Pending Business: Ad Count
By Steve Lapa
Lapcom Communications Corp
President
How many times will we research the same subject and come to the same conclusion?
This time it is the podcast. How many ads will the average listener consider “appropriate” in a 60-minute episode?
If you read the recent research from Cumulus/Signal Hill, you know the answer. For the rest of you, survey says under four minutes per 60-minute episode. The same survey says the magic number for a 30-minute episode is under three.
How ironic is that? The typical talk radio hour runs more ads in one break than an entire 60-minute episode of a podcast. Could it be because we have been integrating radio commercials into hour-long broadcast content for over 100 years? Have we conditioned news/talk listeners to accept more commercials per hour? Our TV friends have been at for over 80 years with an even bigger hourly spot load. Anyone ever see audience research that says add more commercials?
Seriously, unless you pay for the ad-free experience of Netflix, HBO, Hulu, Spotify, Pandora, etc., like most consumers of media, you are comfortable with the ad-supported media model.
So, how has the podcast world been so successful with a model that would leave most traditional radio and TV owners, execs, and sellers dumbfounded.
Here is some insight from my experience.
1) CPM is higher in podcast. The hard facts are when you work with higher CPM you can adjust the commercial load. Demand for digital/social media and podcasts with marketable scale is greater than terrestrial radio. The demand curve for podcast advertising is greater than terrestrial radio. Time to wake up, shake up and shout out loud about our 100-year-old sleepy giant!
2) Survey said 62% of podcast listeners prefer the host read. Talk radio sellers should improve this pitch every day. Today, podcast sellers are simply better at it. Podcast sellers get the intimate relationship between host and listener better than most radio sellers get host and audience. Podcast hosts seem more one-on-one savvy. What will Joe Rogan’s next guest say? What will we hear when your talk talent interviews their next guest?
3) Quality. When your local production director is overloaded and needs to get commercials completed on the air yesterday, what wins: quantity or quality? Be honest here. Where is the next audio creative genius like Dick Orkin or Chuck Blore? Do you know those names?
4) Can you really compare ad load levels between the 60- or 30-minute podcast episode to the average three-hour daily talk radio show?
Traditional molds need to be revisited regularly. My experience with YouTube is showing me even newer models for monetization, different from audio podcasts. Does your 2024 planner have any room for innovation?
Steve Lapa is the president of Lapcom Communications Corp. based in Palm Beach Gardens, FL. Lapcom is a media sales, marketing, and development consultancy. Contact Steve Lapa via email at: Steve@Lapcomventures.com.