Bobby Bonett at SURROUND Podcast Network writes about the importance of podcast sponsorships.
The global podcast audience reached 546.7 million listeners in 2024 and is projected to grow to 651.7 million by 2027 (eMarketer).
With more than half a billion listeners, podcasting has solidified its place as a lasting medium. Podcasting is a particularly compelling platform for creators and advertisers alike due to its low barriers to entry, flexible format, and inviting community.
Creators with a strong point of view who can produce consistently high-quality content can build a dedicated audience with the right marketing savvy.
With that said, monetising a podcast can be even more challenging than creating content that resonates with listeners.
Take traditional programmatic advertising, for example. If you’re a podcast listener, you’ve likely heard the familiar 15- to 30-second ads from brands like Tommy John, HelloFresh, and Squarespace.
Launching a programmatic advertising strategy is relatively straightforward – podcasters set up pre-, mid-, and post-roll ad slots, which their hosting platform automatically fills as part of an opt-in agreement. However, unless a podcast generates hundreds of thousands of ad impressions (tens of thousands of downloads), income potential remains limited.
According to Acast, the average CPM for podcast ads ranges from $15 to $50, meaning it takes 200,000 to 600,000 impressions to earn the first $10,000. Plus, podcasters relinquish some creative control when serving programmatic ads. Commercial messaging can be irrelevant to your content and present a potential turn-off to listeners.
So, how do you break through if you’re producing podcasts in a niche category? One solution is podcast sponsorships.
While they require more creativity and business development efforts, direct, flat-fee sponsorships present an opportunity for podcasts with smaller yet highly engaged audiences to monetize their content.
The key to success is building a relationship with a prospective advertising partner that is both mutually beneficial and authentic. This means finding a brand that aligns with your podcast’s values and can serve as a genuine partner.
When it comes to successful sponsor partnerships, there are three steps to consider:
1. Consider the Audience Match
The first step in sourcing sponsorships is considering the audience match. For example, at the SURROUND Podcast Network, our content is primarily designed for design and architecture professionals. We understand that our listeners are in a specific professional mindset when tuning in, making them more receptive to industry-relevant advertisers. This creates an ideal opportunity for advertisers to connect with a focused audience. It’s critical to consider your own listeners and the types of advertisements they would find engaging and relevant. Authenticity is key.
2. Master the Storytelling
The next piece of the puzzle – and what truly sets podcast sponsorships apart – is storytelling. While a brand may serve as a presenting sponsor for a season, the real value lies in how the creator weaves a meaningful story around the partnership. This can be achieved through creative mid-roll messaging, where the host highlights the relevance of the sponsorship, shares a personal testimonial, or even features an interview with an interesting voice from the sponsoring brand. When done well, this approach benefits the podcaster, advertiser, and listeners alike.
3. Giving Space for the Brand to Shine
At SURROUND, we’ve found success by expanding sponsorship packages with a full-length custom episode. This format allows advertisers to share their brand story in a unique and in-depth way, going far beyond what is typically possible through standard digital placements or marketing initiatives. These episodes give podcast creators and their audiences the chance to truly connect with the sponsor, fostering a deeper relationship that plays a crucial role in the customer decision-making process. By maintaining transparency and honesty, creators build trust with their listeners, while advertisers gain the benefit of genuine brand development.
Research from Acast shows that podcast advertising outperforms other audio channels, such as radio and music streaming.
According to their findings, 64% of respondents give podcasts their full attention – significantly higher than the 49% for music streaming and 44% for radio.
Just as great content fosters a connection with listeners, so do authentic partnerships. By understanding the audience, crafting compelling stories, and creating space for brands to shine, podcasters and networks can deliver meaningful, engaging sponsorships that captivate listeners. It’s a win for everyone involved.
Bobby Bonett is a digital media leader with experience in building brands, developing content, growing audiences, driving monetization, and scaling teams. As Chief Marketing and Revenue Officer at SANDOW DESIGN GROUP, Bobby oversees digital strategy and operations, digital content services, content distribution networks, and business growth strategies for a multi-platform collective of design brands including Interior Design, Metropolis, and LUXE Interiors + Design.
