Episode 55
Host Read vs Programmatic Podcast Advertising
Podcasting has become a popular medium for advertisers to reach their target audience. As the industry continues to grow, podcast advertising is becoming more sophisticated, with two main types of ads: host-read and programmatic. Today I will explore the difference between these two types of advertising, their benefits, and their potential impact on the industry.
According to the Audio Advertising State of the Nation Report for 2023, 78% of media agencies intend to increase investment in podcast advertising in 2023. This is an indication of the growing importance of podcast advertising in the media industry.
Host-Read Ads
Host-read ads are where the podcast host reads the ad copy. These ads are usually scripted and are delivered in the host's own voice. Host-read ads are more effective than programmatic ads because they feel more like personal recommendations than an advertisement. Listeners are more likely to trust the host and follow their recommendations.
The Australian Edition of the Audio Advertising State of the Nation Report for 2023 shows that 86% of advertisers' agencies have used host-read ads. This is a clear indication of the effectiveness of host-read ads in the industry.
The leverage that you have for making money and having a better relationship with advertisers is through Host-Read Ads for sure. Your audience will be more inclined to accept host-read ads because they don't feel like ads the same way that programmatic ads do.
Programmatic Ads
Programmatic ads are inserted into the podcast episode automatically. These ads are usually not read by the podcast host and are delivered in a pre-recorded format. Programmatic ads are less effective than host-read ads because they feel more like traditional advertisements.
The intention to buy audio advertising programmatically has increased steadily over the last few years. According to the Audio Advertising State of the Nation Report for 2023, the intention to buy programmatic advertising has increased to 82%, up from 64% the previous year. This shows that programmatic advertising is becoming more popular in the industry.
What’s the Impact?
The growing popularity of podcast advertising has several implications for the industry. Podcasters can now monetize their content by including ads in their episodes. This can help them generate revenue and grow their audience.
Clearly, brands want to advertise on podcasts based on all the data that has been collected, and the return on investment these brands are achieving.
It is important to remember however that podcast advertising should be aligned with the podcast's mission and values. Listeners are more likely to accept ads that are relevant to the podcast's content.
Don’t be afraid to give it a go on your show, and know that you can always switch the ads off if they’re not feeling like your jam. There are plenty of other ways to make money from your podcast too. Check out our masterclass on monetisation if you’d like to learn more.
RESOURCES:
MONETISING YOUR PODCAST MASTERCLASS:
State Of the Nation Report - IAB
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