Landing a six-figure sponsorship deal with a big-shot brand isn’t realistic for most podcasters.

And certainly not for indies. A lot of creators actively choose to stay independent, so they’re not beholden to any advertising restrictions incurred by these sorts of big-money deals. 

But keeping your integrity as an independent podcaster doesn’t mean you can’t make money with your podcast. 

In a survey we ran back in 2022, 29% of new and aspiring podcasters told us they were planning to make their show their main income stream. 

So, it was surprising to learn in a new survey of 1200+ independent creators that only 26% are proactively monetising their podcasts right now.

Making money from podcasting isn’t just for the big players. You also don’t need to sell your soul to make a buck. So why aren’t more podcasters making money from their shows right now?

Why Do So Few Independent Podcasters Monetize Their Show?

Of course it’s true that some podcasters simply aren’t interested in making money from their podcast. For many people, making their podcast is a genuine hobby or passion. These kinds of creators don’t need any monetary return to make podcasting worth their while.

But of the podcasters who told us they aren’t monetizing their show, the vast majority said that they’d like to, but just aren’t able to for the following reasons:

They don’t know how/think it’s too hard: Some respondents said they found the process of monetization too difficult. Some said they didn’t know where to start.

They struggle to find the right brands to work with: There were comments from respondents who said they struggled to find brands that aligned with their podcast and their values. 

They don’t have the time: There’s no denying that a lot goes into making a podcast, so it’s not surprising that some indies just don’t have the time to think about monetization. This is particularly the case for early-stage podcasters who will be putting a lot of energy into laying the initial groundwork. 

It’s likely there are a whole load of other reasons a podcaster won’t be monetizing their show, but this gives us a good idea of the main challenges that creators in this industry are up against.

But the good thing is, there are solutions to all of these above challenges. If you’re experiencing any of the above obstacles, remember there are plenty of podcast monetization resources out there that can help.

And with podcasting technology automating more and more of the podcast workflow as it evolves, having the time and space to monetize your show is only getting easier.

With that all said, what about those creators who are already generating an income from their podcasts? Let’s find out how they got there, what they do, and what we can learn from them…

How Do Indies Monetize Their Podcast? 

To find out how podcasters are making money from their show, we presented survey respondents with six monetization options and asked them to select all methods they were using. 

Of all the options, programmatic advertising was the most popular monetization method. 27% of respondents said they make money through their podcast this way. This was followed by donations and selling a product or service, which 17% of respondents said they used to make money from their podcast. 

Interestingly, paid memberships and exclusive content weren’t as popular, with 14% and 10% of respondents, respectively, using those methods. 

As often happens with surveys, a substantial 9% of respondents selected ‘other’ because there were monetization methods they use that were missing from the list.

As well as asking which monetization methods podcasters were using, we presented the same six options and asked which methods they had the most success with.

We also gave respondents the option to leave comments to elaborate on their answers. Based on the survey responses and these comments combined, here are five main takeaways from the survey.

5 Takeaways From The Podcast Monetization Survey 

1. People want to support podcast(er)s 

The difference between podcasts and a lot of other mediums is that, generally speaking, listeners actually want to support their favourite podcasts.

The problem with newspapers and magazines—which hide content behind paywalls (no judgment here; they’re just doing what they need to do to survive)—is that these media organizations are vast and complex, so you don’t always know exactly where your money is going or how it’s being spent. 

When you support an independent podcast, you know your money goes directly into the host’s pocket. This is why many listeners will have no qualms about paying for content they love.

In fact (and I say this as someone who pays out in some way for most of my favourite podcasts), listeners want to support you if they have the means to do so. Any podcaster who’s hesitant about asking listeners for monetary support needs to hear that.

Comments from survey respondents also suggest that many podcasters are pleasantly surprised by the response they get for calls for monetary support.

“I find it immensely encouraging that people are willing to sponsor me to continue making a podcast that they could access for free if they wanted to.“

Nance Haxton @ Streets of Your Town Podcast

The parasocial relationships listeners build with hosts often result in a situation where audiences want to champion shows; they want them to do well, and offering financial support is one way of showing this. 

2. Small podcast audiences can still be lucrative

It’s fair to assume that some independent podcasters don’t bother with monetization because they don’t think it’s worth the effort due to low download numbers. But another awesome thing about podcasting is that good listenership is about quality, not quantity.

As one survey respondent nicely put it:

“In my experience, podcast audiences are small but mighty. This has made monetization methods that target less people but are more costly per person (in my case, Patreon) far more effective. No matter what I do, I get around 30 responses per call-to-action. This resulted in small one-time sales for merch but consistent subscription payments.”

Kyle @ Quest Friends Podcast

Another respondent told us how he uses podcasts as part of a marketing system that has generated $50k per year for his business. Despite the number of downloads being relatively low, he said revenue “wouldn’t have happened without the shows”. He told us:

“I’ve only ever produced short-run shows (the longest was 30 episodes) and none of them has ever received more than 350 dl/ep on average. The trick has been making niche shows that align with my high priced product and service offerings.”

Jeremy Enns @ Counterweight Creative

Podcasts are unique in that they can attract small but highly engaged hardcore fans who are valuable to your podcasts but also super attractive to advertisers.

So, if you think your podcast won’t be of interest to networks because you don’t have huge download numbers, know that this isn’t always the case.

Creating a podcast media kit that highlights how engaged and loyal your audience is – rather than focusing on download numbers – can help turn your show into a cash cow.

3. Ads are for everyone – not just the big players

One major takeaway from the survey is that ad placements like programmatic ads are the strongest monetisation method available to independent podcasters.

Not only is this the most popular way to make money with your podcast (27% of respondents said they run ads on their podcasts), it’s also the method that podcasters report having the most success with (30%).

For anyone who is already using ads as an income stream, this result won’t be so surprising. Most hosting providers have tools to help you run ads on your show, and a low-hanging fruit here is to create your own dynamic ads that promote your Patreon or crowdfunding platform of choice.

No podcast is too small to run ads on, so what’s stopping you?

4. Productization is worth thinking about 

Interestingly, ‘selling a product or service’ was the second-best monetization method reported in the survey. It wasn’t the most popular option amongst respondents, but 21% said it was the most lucrative method they use. This suggests it’s a lesser-used but lucrative income stream worth thinking about. 

It’s likely this method is slightly less popular because it can potentially take a little more work than the other options, but can really pay off.

Have a think about whether you can package up/productise/sell something on your podcast. This can be anything from eBooks and online courses to punting merch. You can even sell some of your podcast episodes as premium content.

5. Monetize every income stream available to you

While the survey responses showed a few notable trends, the percentage share across the different monetization methods was pretty broad.

So, if there’s one clear lesson in this survey, it’s one that’s generally already understood: The key to success when monetizing your podcast is to use as many income streams as possible. The beauty of podcasting is that there are so many potential ways to make money through this medium, and once you set them up, they require very little upkeep. 

We have a pretty comprehensive guide to monetizing your podcast that covers all the different income streams available to you as a podcaster (including ones not mentioned here!). It’s a great place to get started if you feel the time is right to hop aboard the monetization train.

Originally posted on June 12, 2024 @ 12:24 am