APPETITE for podcasts continues to grow -- so much so that Apple is apparently considering creating a subscription-based platform for audio content. But are consumers ready to make the move to a paid-for model? A new survey suggests that there might still be some way to go in convincing consumers to pay for podcasts.
The survey, carried out by YouGov for Variety, reveals that 75% of podcast listeners in the US have never paid to listen to a podcast. And that doesn't look like something that's going to change soon. Over 80% of people polled said that they were "not very likely" or "not at all likely" to pay for access to podcasts in one way or another in the next 12 months.
Although these figures aren't especially encouraging for platforms hoping to capitalize on the booming podcast sector, all is not lost. According to the YouGov data, almost one third of the listeners polled (31%) said that all podcasts should be available for free and supported by advertising. Almost 60% said they have no problem with listening to a mix of advertising-supported and subscription-based ad-free podcasts.
While only a small group of listeners seem ready to pay for access to podcasts, they are of keen interest to players in the sector -- Spotify first and foremost. The Swedish music streaming giant, which bought up a host of specialist audio businesses last year, plans to launch a new service of paid podcast subscriptions. In the coming months, a handful of American producers will be invited to beta test producing paid-for content for their "most devoted fans" via the podcast creation platform Anchor.
From listener to consumer in one simple step
"We have found that, through our research, it seems to work especially well for creators who have really engaged and dedicated audiences -- regardless of the audience size," Anchor co-founder Michael Mignano, told TechCrunch. "We've also found that podcast listeners do tend to be open to financially supporting the shows they love."
This loyalty is also of major interest to brands and advertisers. And not without reason. According to the "Infinite Dial" study from Edison Research, people who listen to a lot of podcasts -- at least five hours per week -- are more receptive to advertising. Over 45% of them said that they pay more attention to advertising on podcasts than on other forms of media. Even more interestingly, a majority of these listeners (54%) said that they are more likely to make a purchase after hearing an ad in a podcast. – ETX Studio pic, March 30, 2021
