NEW YORK—Despite a economic headwinds and cutbacks in podcasting efforts by some media companies, podcasting continues to be one of the fastest growing digital channels, growing two times faster than digital advertising overall, according to IAB’s "U.S. Podcast Advertising 2022 Revenue & 2023-2025 Growth Projections" study.
The seventh annual IAB U.S. Podcast Advertising Revenue study, prepared for IAB by PricewaterhouseCoopers LLP (PwC), found that 2022 podcasting ad revenue was up 26% year over year to 1.8 billion. The report also predicts that revenues will more than double by 2025 to $4 billion.
The report found that Sports, Society & Culture, and Comedy are now the top revenue-generating content genres, with Sports snapping up 15% of podcast advertising, followed by Society & Culture (14%), and Comedy (14%). Meanwhile News and political opinion content fell from a 19% share to 12%.
“In-person sports, lifestyle events, and in-store shopping have come back in a big way, taking the lead from news which held the top revenue genre spot since 2018,” said Eric John, vice president, Media Center, IAB. “Podcasting revenue naturally reflects that shift in consumer behavior and it will be interesting to watch how the balance changes going forward.”
The researchers also found that podcasting continues to evolve as an ideal medium for niche audiences, attracting advertisers in a wide range of categories including Advocacy, Education, Home Improvement, and beyond. These smaller categories, collectively, are driving 28% of all revenues.
“Both mass and niche advertisers like the audiences, targeting, and ROI along with the brand-safe and suitable environments that podcasting offers,” added John.
The full report can be accessed here.
