10-5-22 Intro

10-5-22 Body

10-5-22 Outro

With the release of We’ll Be Right Back, part two of After These Messages, Tom Webster has a few questions about promo codes. Is it time to change how we use them?

Credits:
Written by Tom Webster
Edited by Tom Webster
Produced with Spooler.fm
Hosted with Omny Studio
Sounds Profitable theme written by Tim Cameron

Sounds Profitable: Narrated Articles is a production of Sounds Profitable. For more information, visit soundsprofitable.com.

With the release of We’ll Be Right Back, part two of After These Messages, Tom Webster has a few questions about promo codes. Is it time to change how we use them?
Credits:
<ul>
<li aria-level="1">Written by Tom Webster</li>
<li aria-level="1">Edited by Tom Webster</li>
<li aria-level="1">Produced with <a href="https://www.spooler.fm">Spooler.fm</a></li>
<li aria-level="1">Hosted with <a href="https://omnystudio.com">Omny Studio</a></li>
<li aria-level="1">Sounds Profitable theme written by <a href="https://www.timcameronmusic.com/">Tim Cameron</a></li>
</ul>
Sounds Profitable: Narrated Articles is a production of Sounds Profitable. For more information, visit<a href="https://soundsprofitable.com/"> soundsprofitable.com</a>.

The pace of change the podcast industry is undergoing is staggering. The implications for podcasters, hosting providers, podcast listening app developers, and advertisers and agencies are enormous. And so is the growth potential. Presented as a companion to the weekly newsletter of the same name, our podcast provides you with direct access to our narrated articles, interviews with industry experts, bleeding-edge research, and can't miss industry news recaps. That Sounds Profitable, right?

Assumptions and conventional wisdom will be challenged. Easy answers with no proof of efficacy will be exposed. Because the thinking that got podcast advertising close to a billion dollars annually will need to be drastically overhauled to bring in the tens or hundreds of billions of dollars podcast advertising deserves.

The pace of change the podcast industry is undergoing is staggering. The implications for podcasters, hosting providers, podcast listening app developers, and advertisers and agencies are enormous. And so is the growth potential. Presented as a companion to the weekly newsletter of the same name, our podcast provides you with direct access to our narrated articles, interviews with industry experts, bleeding-edge research, and can't miss industry news recaps. That Sounds Profitable, right?
Assumptions and conventional wisdom will be challenged. Easy answers with no proof of efficacy will be exposed. Because the thinking that got podcast advertising close to a billion dollars annually will need to be drastically overhauled to bring in the tens or hundreds of billions of dollars podcast advertising deserves.

Sounds Profitable

Is It Time To Rethink Promo Codes?

1-31-23 intro

1-31-23 body

1-31-23 outro

This week Tom Webster demonstrates how even seemingly small pieces of data can have big implications if given the right context and a story.

Credits:
Written by Tom Webster
Edited by Bryan Barletta
Produced with Spooler.fm
Hosted with Omny Studio
Sounds Profitable theme written by Tim Cameron

Sounds Profitable: Narrated Articles is a production of Sounds Profitable. For more information, visit soundsprofitable.com.

This week Tom Webster demonstrates how even seemingly small pieces of data can have big implications if given the right context and a story.
<hr>
Credits:
<ul>
<li aria-level="1">Written by Tom Webster</li>
<li aria-level="1">Edited by Bryan Barletta</li>
<li aria-level="1">Produced with <a href="https://www.spooler.fm">Spooler.fm</a></li>
<li aria-level="1">Hosted with <a href="https://omnystudio.com">Omny Studio</a></li>
<li aria-level="1">Sounds Profitable theme written by <a href="https://www.timcameronmusic.com/">Tim Cameron</a></li>
</ul>
Sounds Profitable: Narrated Articles is a production of Sounds Profitable. For more information, visit<a href="https://soundsprofitable.com/"> soundsprofitable.com</a>.

It's Right There In Front Of You

1-intro

2-spotify layoffs

3-TikTok podcasts

4-exclusivity deals lose appeal

5-Buzzsprout premium subscriptions 

6-Quick hits

7-outro

Robot

This week: Spotify layoffs, TikTok Podcasts feature spotted in the wild, exclusivity deals seem to be  losing luster, and Buzzsprout launches premium subscriptions.

Spotify lays off six percent of workforce. 

Manuela: We start today on a dour note, but it’s the largest story to happen this week and bears covering. This Monday Spotify CEO Daniel Ek announced the company is downsizing six percent of its workforce. Chief Content and Advertising Business Officer Dawn Ostroff is also leaving the company. Todd Spangler’s coverage of the announcement for Variety does the math on what six percent actually means.

“The layoffs will eliminate nearly 600 jobs; Spotify most recently reported having 9,800 full-time employees worldwide as of Sept. 30. The company estimated that it will incur approximately €35 million-€45 million in severance-related charges.”

In the Tuesday issue of Podnews, editor James Cridland notes that in addition to the layoff announcement, Spotify’s job website has removed all open full job positions. As of this writing the site only has 23 open positions, all of which are internships. From Spangler’s article: 

“Employees who are getting laid off will on average receive about five months’ salary in severance payments, per Ek’s memo. In addition, all unused vacation time will be paid out to any departing employee, and all terminated employees will be eligible for outplacement services for two months.”

Ostroff was a big name behind a lot of Spotify’s big-ticket podcasting acquisitions. Between her departure and the overall downsizing, this news seems to signal Spotify is down-shifting into treating podcasts like it has treated music. It’s not necessarily the end of Spotify expanding into podcasting, but they likely will be focusing on expansion without owning content. 

New TikTok Podcast feature appears

Arielle: Last Wednesday Sydney Bradley and Dan Whateley of Business Insider published new details in the months-long windup to TikTok officially getting into podcasting. 

As covered as far back as the October 10th episode of The Download, there has been a breadcrumb trail of evidence the social media platform has intentions of launching some form of podcast listening application. In December of 2021 TikTok users were prompted to complete a survey gauging user interest in both listening to podcasts and creating podcasts. In May a trademark was filed for an application called TikTok Music, which listed podcasts as a form of audio that could be played in-app. 

Then, this last October, Podnews got word bots associated with TikTok’s parent company were spotted scraping publicly-available RSS feeds. Clearly TikTok was up to something.

Now, Business Insider has discovered an unannounced feature has been added to some TikTok accounts allowing users to play video hosted on TikTok as a podcast, a distinction which allows users to browse other apps or lock their phone while the audio continues to play. This is a similar functionality to one YouTube has had for Premium subscribers for years and last year was testing enabling it for all users to promote podcasting listening in certain markets.

As Bradley and Whateley’s reporting suggests, once podcasts are implemented, TikTok could be primed to become a serious Spotify competitor. 

Exclusivity deals lose appeal

Manuela: Last Friday Tyler Aquilina , writing for Variety, published a piece that became somewhat prescient in hindsight: Circling back to the topic of podcast companies expanding by acquiring podcasts: Podcast Exclusivity Is Quickly Becoming an Outdated Strategy. From the intro of the article: 

“If it’s still too early to declare platform-exclusive podcast deals dead as we move into 2023, it’s becoming ever clearer that this business model is likely not long for this world.”

Aquilina’s piece presents several data points suggesting the exclusive podcast strategy, most typified by Spotify acquisitions in recent years, is falling out of favor. The article cites reported frustrations from producers who signed big-name deals and went exclusive, including the Obamas choosing not to renew their exclusivity deal with Spotify last year. 

One interesting data point is that of the Rogan Twitter Bump, the short-term engagement boost relatively smaller guests on The Joe Rogan Experience get in the week after appearing on the podcast. According to data collected from Social Blade by The Verge, JRE guests with fewer than 500,000 Twitter followers started to experience far smaller influxes of new followers starting December 2020, the month JRE went Spotify-exclusive. Conversely, podcasts that leave exclusivity to wide release are reporting more success in open podcasting. Aquilina reports he was given data from Acast that shows Spanish-language podcast Se Regalan Dudas has seen its listens increase 56% over their first year after leaving Spotify exclusivity. From the end of Aquilina piece:

“Podcasting remains a growth business, even if that growth is decelerating. But as in any maturing market, business practices must shift with the times — and in this case, that means the walled gardens are going to start opening up soon.”

Buzzsprout to implement premium subscriptions

Arielle: Back on January 12th we reported on Apple launching Delegated Delivery, a feature from which several podcast hosting providers can allow their users to upload content to their Apple premium podcast from the dashboard of said host. 

The initial rollout included  Blubrry, Libsyn, Triton Digital’s Omny Studio, and RSS.com, with Acast, ART19 and Buzzsprout named as the next in line to get the feature in the coming months. 

In a surprise twist, this week Buzzsprout announced their own premium podcast subscription offering. Dubbed Buzzsprout Subscription, the feature allows podcasts hosted on the platform to process payments from subscribers. Currently, users can choose between a Patreon-style pricing structure that gives audience members custom incentives, such as a shoutout in an episode, to a more Apple-like paywalled feed. 

Revenue collected from the subscriptions can be applied to pay for Buzzsprout hosting fees or converted to cash via a Paypal transaction. As it stands, Apple Podcast Subscriptions pay out 70% of their revenue for new subscribers, with the revenue share going up to 85% payout for subscribers who have stuck around for a full year. According to Tuesday’s Podnews, Buzzsprout Subscriptions is a flat 85% payout. 

With this new feature implementation, as well as the availability of Buzzsprout Ads, it’s becoming far more difficult to think of a reason why someone hosting on Buzzsprout would need to leave their dashboard to accomplish something for their podcast elsewhere online. 

Quick Hits 

Arielle:Finally, it’s time for our semi-regular roundup of articles we’re calling Quick Hits. These are articles that didn’t quite make the cut for today’s episode, but are still worth including in your weekend reading. This week: 

AdTheorent Is Using Machine Learning To Predict Effective Inventory by Allison Schiff for AdExchanger. In which Schiff breaks down a new application that uses machine learning to score programmatic inventory based on probability the impression will lead to a desired outcome. Application of this tool to podcasting, or any media, would be incredibly interesting. 

Here are the brands starting 2023 with new CMOs by Minda Smiley for MarketingBrew.  While there are no directly podcasting-related companies getting new CMOs in this article, new CMOs often mean new perspectives and interest in new channels. Don’t be surprised if your kids are listening to a Chuck E Cheese branded podcast by this time next year. 

P&G looks to replicate $65m success after taking media planning, buying in-house in fabric care by Julia Cannon for Digiday. A piece covering Procter & Gamble’s in-house media planning and buying strategy saving millions over a year. Brands bringing things in-house means fresh eyes and direct access. More contacts overall, but direct to the people that it matters to.

The Download is a production of Sounds Profitable. Today's episode was hosted by Shreya Sharma and Manuela Bedoya, and the script was written by Gavin Gaddis.

Bryan Barletta and Tom Webster are the executive producers of The Download from Sounds Profitable.

This week: Spotify layoffs, TikTok Podcasts feature spotted in the wild, exclusivity deals seem to be  losing luster, and Buzzsprout launches premium subscriptions.
<hr>
Spotify lays off six percent of workforce. 
Manuela: We start today on a dour note, but it’s the largest story to happen this week and bears covering. This Monday Spotify CEO Daniel Ek announced the company is downsizing six percent of its workforce. Chief Content and Advertising Business Officer Dawn Ostroff is also leaving the company. <a href="https://variety.com/2023/digital/news/spotify-layoffs-dawn-ostroff-exiting-1235499118/">Todd Spangler’s coverage of the announcement for Variety</a> does the math on what six percent actually means. “The layoffs will eliminate nearly 600 jobs; Spotify most recently reported having 9,800 full-time employees worldwide as of Sept. 30. The company estimated that it will incur approximately €35 million-€45 million in severance-related charges.”
In the <a href="https://podnews.net/update/spotify-job-losses">Tuesday issue of Podnews</a>, editor James Cridland notes that in addition to the layoff announcement, Spotify’s job website has removed all open full job positions. As of this writing the site only has 23 open positions, all of which are internships. From Spangler’s article: 
“Employees who are getting laid off will on average receive about five months’ salary in severance payments, per Ek’s memo. In addition, all unused vacation time will be paid out to any departing employee, and all terminated employees will be eligible for outplacement services for two months.”
Ostroff was a big name behind a lot of Spotify’s big-ticket podcasting acquisitions. Between her departure and the overall downsizing, this news seems to signal Spotify is down-shifting into treating podcasts like it has treated music. It’s not necessarily the end of Spotify expanding into podcasting, but they likely will be focusing on expansion without owning content. 
<hr>
New TikTok Podcast feature appears
Arielle: Last Wednesday <a href="https://www.businessinsider.com/tiktok-testing-podcast-tool-feature-for-background-listening-2023-1">Sydney Bradley and Dan Whateley of Business Insider</a> published new details in the months-long windup to TikTok officially getting into podcasting. As covered as far back as the October 10th episode of The Download, there has been a breadcrumb trail of evidence the social media platform has intentions of launching some form of podcast listening application. In December of 2021 TikTok users were prompted to complete a survey gauging user interest in both listening to podcasts and creating podcasts. In May a trademark was filed for an application called TikTok Music, which listed podcasts as a form of audio that could be played in-app. 
Then, this last October, Podnews got word bots associated with TikTok’s parent company were spotted scraping publicly-available RSS feeds. Clearly TikTok was up to something.
Now, Business Insider has discovered an unannounced feature has been added to some TikTok accounts allowing users to play video hosted on TikTok as a podcast, a distinction which allows users to browse other apps or lock their phone while the audio continues to play. This is a similar functionality to one YouTube has had for Premium subscribers for years and last year was testing enabling it for all users to promote podcasting listening in certain markets.
As Bradley and Whateley’s reporting suggests, once podcasts are implemented, TikTok could be primed to become a serious Spotify competitor. 
<hr>
Exclusivity deals lose appeal
Manuela: Last Friday Tyler Aquilina , writing for Variety, published a piece that became somewhat prescient in hindsight: Circling back to the topic of podcast companies expanding by acquiring podcasts: <a href="https://variety.com/vip/podcast-exclusivity-is-quickly-becoming-an-outdated-strategy-1235495652/">Podcast Exclusivity Is Quickly Becoming an Outdated Strategy</a>. From the intro of the article: “If it’s still too early to declare platform-exclusive podcast deals dead as we move into 2023, it’s becoming ever clearer that this business model is likely not long for this world.”
Aquilina’s piece presents several data points suggesting the exclusive podcast strategy, most typified by Spotify acquisitions in recent years, is falling out of favor. The article cites reported frustrations from producers who signed big-name deals and went exclusive, including the Obamas choosing not to renew their exclusivity deal with Spotify last year. 
One interesting data point is that of the Rogan Twitter Bump, the short-term engagement boost relatively smaller guests on The Joe Rogan Experience get in the week after appearing on the podcast. According to data collected from Social Blade by The Verge, JRE guests with fewer than 500,000 Twitter followers started to experience far smaller influxes of new followers starting December 2020, the month JRE went Spotify-exclusive. Conversely, podcasts that leave exclusivity to wide release are reporting more success in open podcasting. Aquilina reports he was given data from Acast that shows Spanish-language podcast Se Regalan Dudas has seen its listens increase 56% over their first year after leaving Spotify exclusivity. From the end of Aquilina piece:
“Podcasting remains a growth business, even if that growth is decelerating. But as in any maturing market, business practices must shift with the times — and in this case, that means the walled gardens are going to start opening up soon.”
<hr>
Buzzsprout to implement premium subscriptions
Arielle: Back on January 12th we reported on Apple launching Delegated Delivery, a feature from which several podcast hosting providers can allow their users to upload content to their Apple premium podcast from the dashboard of said host. 
The initial rollout included  Blubrry, Libsyn, Triton Digital’s Omny Studio, and RSS.com, with Acast, ART19 and Buzzsprout named as the next in line to get the feature in the coming months. 
In a surprise twist, this week <a href="https://www.buzzsprout.com/help/183-subscription-set-up">Buzzsprout announced their own premium podcast subscription offering</a>. Dubbed Buzzsprout Subscription, the feature allows podcasts hosted on the platform to process payments from subscribers. Currently, users can choose between a Patreon-style pricing structure that gives audience members custom incentives, such as a shoutout in an episode, to a more Apple-like paywalled feed. 
Revenue collected from the subscriptions can be applied to pay for Buzzsprout hosting fees or converted to cash via a Paypal transaction. As it stands, Apple Podcast Subscriptions pay out 70% of their revenue for new subscribers, with the revenue share going up to 85% payout for subscribers who have stuck around for a full year. According to Tuesday’s Podnews, Buzzsprout Subscriptions is a flat 85% payout. With this new feature implementation, as well as the availability of Buzzsprout Ads, it’s becoming far more difficult to think of a reason why someone hosting on Buzzsprout would need to leave their dashboard to accomplish something for their podcast elsewhere online. 
<hr>
Quick Hits 
Arielle: Finally, it’s time for our semi-regular roundup of articles we’re calling Quick Hits. These are articles that didn’t quite make the cut for today’s episode, but are still worth including in your weekend reading. This week: 
<a href="https://www.adexchanger.com/online-advertising/adtheorent-is-using-machine-learning-to-predict-effective-inventory/?oly_enc_id=7865D1013734B0R">AdTheorent Is Using Machine Learning To Predict Effective Inventory</a> by Allison Schiff for AdExchanger. In which Schiff breaks down a new application that uses machine learning to score programmatic inventory based on probability the impression will lead to a desired outcome. Application of this tool to podcasting, or any media, would be incredibly interesting. 
<a href="https://www.marketingbrew.com/stories/2023/01/20/here-are-the-brands-starting-2023-with-new-cmos?cid=30311436.174760&amp;mid=4afb33bb7ffe284d840660fb3604ff60">Here are the brands starting 2023 with new CMOs</a> by Minda Smiley for MarketingBrew.  While there are no directly podcasting-related companies getting new CMOs in this article, new CMOs often mean new perspectives and interest in new channels. Don’t be surprised if your kids are listening to a Chuck E Cheese branded podcast by this time next year. 
<a href="https://digiday.com/marketing/pg-looks-to-replicate-65m-success-after-taking-media-planning-buying-in-house-in-fabric-care/">P&amp;G looks to replicate $65m success after taking media planning, buying in-house in fabric care </a>by Julia Cannon for Digiday. A piece covering Procter &amp; Gamble’s in-house media planning and buying strategy saving millions over a year. Brands bringing things in-house means fresh eyes and direct access. More contacts overall, but direct to the people that it matters to.
<hr>
The Download is a production of <a href="http://soundsprofitable.com/">Sounds Profitable</a>. Today's episode was hosted by <a href="https://www.linkedin.com/in/shreyaapurvsharma/">Shreya Sharma</a> and <a href="https://www.linkedin.com/in/manuelabedoya/">Manuela Bedoya</a>, and the script was written by <a href="https://twitter.com/GavGaddis">Gavin Gaddis</a>.
<a href="https://twitter.com/bryanbarletta">Bryan Barletta</a> and <a href="https://www.linkedin.com/in/tomwebster/">Tom Webster</a> are the executive producers of The Download from Sounds Profitable.

Spotify Lays Off Six Percent Of Workforce And 6 Other Stories

1-24-23 intro

1-24-23 body

1-24-23 outro

Tom took a look back on all of the great research that was done at Sounds Profitable in 2022 and came up with a handful of the most impactful data points. Here are his three favorite data points from 2022!

Credits:
Written by Tom Webster
Edited by Tom Webster
Produced with Spooler.fm
Hosted with Omny Studio
Sounds Profitable theme written by Tim Cameron

Sounds Profitable: Narrated Articles is a production of Sounds Profitable. For more information, visit soundsprofitable.com.

Tom took a look back on all of the great research that was done at Sounds Profitable in 2022 and came up with a handful of the most impactful data points. Here are his three favorite data points from 2022!
<hr>
Credits:
<ul>
<li aria-level="1">Written by Tom Webster</li>
<li aria-level="1">Edited by Tom Webster</li>
<li aria-level="1">Produced with <a href="https://www.spooler.fm">Spooler.fm</a></li>
<li aria-level="1">Hosted with <a href="https://omnystudio.com">Omny Studio</a></li>
<li aria-level="1">Sounds Profitable theme written by <a href="https://www.timcameronmusic.com/">Tim Cameron</a></li>
</ul>
Sounds Profitable: Narrated Articles is a production of Sounds Profitable. For more information, visit<a href="https://soundsprofitable.com/"> soundsprofitable.com</a>.

Is It Time To Rethink Promo Codes?

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