Podcasts are widely gaining momentum in the market. They have become such a staple that only some online creators have a podcast other than their mainstream job.
Are you a content creator or want to start your podcast and want to learn ways to monetize your talent? Then, you have come to the right place. This article will discuss ways to monetize your brand and make money from your podcast on Spotify. Even if you already have a podcast, the following methods can help you increase your earnings.
Affiliate Marketing
Affiliate marketing, sometimes known as performance marketing, is an online strategic technique to get commissions by referring people to other companies. When you refer people to other companies, and if they make a purchase, you earn a commission.
You can benefit highly from affiliate marketing by promoting the products and items you are familiar with or use. That way, you know that you are promoting authentic and best products.
Affiliate marketing proves beneficial even if you do not have enough audience to get traditional sponsorships by creating your own “ad” spot to help you organically promote the affiliate offer. There is no shortage of affiliate programs in the market, and Amazon is among the most popular.
Sponsors and Advertising
Sponsors and advertising are fundamental to making money from podcasting because we can see almost everyone promoting something or another in every podcast.
Sponsorships and advertising undoubtedly are good earning sources. Moreover, several podcast ad networks can connect you to several advertisers. You will not have to worry about negotiating or writing the script, as well-organized networks will help you do the same. The only term is that you need at least 5K-10K listeners per month to work with them.
If you have a smaller audience, you can reach out to different companies directly and seek potential collaborations and partnerships with the companies that will fit the niche of your audience.
Courses
As podcasts become globally accepted and famous, many podcasters have started creating online courses to teach similar content. Online courses are not only interesting for the audience to connect to their favorite creators more but also an effective way for the creators to use their skills and talent and get greater returns from it.
You can have an email list to let your followers know about the course design, structure, and fees, other than telling them about the same through the podcast itself. In addition, you can promote your course through a webinar platform by giving your followers 45 minutes of a sneak peek of what you will be teaching in the system.
Crowdfunding and Donations
You can ask for donations from your followers to help support you and your content. The podcasts related to the entertainment niche would be a great fit to get some earnings this way. You can sign up for Patreon, a common platform for accepting donations. Using Patreon will help you offer additional content or bonuses depending on how much money people support you.
Personal merchandise
This option is not for you if you are considering starting your podcast or have just started making podcasts on Spotify. But if you are a small crater on Spotify and want to reach a bigger audience, you can promote your brand through your merchandise.
In addition to that, you can offer premium content simultaneously with an active Patreon page. Teespring is a helpful site that can help you track the sales before your merchandise gets printed, so you remain clear of stocks. Another way to leverage a podcast is to write it down in a book. This is a great way to increase your authority and earnings.
At what stage does Spotify start paying podcasters?
You at least need to have more than 5K monthly listeners with approx—5 K downloads per episode to land sponsorships. Once you reach that milestone, you will be accountable for charging around $20 CPM (Cost per 1K listeners) for ads. You will start getting more recognition on reaching 10K downloads per episode, where you will be able to start getting more acknowledgment from the advertisers and sponsors.
How Much Can Podcasters Make on Spotify?
According to the statistics by AdvertiseCast, on average, an individual earns $18 with a 30-second CPM and $25 for 60-second CPMs. The Ringer, in 2018, had earnings of about 15 million for 420 million downloads, whereas Amy Schumer got $1 million just for creating a show for Spotify.
This was all about the celebrities who would get listeners anyhow. What about the minor name? How do they get paid?
The best way for the smaller names is to use the crowdfunding method to start with, and as your podcast grows, you can seek for companies to land partnerships and sponsorships to increase your earnings. This is a long way; the only key is patience and consistency that can make you achieve your milestone.
Cost of Spotify paid podcast subscriptions.
The three pricing options creators get to choose are $2.99, $4.99, or $7.99. Although, more recently, Spotify has introduced around 20 more pricing plans for the creators with different benefits. As per the new Spotify policy, beginning in 2023, Spotify will start taking a 5% commission from the podcast creators as their revenue.
General FAQ
Q1. How much do podcasters make on Spotify
Ans: The money the creators make through podcasts on Spotify varies on different factors, including the number of monthly listeners, sponsorships, Affiliates, and other promotions.
Q2. Does Spotify pay you for podcasts?
Ans: Spotify pays the creators who have a required number of monthly listeners, but you can source your income through several different ways, such as using sponsorships and advertising, promoting additional items through affiliate marketing to earn a commission or crowdfunding.
Q3. How does Spotify make money on podcasts?
Ans: Beginning in 2023, Spotify will start taking a 5% commission from the podcast creators on the platform as revenue for using their platform.
Q4. How much do the most famous podcasters earn on Spotify?
Ans: As of 2022, the most listened-to podcast on Spotify is The Joe Rogan Experience, with a total earning of $30 million per year just from a single platform.