What’s one of the simplest ways to monetize my podcast? That’s the everlasting million-dollar query.
Or no less than the full-time revenue query.
I’m positive I don’t have to let you know there are many choices for being profitable out of your podcast, from advert sponsorship to internet affiliate marketing. However one monetization choice that’s hovering in reputation with each listeners and podcasters is podcast subscriptions.
On this article, I’ll stroll you thru why podcast subscription is taking off proper now, the way to assess what subscription may do on your present, and the way to get began with constructing your personal podcast subscription program.
What Is a Podcast Subscription Program?
A podcast subscription program takes premium audio content material and places it behind a paywall. To entry that content material, listeners pay a price—normally a month-to-month recurring price.
Whenever you’ve already achieved the onerous work of increase a present that individuals worth, subscription permits you to monetize your true followers and give them extra of what they love.
Your free present continues to be your advertising and marketing engine, serving to new listeners uncover you.
The variety of individuals listening to podcasts continues to develop, together with the variety of people who find themselves prepared to pay for additional content material.
Near twenty million Individuals pay for podcasts proper now, and 25 p.c of those that have by no means subscribed stated they’re probably to take action within the subsequent 12 months.
We see the proof of subscription’s reputation on daily basis at Supercast, with podcasts starting from information exhibits and well being podcasts, to popular culture critiques and youngsters tales, all constructing thriving companies on promoting additional content material to their listeners.
What Are the Benefits of a Podcast Subscription Program?
Out of all of the methods you may make cash out of your podcast, subscription has a variety of vital benefits.
- You don’t want an enormous viewers to get began. We’ll dig into viable numbers within the subsequent two sections, however in comparison with promoting, you possibly can positively get began with subscription sooner.
- You don’t want a gross sales group or to be continuously pounding the pavement for advertisers. “I like my [subscription] income. It’s a lot much less of a trouble,” says Michael Brandon, creator of the Get Sleepy podcast. “Coping with advert gross sales is an actual slog.”
- It’s dependable, recurring income, so planning for your corporation (and your life!) is way simpler.
- Subscription helps you construct a deeper relationship along with your viewers whilst you’re incomes income.
- Subscription can simply be mixed with different monetization methods to diversify your income—or it will probably help you fully by itself.
When Does a Podcast Subscription Program Not Make Sense?
We’ve already established that you simply don’t want big viewers numbers for subscription to make sense, however you do want some listeners. In case your present is kind of new and the viewers very small, it’s most likely not the correct time to supply a premium program.
What’s too small? It varies relying on the subject and the viewers engagement, however rule of thumb is to have no less than 1,000 distinctive listeners for each episode earlier than you take a look at including subscription. See the following part on how a lot cash you possibly can earn for element on why.
How A lot Can You Make With a Podcast Subscription Program?
As with every query about revenue potential, the reply to how a lot you may make is a giant “it relies upon.” There are three primary issues it is determined by:
- The scale of your viewers
For one of the best thought of your podcast viewers measurement, take a look at the variety of downloads you get per episode within the first thirty days of the episode’s launch. Even higher is that if the information will be filtered to distinctive downloads—some podcast hosts present this quantity.
- Your conversion fee
Your conversion fee displays how properly you possibly can convert free listeners to paid subscribers. We’ve discovered that the majority podcasts can count on a conversion fee between 2 and seven p.c. The place you fall in that vary is influenced by how engaged your viewers is. Avid followers who’re interacting with you and asking for extra content material will land you on the increased finish of the dimensions.
- The worth of your plans
Clearly, your plan value issues drastically. It’s going to take a very long time to achieve sustainable revenue at $1 or $2 per 30 days per subscriber. Nearly everybody struggles with asking for increased costs—however it may be achieved. Deal with the worth you’re delivering and cost accordingly.
Now that we all know the three numbers we’re working with, a tough calculation of how a lot your podcast would possibly earn with a subscription program is fairly simple:
Viewers size x conversion fee x plan value = potential income
Let’s say you’ve an viewers of 5,000 free listeners. You choose a 4 p.c conversion fee as a result of it’s proper in the midst of the vary. And also you assume you’ll value your preliminary plan at $10 per 30 days. Your calculation would appear like this:
5,000 x 4% x $10 = $2,000
On this estimate, you’d be making $2,000 per 30 days from subscriptions. Not too shabby—and it involves you each month.
However Isn’t a Subscription Program a Lot of Work?
Many individuals imagine that operating a podcast subscription program is time-consuming and onerous. The reality is, it may be—but it surely doesn’t should be.
It’s all about being sensible with what you supply, and discovering a steadiness between what your listeners need and what you possibly can fairly produce.
Listed below are just a few examples of low-cost, low-lift bonus content material that add tons of worth for a supporter:
- Early entry to common episodes
- Advert-free episodes
- Outtakes, bloopers, and “off the mic” chatter
- Supporter shoutouts
- Ask Me Something episodes
Podcasts Making Full-Time Income for Their Creators
The Get Sleepy podcast affords meditations and calming tales to ship you into slumber. Creator Michael Brandon and his group have chosen to maintain subscription easy: They affords one plan, with choices to pay $5.99 month-to-month or $49.99 yearly.
The subscription is filled with worth together with a weekly bonus episode, prolonged meditations, reductions on merchandise, and extra. Listeners have been snapping them up—and that’s no snooze!
The Anxiousness Coaches Podcast
For greater than 5 years, coach and nutritionist Gina Ryan has been serving to individuals handle their nervousness, panic, and PTSD via The Anxiousness Coaches Podcast.
Gina’s podcast subscription plans vary from $5 per 30 days for ad-free episodes and full entry to her episode archive to $97 per 30 days, which incorporates twice-monthly reside teaching, entry to a non-public Fb group, and extra.
Actuality Cray Cray
Kim and Kyle Cray of Actuality Cray Cray (and its sister podcast, 90 Day Fiancé Cray Cray) have tons of enjoyable every week discussing the wild and wacky happenings on actuality tv.
Followers adore it a lot they eagerly plunk down $5 a month to get double-long episodes, unique bonuses, and entry to a non-public dialogue group. For $25 a month, “biggee” followers can take part in designing new merch.
Breaking Factors, hosted by Krystal Ball and Saagar Enjeti, is a podcast and YouTube present that delivers information commentary from either side of the political aisle.
Wildly in style with followers, the present was capable of entice greater than 10,000 paying supporters within the first two days of launching its subscription program.
About 60 p.c of subscribers pay for a $10 month-to-month plan, slightly below 40 p.c pay yearly, and a couple of p.c have chosen a $1,500 lifetime subscription.
Learn how to Select a Podcast Subscription Platform
With regards to establishing and managing a podcast subscription program, there are a number of platforms and instruments to select from, together with Apple Podcasts, Spotify, and Supercast. However beware: Not all are created equal, and also you’ll need to dig into the small print earlier than you select one.
Right here are some things to contemplate:
- Does the platform offer you full possession of your subscriber information, together with names and emails? It’s onerous to construct a relationship with individuals while you don’t know who they’re and may’t talk with them outdoors of your podcast. What’s extra, if the platform is the intermediary in your relationship along with your subscriber, you don’t have any management. The platform can change and even pull the plug in your program, placing your income in danger. Make you positive you possibly can export all of your subscriber information out of your chosen platform at any time.
- The place are you able to ship your premium content material? To succeed in the widest potential viewers, you’ll need to select a platform that enables your listeners to subscribe from no matter podcast participant they use. So be careful for packages that solely work on one participant (ahem, Apple) as a result of at finest, meaning solely 60 p.c of your viewers pays you.
- How a lot flexibility do you’ve in constructing subscription plans? What number of subscription tiers are you able to supply? Are you able to cost no matter you need, or do it’s important to select from a preset value record? Are you able to ship non-audio advantages to your subscribers, like a e-newsletter or personal group? Be sure that this system can do what you need it to do earlier than committing.
- Is the signup course of simple? Some platforms ask your listeners to open a brand new account and comply with an arduous multi-step course of to entry your content material. Others supply a faster subscription course of. The better it’s on your listeners to subscribe, the much less friction you create and the extra listeners you’ll be capable to convert.
- How a lot is the platform taking in charges? Have a look at each the charges for the subscription platform and any cost processing charges. Issue these into your tough income calculations to fine-tune the quantity.
Getting Began With Podcast Subscription
At a excessive degree, the principle steps of implementing a podcast subscription program are simple:
- Resolve what further content material or perks you’ll supply subscribers.
- Make a piece plan to determine what must be achieved and when every month to ship on that content material. Be sure that it’s sustainable.
- Take into consideration the way you’ll package deal your plans and what value you’ll cost.
- Select your subscription platform and arrange your account.
- Develop a promotional plan that outlines the way you’ll let listeners find out about your new subscription program.
- Launch your gross sales web page and implement your promotional plan.
See Podcast Subscription in Motion
Wish to see how a podcast subscription program works for listeners on Supercast?
Our public Supercasters podcast focuses on podcast progress methods and the way to construct sustainable unbiased companies that thrive on a robust relationship with listeners.
Naturally, now we have a premium providing too—and it’s free. You may subscribe to get prolonged interviews, audio recordings of all our weblog posts, and entry to our podcaster peer networking group.
Whenever you subscribe, you’ll undergo the precise quick-tap course of considered one of your listeners would use to subscribe to your present on Supercast. And hey—you get all our nice content material, too.
Subscribe to Supercasters Premium without cost, and we’ll see you inside.
About Jason Sew Hoy
Jason Sew Hoy is the CEO of Supercast, an audio subscription platform powering tens of millions in income for unbiased podcasters and content material networks. The highest ten Supercast creators gross over $10 million in annual subscription income.
Supercast is the purpose-built podcast monetization toolkit for podcasters who need to develop wholesome, diversified income. Opening a Supercast account is free. As soon as inside your account, the Getting Began information walks you thru the method of connecting your Stripe account, establishing your plans, and launching your program.