Evolution of Radio: Podcasting

Over 450 million people across the globe listened to podcasts in 2023 and over 100 million of those listeners are from the United States alone¹ across all ages. Listening to and producing podcasts is now a weekly habit of many consumers.  

Parks Associates consumer research study Podcasting: An Exploding Market shows 18+ year adults spend 10-11 hours per week listening to audio content, on average. 26% of households report listening to podcasts once a week for an hour in average. Comparatively, 48% report listening to music from a streaming app on average 3.4 hours a week; and 47% report listening to the radio on average of 2.5 hours a week.

Podcasting is an evolution of radio. People listen to podcasts to catch up on news, to be entertained, and to learn something new. Businesses leverage the popularity of podcasts and the authenticity of host-listener relationships to powerfully market awareness for brand products and services.

Anyone from celebrities to CEOs to hobbyists can create a podcast or join as a guest on an episode to educate or entertain listeners on almost any topic. Becoming a thought leader in any area or immersing oneself in a captivating story is more accessible than ever. Companies produce podcasts to attract new customers that previously would not be aware of the products or services offered by that business. Further data from the report includes:

• 14% of 18+ adults (34-36m) report producing a podcast in the last 12 months; almost half of those people do so professionally for an employer.
• Those who produce podcasts are most likely doing so because it is part of their job. Only 27% of that 14% or 4% of podcast producers do so as a hobby or as a secondary income stream. Podcast production is developing into a specific career path for those who are expert or passionate about a certain topic.

Podcasts also have a unique ability in building trust and loyalty. Relationships, even if they are one-sided, are developed over time. The sporadic listener is eventually transformed into a devoted one. It is at this point where advertisements become particularly effective. A host advertising a brand is regarded similarly to a friend offering a recommendation.

Podcasts reach listeners where they are. Audiences self-select to listen to specific content. And with most audiences accessing podcast episodes on a smartphone, listeners can learn, be entertained, and catch up on recent events at any time. Not to mention, podcasting is an extremely effective method of content marketing for businesses.

This is an excerpt from Parks Associates library of research. Parks Associates consumer research study Podcasting: An Exploding Market  examines the exploding podcast market. Topics include household audio equipment adoption; consumer podcast behavior across various platforms and genres (e.g., hours spent listening per week); consumer spending on podcast content, equipment and production; user experience and discovery sources; as well as segmentation by podcast listeners and producers (both professionally and personally).

Key questions addressed:

1)      How much time do households spend listening to audio content (e.g., music, podcasts) and on which devices do they listen?

2)      Which music services do households use? Is more use seen with services that are free or paid with premium features?

3)      How are households accessing podcasts and discovering new ones?

4)      What percentage of households are producing podcasts and why?

5)      How many listeners per episode do podcast shows have and how much revenue does a show typically generate?