Podcast Ad Rates: How Much Will Your Campaign Cost?

There are many vital considerations to consider when you're planning a podcast advertising campaign strategy, one of which is cost. Your budget only goes so far, so you need to investigate podcast advertising rates before running ads.

Unfortunately, there aren't any hard and fast rules about standard podcast advertising rates.

Podcasts set their prices depending on several factors, which we'll cover in this article. But that means there's no easy answer when someone asks, "how much does it cost to sponsor a podcast?"

What is the average podcast CPM?

Podcast CPM stands for Cost per Mille or cost for every 1,000 listeners and it's how many publishers calculate podcast ad rates.

The average CPM for podcast advertising is between $18 and $25 depending on the ad length and placement in the podcast. Or, to put it another way, you'll pay between $18 and $25 for every 1,000 listens of the podcast for the duration of your ad.

Estimated podcast advertising costs

So, you have a list of podcasts to contact, but how will you know how much their ads are likely to cost? That can be tricky, so Rephonic has taken the hard work off your hands.

Put away your calculator and say hello to our new Sponsorship section.

We calculate the estimated cost per podcast ad based on those average ad rates and our estimated listeners per episode data for every podcast in our database.

Estimated cost per podcast ad on Rephonic

But perhaps you still want to know how much you could expect to pay for ads of different lengths.

We've worked that out for you too. Here's a breakdown of the estimated costs of podcast advertising for 30-second and 60-second podcast ads (based on 2023 figures from AdvertiseCast.)

Estimated podcast ad cost [1]
Listeners per episodeAverage 30 sec adAverage 60 sec ad
1,000$18$26
2,000$36$52
3,000$54$78
4,000$72$104
5,000$90$130
6,000$108$156
7,000$126$182
8,000$144$208
9,000$162$234
10,000$180$240
20,000$360$480
30,000$540$720
40,000$720$960
50,000$900$1,200
60,000$1,080$1,440
70,000$1,260$1,680
80,000$1,440$1,920
90,000$1,620$2,160
100,000$1,800$2,400
200,000$3,600$4,800
300,000$5,400$7,200
400,000$7,200$9,600
500,000$9,000$12,000
600,000$10,800$14,400
700,000$12,600$16,800
800,000$14,400$19,200
900,000$16,200$21,600
1,000,000+>>

These give you a rough idea of what you can expect to pay if you know how big the show's audience is. Like we mentioned before, you can view estimated listener numbers on Rephonic, or you try one of these other ways to see how many listeners a podcast has.

Let's say you're a small business keen to test podcast advertising but can't afford to spend more than $500. You can rule out podcasts if you see on Rephonic that they've got 30,000+ estimated listeners because they're likely too expensive.

If you plan to run ads across multiple episodes, you can do a quick calculation to see what your budget is per ad. For example, if your campaign budget is $500 spread across five episodes, each ad will have a $100 budget, so you'll be considering much smaller shows.

Podcasts of different sizes going into buckets

Estimated listeners per episode is one of the many vital data points Rephonic supplies for almost every podcast on the planet. Don't just take our word for it, though. You can try Rephonic out for free right now.

 

While listener numbers significantly affect podcast advertising rates, they're just one factor that affects how much it costs to sponsor a podcast, whether you want an entire season or just one podcast ad.

Here's the full list of considerations that can influence podcast hosts when setting the rates for podcast ads.

What factors affect podcast advertising costs?

Listener numbers

We've just explained this. 😊

Ad placement

Podcast ads have different names depending on where they're placed in an episode.

Pre-roll ads run for 15-30 seconds at the start of a podcast episode. Sometimes they're placed before the intro; sometimes, they come just after. Either way, pre-roll ads come before the host introduces the guest and gets on with the show.

Post-roll ads run last and are the cheapest because they only catch those audience members who listen to the very end. (Many people tune out before then, but marketers sometimes argue that your ideal customer is the one who listens right till the end and is more likely to pay attention to your ad.)

Mid-roll ads are typically longer and run during an episode. Many advertisers prefer to pay more to secure a mid-roll ad because fewer listeners bother to skip ads once they're into the meat of the content. In contrast, listeners often miss pre- and post-roll ads, hence the lower price.

Don't be fooled into going for the cheapest ad placements, though. You should also consider your podcast ad campaign goals to see which placement fits them best.

Ad length

Ad length is closely tied to ad placement. You can buy podcast ads that last anything from 15 seconds (typically a post-roll) to a 60-second ad (usually mid-roll ads) or an even longer branded segment in a podcast episode.

Man checking the podcast ad length on a watch

It makes sense that longer ads will cost more than shorter ones. Longer podcast ads include more talking points and can address the listeners' problems and benefits. Faster ads only have time for a brief statement and a call to action, so think carefully about your copywriting when planning your podcast advertising campaign.

Niche

Not all podcast categories or niches are created equal. Some are more popular (and therefore more crowded) than others. And we've conducted plenty of research about the podcasting industry through our database to find fascinating facts about niches.

Most popular podcast categories
Most popular podcast categories: "Low Hanging Fruit In Podcasting"

Choosing a podcast in your niche is vital. You want maximum audience engagement, meaning you need podcast listeners who will identify with your brand or message.

Here's an example: The Get Sleepy Podcast operates in the Health & Fitness niche and targets people who have difficulty sleeping, so this podcast is a perfect partner for BetterHelp and Helix Sleep. You can see how these two businesses fit perfectly with a meditation podcast aimed at helping listeners get restful sleep.

Other things to think about

There's a lot to think about when devising a podcast advertising strategy. As well as the ad costs, types of advertisement and niche podcast audiences, you should be very clear about the podcast campaign you're running and what kind of ads will work best.

Campaign type

What are your podcast sponsorship goals? Why are you running podcast ads, and what results are you aiming for? Do you want someone to rush to the shop (online or physically) and buy your product? Or are you playing the long game and educating your target audience about the benefits of using your services? You may have heard the jargon. Let's demystify each podcast campaign type for you.

Direct response

A direct-response advertisement has an obvious goal. You want someone to do something, and the call to action makes that clear. Buy my book! Subscribe to my YouTube channel! Sign up for my newsletter! Take advantage of my 25% off sale price!

Brand Awareness

Podcasts are an excellent way to gather attention around your brand. You could create your own branded podcast, but it's much easier to build brand awareness with podcast sponsorship. However, you need the right podcasts with highly engaged audiences in your target market.

For example, there's little point in sponsoring engineering podcasts if your business sells premium pet food. One podcast ad probably won't be enough. You may need to put ads in multiple episodes to build more awareness.

Man enjoying listening to a podcast

You could also consider reaching out to the podcast host to become a guest on the show. Having a podcast episode where you can explain the problems your business solves in more detail is gold.

Branded Content

According to Wikipedia, "branded content is content produced by or funded by an advertiser, and designed to build awareness for a brand by associating it with content that shares its values." Branded content will likely involve storytelling that emphasizes the product's alignment with the podcast listeners.

Product Placement

This is where you pay the host to mention the product during the podcast episode. It can be short and sweet, or the podcast host can go into detail about how much they use or love the brand.

The podcast host must be genuine about their love of your product. If it's a smaller podcast, they may have reached out to you, saying how much they like your product and how they use it. That's very effective, and because they are micro-influencers, they will have highly engaged audiences who are likely to respond by at least finding out more about you and your product. For example, check out this episode of The Model Health Show.

Delivery mechanism

There are two ways of delivering podcast advertising: dynamic ads and baked-in ads. Naturally, there are pros and cons no matter which you choose.

Baked-in podcast ads versus dynamic podcast ads

Dynamic Ad insertion

These podcast ads are inserted when podcast listeners either download or stream an episode. In other words, they are separate from the podcast episode and can be changed anytime. The podcast producer marks where a podcast ad should appear, and DAI tools insert the current sponsor's material.

+ Pros

Your podcast ad can be put into all episodes at once. So when new listeners discover the show, they will hear your ads from that sponsor no matter which episode they click on. You buy X ad impressions, and when that number is reached, you can either pay for more or the podcast can insert a new sponsor's ads in their place.

Time-sensitive offers are great for dynamic ads. You know the sort: "Today's episode is brought to you by... for a limited time, my listeners can get $100 off their first month with this promo code.

- Cons

Your ad spots are not permanent. Once your time is up, they'll disappear. (They may even be taken by competing brands who've heard your podcast ads and decide that's the right podcast for them, too.)

Edited-in/Baked-in Ads

These are pre-roll, mid-roll or post-roll ads recorded or edited into the podcast file as part of the episode content. They stay with that episode forever and are difficult (but not impossible) to change.

+ Pros

With a baked-in ad, your content will probably be there for the life of the episode unless the podcaster manually edits it out. It works well if your ad placements contain evergreen information or content.

- Cons

Don't use time-sensitive or short-term promotions for baked-in podcast advertising. For example, I recently heard a podcast episode advertising tickets for a live show that had run months earlier. That would have been much better as a dynamic ad placement and removed once the show had taken place.

Dynamic ad insertion explanation
This video explains all you need to know about dynamic ad insertion. 

Host-read ads vs. supplied ads

Many podcast hosts read ads in their own styles. That's effective when listeners feel that the voices of their favorite hosts make the ads seem more genuine, especially if they include a personal story about using the product or brand. Brands usually give the podcast host a list of points to cover and leave them to choose the actual words. (Check out this episode of the Bigger Pockets Real Estate Podcast for an example of a host-read, story podcast ad.)

Some brands and businesses prefer to supply the ad ready-made. That can sound more professional than some host-read ads, but it loses that close association with the hosts. Listeners often tune into popular podcasts because they like and trust the host, so supplying ready-made ads (or supplying too many points to cover and leaving no room for personal stories) could defeat the purpose.

These audio samples from The Podcast Exchange include examples from different podcasts with both host-read ads and supplied ads, while Spotify gives a supplied-ad instance in this case study. Finally, here's an interesting article that reveals the thought process of a new podcaster who aimed to gather podcast ad revenue before his first episode even aired.

Pricing model

Podcast ad pricing models

Podcasts offer different ways to charge for podcast advertising. The main ones are:

  • CPM ― cost per mille ― or cost per thousand listeners. e.g., ad rates of $20 CPM for a podcast with 10,000 listeners would be $200.
  • CPA ― cost per acquisition. You're paid according to the number of people buying the product you're advertising. (Usually used with affiliate deals with a promo code to track purchases.)
  • Flat fee/Fixed rate ― A podcast may have fixed ad rates or packages. They may also be open to negotiating a deal.
  • Cost per impression ― used in dynamic ads. E.g., you agree to pay for 20,000 impressions (your ad has been downloaded/streamed on a device), and when 20,000 is reached, the producer places a new ad in that slot.

You can dip your toe in by sponsoring a single episode, or buy in bulk by sponsoring a quarter, a specific number of episodes, or even a whole season. Here's a helpful article we published explaining the different ad models and their meanings.

Final thoughts

Rephonic can't tell you the exact podcast ad rates, but you can use our extensive database to find your business's best podcast matches.

We help you search for podcasts using filters like categories, listener numbers, audience demographics and many more. Then we allow you to dive in deep with all the relevant stats, social media numbers, reviews, email addresses, and links to podcast episodes and websites.

Check out our guide for a full rundown on how to advertise on podcasts. When you're ready to reach out to a show, we have winning podcast sponsorship proposal templates to help.

Footnotes

[1] To calculate estimated podcast sponsorship pricing, we used the average CPM rates supplied by AdvertiseCast in January 2023.

30-Second Ad CPM60-Second Ad CPM
$18$25
Listeners Per Episode60-Second Ad CPM
1000 - 9999$26
10000 - 99999$24
100000 +$21
Lyn McNamee

Lyn McNamee

Writer at Rephonic

Find, pitch and get featured on podcasts

Rephonic gives you listener numbers, contacts, demographics and more across 2.5m+ podcasts.


Lyn McNamee

Lyn McNamee

Writer at Rephonic

Find, pitch and get
featured on podcasts

Rephonic gives you listener numbers, contacts, demographics and more across 2.5m+ podcasts.