Do Podcasts Make Money?
Thinking about how to make money podcasting? You’re not alone. Many creators wonder, ‘how many listeners do I need to start making money podcasting?’ or ‘Am I ready to sell premium content?’ This guide provides the tools to help you find out.
Note upfront that no rule says you must make money from your own podcast to be a success. In fact, few podcasts start out with this mission in mind, and the opportunity to monetize usually evolves throughout the lifetime of a podcast. You can start with one strategy, combine them, pivot, or skip making money entirely.
Some podcasts are solely lead generation for another entrepreneurial endeavor altogether.
Whatever your money-making mindset is, Libsyn is an all-in-one podcast hosting platform ready to support you — even if you never monetize. If you choose to, we provide flexible options for subscriptions, donations, and podcast ads that grow with your podcast.
Do Podcasts Make Money?
Indeed, they do, but how much depends on audience size and connection. The relationship you have as a podcast host with your audience is key. Do they trust you? Do they engage with you? Are they loyal? If so, you’ve got the foundation you need to monetize a podcast — big or small.
A dedicated audience is likelier to follow your recommendations (host-read ads), feel good about supporting relevant sponsorships, and pay a monthly fee for exclusive content. There are multiple revenue streams available to you, and your loyal audience wants to support you.
Your podcast monetization method and platform will also impact your ability to make money. Not sure if you are ready to monetize? We’ve included 4 things to consider before you get started.
10 Podcast Monetization Strategies
4 Things to Consider If You Want to Monetize Your Podcast
When you begin thinking about how to make money podcasting, a podcast inventory is a good place to start. What is the state of your podcast and what do the metrics say about how well it is doing?
1) Your Audience's Take on Podcast Monetization
The most common questions, especially when podcast hosts consider a money-making strategy, are “Will my audience pay for extra bonus content?” or “Will my audience be bothered by ads?”
These are reasonable questions with a fairly simple answer: ask them. An open dialogue not only gets you answers but is also a key step in improving audience engagement.
Whether you are trying to make a little extra money to cover your new mic or have bigger visions of quitting your day job, be open and share your motivations with your listeners. They will likely provide helpful feedback to guide your monetization strategies.
Maybe the perfect solution to the two questions above is a mix of subscriptions and advertising. You could offer a paid, ad free version with a premium membership AND a FREE podcast that you monetize with podcast advertising. It happens all the time.
2) Podcast Consistency & Production Quality
Most podcast revenue models are dependent on new, fresh, and engaging high quality content. Podcast subscriptions and donations come from a loyal and interactive audience. Brands want to purchase podcast ads for podcast episodes created over a period of time by a committed podcast host.
People (your audience and any advertisers or sponsors) will be counting on you to keep creating your show and need to trust that you will deliver.
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Think about these questions:
- Are you producing your show consistently?
- Do you foresee any roadblocks to produce your show consistently?
- Do you have future podcast episodes planned out or started?
- Are you satisfied with the production value of your show?
- Do you regularly listen to your show to ensure the quality of your audio or video?
In some cases, metrics like how many downloads your show gets and ad impressions are projected, and knowing how many podcast episodes you intend to produce over time will help with those projections.
No matter how you are looking to monetize your show, whether through sponsorships, advertisers, paid subscriptions, or donations, consistency in production is of utmost importance. To get money from a podcast, an advertiser not only needs to fall in love with your content and reach your podcast listeners, but they need to recognize the care that goes into making your show.
3) Podcast Statistics and Growth Metrics
Before you jump into podcast monetization, look at your current podcast status via your statistics. Libsyn provides IAB verified stats. These can help you judge your progress and decide whether you are in a position to make money. Remember, do not compare yourself to other podcasters; instead, compare yourself to yourself.
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Think about these questions:
- Is your show growing?
- How are your latest 3-month episodes 30 days old compared to the 6 months prior?
- Is your audience size going up or is it flat?
Clearly, growth and audience building matter when you want to monetize. If you are not sure you are in a good place yet, use your podcast analytics to gauge where to promote your podcast and learn what content is most popular with your target audience. Determine a growth strategy based on this information to increase listenership and position yourself to earn income.
Video Tip: IAB stands for Interactive Advertising Bureau. These stats are the industry-wide, trusted numbers that all podcasters can use to determine the health and growth of their show. They are also what advertisers look for when purchasing a podcast.
4) Extra Work & Commitment
Making money podcasting is not a backseat operation. You officially transition from content creator to entrepreneur! But, don’t let that word scare you. We’ve got you covered.
This can be super exciting, and it also requires a commitment to extra work. If you monetize with podcast ads, it can be a set-it-and-forget-it revenue stream. If you promise premium content to subscribers, you will be on the hook for creating it. Are you ready for all that?
Think about whether you want to add a purchasing pitch to your content creation workflow. And then, think about your audience. What does your target audience want? What do they value? The product or service you are pitching needs to be relevant to them.
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Sample CTA (Call To Action) Scripts
- "Purchase my subscription for 2.99 a month and get early access to my latest episodes."
- “If you love the show and want to help me keep creating, click the donation button and drop me a few bucks.”
- “Love the show? Show your support and buy our stickers.”
- “Need a good night's sleep? I just got this new mattress that is fixing all those problems. Use code XXX to get 25% off. Check the affiliate link in the show notes to purchase.”
The work and commitment required for podcast monetization come in many forms, from the extra effort of recording your podcast to additions to your website, workflows, and conversations with an advertising network. Libsyn strives to automate as much of the process as possible so creators like you can continue to focus on creating the content they love.
Ready to explore Automatic Podcast Ads? Libsyn offers an in-depth FAQ on programmatic ads.
10 Key Podcast Monetization Methods
Whether you are a newcomer or a veteran, as long as you have a loyal audience— big or small — and produce a consistent stream of quality content, the opportunity to make money is there.
Here are our top 10 monetization strategies to help you get started.
1. Develop Content Systems
Our first tip? Set yourself up for success. This is the foundation of all monetization strategies. The goal is to envision workflows that do not require significant extra work to execute.
An example of how this might look when it comes to recording bonus content for your paying subscribers:
Every interview for the next six months, ask your guest one extra question but don’t release it in your regular episode. Instead, hold that content and release the extra question as a mini-bonus episode.
Summary: no additional recording sessions and a little bit of extra editing.
To take this one step further, create a media release form for guests to sign. In this form, ask for assets like a bio and headshot that can be used for promotion.
This blog, 2023 Podcast Monetization — Content Systems Before Sales with Kate Erickson, is a great read on preparing for a successful podcast via your content systems.
Kate Erickson shares her expertise on Niche Content, another avenue for effective monetization. She explains that focusing on a niche can open up unique streams of podcast revenue. Learn how creators can monetize even with niche audiences!
2. Making Money with Donations & Podcast Subscriptions
Some podcasts offer exclusive content or early access to podcast episodes for a fee. This can be a good way to generate direct income if you have a loyal and engaged audience willing to pay for premium content. Many successful podcasts use this model. You can sell subscriptions that offer bonus episodes, exclusive episodes, or even an ad free version of the show. These paid subscriptions often involve a recurring fee.
Video Tip: Creating extra content for paying subscribers or podcast memberships does not always mean hours of extra work. Elsie Escobar shares 4 quick tips for extra content creation without extra time investment.
Apple Podcasts Subscriptions
Libsyn is among the first platforms to integrate with Apple Podcasts Subscriptions. You set the price and plan that work for you and your audience. If you’ve got a Libsyn plan, Apple Podcasts Subscriptions is available to you right within the UI. Once set up, your audience can subscribe directly within the Apple Podcasts app. While your show is available on various podcast apps, listeners will need to use Apple Podcasts to purchase and access subscription content.
Tip: Include a FREE subscription tier that offers listeners something fun like a sticker or a coaster with your logo. Give them access to your blog or newsletter and collect emails. It’s always easier to get someone to upgrade than to pull them into $5/month from scratch. Make them want more!
3. Integrate Affiliate Marketing
Affiliate sales involve special affiliate links or promo codes that track purchases made by your listeners. When a listener clicks on an affiliate link in your show notes or uses your promo code at checkout, you earn a commission.
Talking about products or services relevant to your podcast’s topic is an easy way to monetize. However, when choosing an affiliate program, always disclose that you’re providing affiliate links or codes (transparency is the best practice). This form of affiliate marketing is effective because it’s built on the trust between podcast hosts and their listeners.
Here is an article that provides a great overview of affiliate marketing and how to use it.
4. Make Money Selling Podcast Merch
Another way to make money podcasting is by selling branded merchandise: t-shirts, mugs, and other items with your podcast’s logo. Loyal listeners love supporting and sharing their go-to podcasts! Especially on t-shirts that everyone can see.
If you have a strong following, this can be a great avenue for making money and raising awareness of your podcast. Plus, it’s fun. As a podcast host, be sure to mention your merch on all of your podcast episodes (and any podcast on which you appear as a guest) and share pictures on all your social media channels. Platforms like TeePublic and Zazzle make creating podcaster swag easy.
5. Hold Live Events for Your Podcasting Audience
Hosting live events like workshops or conferences with other podcasters or special guests is a way to monetize your podcast. This is especially true if you have expertise in a specific area. Sell tickets for in-person attendance or charge a fee for your audience to watch online — or offer both!
Eventbrite is a self-service ticketing platform for live experiences that allows you to create and share events.
Tip: Start small when it comes to live events and gauge interest carefully. Hosting a conference or renting a space requires an upfront investment to secure. You need to have confidence and a marketing budget in some cases to ensure you can cover the cost of your investment with attendance and other sponsorship opportunities.
6. Increase Earning through Coaching or Consulting
If your podcast shares your unique expertise—whether from formal training or years of hands-on experience in a specific niche—you have something valuable to offer. You can offer this knowledge as one-on-one coaching or consulting services. Your podcast listeners already trust you, which makes them prime candidates for these premium offerings.
Take advantage of a scheduling platform like Calendly to arrange sessions and then Paypal or Venmo to invoice and receive payments.
7. Charge Money for Courses & Digital Products
You can create and sell online courses or digital products related to your podcast’s topic. If you have expertise in a specific area and can create high-quality materials, this can be a lucrative revenue stream. Your podcast acts as the perfect marketing tool for your online courses.
Platforms like Etsy and Sellfy make it easy to sell digital downloads.
Tip: Before investing time in setting up a third-party platform for the sale of goods, digital or otherwise, make sure you clearly understand how sales tax works, what transaction fees are involved and how refund requests are handled. All of these will impact pricing and how much money you make. Each platform is different.
8. Make Money from Sponsored Content
This involves partnering with a company to create content—an episode or a series—that aligns with their product and your podcast’s theme. It’s a win-win situation that allows both you and your sponsor to make money.
Sponsored content is a good fit for either larger or very niche podcasters. You can work with a network like Libsyn Ads or reach out on your own to brands and attract sponsors directly.
9. Leverage Third-Party Platform Ad Revenue
Publishing your podcast out to as many places as possible is a good standard marketing practice. Some platforms, like YouTube, offer their own monetization options that can boost your ad revenue. Libsyn automates publishing your audio-only and video podcast to YouTube, making it easier to work toward your money-making goals.
Video Tip: Check out this video on best practices for publishing your audio-only podcast to YouTube.
10. Podcast Monetization via Advertising
Regardless of audience size, you can enter the world of podcast advertising. We offer automatic ads (programmatic ads) along with a full-service platform for dynamic, host-read ads, and sponsorships. With dynamic ad insertion, you can sell ads and fill your catalog of episodes with hand-picked ad slots.
You can insert pre-, mid-, and post-roll ads where they fit naturally. For those looking to attract advertisers for host-read spots, an advertising network can manage these relationships, allowing you to focus on creating great podcast content.
Managing ad sales is a full-time job in itself, involving complex relationships with agencies, media buyers, and brands. Partnering with a trusted industry leader like Libsyn Ads removes this operational burden. Instead of navigating negotiations, insertion orders, and invoicing, you can focus on what you do best: creating great content.
This strategic partnership provides you with a team of seasoned ad professionals dedicated to managing your inventory, ensuring you get the most value from your ad slots. It’s a welcome trade for creators who want to professionalize their monetization without sacrificing their focus.
For podcasters looking to streamline their advertising strategy, Libsyn Ads offers a clear path. You can submit your podcast to be part of our full-service advertising network or get started with Automatic Podcast Ads.
Tip: You can always change, pivot or combine monetization strategies. Give your audience and yourself time to refine what works. We are mentioning this again because it is easy think that if one option doesn’t get you to the money making goals you want, its over. The most successful podcasts are always evolving, testing and diversifying revenue opportunities.
More Make-Money Tips for Smaller Podcasts
We asked Rob Walch, VP of Podcaster Relations at Libsyn, for extra tips on how to make money with a podcast — especially if you are just getting started. He stressed the value of local and gave great advice! Many of the most successful podcasters started by serving niche audiences.
Pay Attention to Local Advertisers
You know those local magazines you see at cafes? Flip to the back page and find the smaller ads. These are local advertisers you can reach out to and attract sponsors for your show. If you’ve got 250 downloads per episode, you can make money that way.
Interview Local Experts and Businesses
You can also form partnerships and invite local topic experts to your show. In turn, they give you a promo code for a service or product, and each time that code is used, you get a cut of the purchase. Plus, you show your local support!
Your Next Steps in Podcast Monetization
The path toward podcast monetization is not one-size-fits-all, and there are clearly many monetization methods. Libsyn provides built-in solutions for making money with advertising and subscriptions.
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Ensure you are ready to monetize:
- Publish a well-produced show consistently
- Focus on delivering high quality content that engages your audience
- Compare yourself to yourself and track your growth
- Make sure you’re looking at IAB-verified stats like those provided by Libsyn
- Based on your growth, choose the path that fits you best
If you truly understand your audience and what your loyal listeners respond to, you will find yourself on the path to monetization naturally. If you want to start making money podcasting, we’re here to help you generate revenue.
The possibilities are endless, and the potential for significant revenue is there for those willing to work a bit harder.
Ready to take the next step in your monetization journey? Get started or switch to Libsyn today and unlock your podcast’s revenue potential.
