep in mind, that podcast hosting accounts and services like Midroll will keep a cut of the revenue for their efforts.

Podcast sponsorships are catching on. Advertisers realize that podcasting is a focused medium that is still growing. If you want to maximize profits and cut out the middle man, you can always find your own sponsors. Take a look at your niche? Are there any products or services that would be a particularly good fit for your podcast?  Audible advertises on many podcasts and pays a flat fee for sign-ups. The folks at Audible realized that listening to podcasts and listening to audiobooks are similar activities that will attract similar audiences.

Another advantage of finding your own sponsors is that you can negotiate your own rates.

There are industry standards for podcast advertising rates. The going rate for CPM ads is usually $18 for a 15-second Pre-Roll or $25 for a 60-second Mid-Roll ad. CPM stands for cost per mille and translates into every 1000 listens, so if your episode has 10,000 listens for a $25 CPM you would make $250 for that episode. There are also CPA cost per acquisition ads that pay a flat rate for each conversion. Still, depending on the situation it’s often possible to negotiate with advertisers.

Selling a Product or Service of Your Own

Why dilute the integrity of your show with advertisements for other people when you can promote your own products. You not only get the benefit of free traffic for your own product, you get to keep the majority of the profits instead of getting paid a small percentage of earnings.

This can be one of the most lucrative ways to make money from your podcast.

There are so many products you can create and sell. Things like ebooks, courses, and video series can all be created in your niche. If you offer a service like coaching, writing, design, or any number of SaaS products, a podcast is the perfect place to drive traffic and promote that product or service.

Once you have a product, you can use your podcast to drive traffic to your sales funnel for your products. A sales funnel usually starts with free or inexpensive content or products and works its way down to more expensive products.

Establishing Yourself As an Expert

Maybe the thing you actually want to promote is yourself. If you are an expert in your niche, it is much easier to get those coaching clients, sell your book, or get that speaking gig. There is no better way to establish yourself as an expert than by sharing your knowledge and expertise with your listeners. As your body of work and your audience grow so will your credibility. This will lead to more opportunities to expand in your niche and monetize your efforts in the process.

Premium Content

Offering premium content can turn your listeners into paying customers. You can offer things like exclusive episodes, a back catalog of past episodes, or create a paid community, or a subscription service. In the old days of podcasting, this was a very popular model, but there are still many successful podcasters who offer premium content for a fee. A popular method of doing this is to play a part of an episode for free, then only premium members can unlock the rest of the show.

Ask for Donations

People are generous. If you have a show that provides value whether it is in the form of information or entertainment, there are people who are willing to donate money to show their appreciation. Being likable and asking are often enough to do the trick. If you do ask for donations, be sure and make it easy for people to do so.

You can have a donate button on your podcast website.

The WordPress Plugin Directory offers quite a few donation button options. You can also set up  an account as a creator on Patreon. This is an easy and popular podcast donation method, and it’s a bit hipper than a PayPal button.

Podcasting and the art of making money podcasting are alive and well and positioned for growth. Whether you podcast as a hobby, as a business, or as a marketing tool there are ways to monetize your content that will best serve your niche.