If you’re reading this article you’re probably someone who’s active in the podcasting world and are looking to monetize your show – good thinking! Looking at the figures, there’s no denying that the time is now for taking advantage of advertisers’ increased interest in the field.
IAB found in their most recent report that US podcast advertising revenue is expected to grow more than 110% by 2020 and Bridge Ratings stated that in 2017 advertisers in the US invested $314 million in the market.
Confirming the numbers is Hernan Lopez, CEO of Wondery, who states that:
“Advertisers in every category are finding great returns on their podcast advertising and it’s reflected in growing investments.”.
So, if you’re looking to enjoy a slice of the growing market, read on, we’ve got three tricks which will help you position your podcast perfectly to any potential advertiser! There’s a way to gain podcast sponsorship whatever your follower size, the key is finding the right sponsor and pitching well!
How to Find Potential Sponsors
Starting your search for a sponsor is the hardest part, once you’re over this initial hurdle you’ll be well on your way to gaining financial investment. To get yourself off the starting blocks, you need to get under the skin of you AND your audience, so start by asking yourself the simplest questions:
- What is my programme’s niche or genre?
- What makes my programme particularly special?
Defining your niche is defining your USP which in turn is what you’ll sell in to sponsors. Then, think about your audience.
- Who listens to my show?
- What do my listeners like?
- What would excite them in terms of freebies?
Understanding where they spend their money will give you some useful insight into where to target! Another great research point is looking at your competitors and seeing which businesses are spending with them – knowing the sorts of companies which want to invest in your sector is a great piece of knowledge to have.
Now you know where and how to look for your sponsor – how do you snare them? We’re going to outline the three steps to follow which are the key to getting your show a sponsor:
- Approach Your Sponsors Cleverly
- Pitch Your Podcast Perfectly
- Price Your Podcast Right
1. Approach Your Sponsors Cleverly
Once your targets are in sight, the question is – how do you approach them? Whatever your method, whether it be e-mail, phone or in person, you need to be clear and professional and answer straight off the bat the questions a sponsor is asking themself: ‘who is this, what do they want and why should I care?’.
Podcast Motor says that with an initial approach a podcaster needs to: “Think like a sponsor and offer something of value to them.”
If you do decide to go the e-mail route it’s worth taking the time to do a little research to scout out some of the templates which are available online – here are a couple to get you started: Bello Collective suggest one here and Get Sponsorships have another here.
2. Pitch Your Podcast Perfectly
When and however you choose to contact your potential sponsor you will need to have your pitch document ready to shoot off at a moment’s notice. Start by creating a master pitch which will be the document you use as the basis for all future pitches – the aim of this doc is to give an (impressive!) overview of your podcast and include some of your podcast’s key info.
Here are our top tips for the topline info to always include:
- An introduction to your show and definition of its value as a brand/podcast
- Your key stats (audience numbers, geo & demo info, social media followers)
- Your pricing and some basic info about your team.
- Why you want to work with that sponsor (flattery will get you everywhere!)
And, if you want to get some feedback about how your podcast could be monetized, check out the solutions which Voxnest provides, and feel free to get in touch with a team of experts that can guide you towards making your podcast succeed!
3. Price Your Podcast Right
Price is everything when it comes to pitching your podcast. Price too low and your podcast will be deemed invaluable, price too high and you’ll be outbid by other podcasts from your field. So, what are your options and how do you price right? Read up and decide what’s best for your show.
The pricing formats:
- CPM (Cost Per Mille (a thousand in Latin)) is pricing your show on how much sponsors are willing to pay per 1,000 downloads of your podcast and makes up the majority of podcast advertising (29%). Why is it such a successful pricing method? Because it gives advertisers a great benchmark for grasping how successful their investment has been in terms of reach. For example, if a sponsor decides to invest $100 in your show and it then gets 8,000 downloads, that means a CPM of $1.25 – a figure worth a reinvestment! A rough guide for pricing this format is:— 15-second Pre-Roll $18 per 1000 CPMs (listens).
— A 60-second Mid-Roll commands $25 per 1000 CPMs (listens).
- CPA (Cost Per Acquisition) means the number of sales or sign ups a business gets as a result of an ad – a much more direct way for a sponsor to calculate their ROI and demonstrates the real worth of your show.
- YOU CALL THE SHOTS! Last but not least you name the price and take control of your podcast. One example of this is referral sponsorships. The idea that everytime a business you partner with gets a sale you get a token amount – you could even have mutual referrals. That’s the beauty, you decide!
Finding a podcast sponsor takes a little time but can be well worth it in terms of developing your brand, reaching wider audiences and monetizing your podcast! It will take perseverance from you to get your podcast to where you want it to be, so don’t be put off if you don’t hear back from all if any of the people you approach – you’ll get there in the end!